Kingston moves to full ownership of Misima Gold Project

By Trevor Hoey. Published at Nov 15, 2019, in Mining

Kingston Resources Ltd (ASX:KSN) has taken an important step towards its objective of becoming a substantial new gold producer in the Asia-Pacific region.

The company has executed a non-binding term sheet with Its Joint Venture Partner Pan Pacific Copper Co Ltd to move to 100% ownership of the 2.8 million ounce Misima Gold Project in Papua and New Guinea.

Kingston Resources has had outstanding exploration success in 2019, suggesting that an upgraded Mineral Resource Estimate which is likely to take place in 2020 could see a sizeable increase in resource.

Given the strong likelihood of this occurring, management’s decision to move to full ownership at an early stage should be well received by shareholders.

Kingston licences cover large chunk of Misima Island

It is worth noting that Misima was operated as a profitable open pit mine by Placer Pacific between 1989 and 2001, producing more than 3.7 million ounce of gold before it was closed when the gold price fell below US$300 per ounce.

With management considering the prospect of a staged re-start where there is already important infrastructure in place, the current gold price of about US$1400 per ounce must look enticing.

As a result of the transaction with Pan Pacific, Kingston will move to 100% ownership of Misima, increasing its exposure to a world scale gold resource base and high-quality development opportunity in the international gold sector.

Kingston is currently undertaking an exploration and resource expansion drilling program, targeting near surface mineralisation to define early mill feed ahead of the commencement of mining studies in 2020.

As indicated below, Kingston will now own a sizeable chunk of Misima Island through its EL1747 licence.

Misima Island.
Misima Island.

The above map also highlights the size of the mine area and the location of the rehabilitated plant which lies to the south-east.

Not only is the plant in close proximity to the existing mining area, but it is even closer to some of the highly promising prospects identified by Kingston in 2019, in particular the Ewatinona region, part of the broader Quartz Mountain area where thick intersections of high grade gold were intercepted.

Multiple share price drivers in 2020

Numerous share price catalysts are on the horizon as Kingston moves towards 2020 with regional fieldwork being completed in the December 2019 and March 2020 quarters.

The company will be undertaking a comprehensive regional drilling campaign which will be throwing up results at least through till the end of the September quarter.

Around mid-year, the company should be in a position to announce its much anticipated JORC resource update.

Management’s attention should turn to project approvals in the second half of calendar year 2020, laying the foundation for a restart.

View Our Investment Portfolios

S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

Conflict of Interest Notice

S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.

Publishers Notice

The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.

Australian ASX Small Cap stocks | Why is Australia’s leading small cap publication

Founded seven years ago, is Australia’s leading and longest standing website for investor and finance news, education and expert opinion.

Published by StocksDigital, Finfeed was created to report daily on the comings and goings of ASX listed stocks in the small cap market.

As the first digital publication dedicated specifically to this space, Finfeed soon became the most trusted publication in the market, quickly garnering over two million page views – a number that continues to rise. provides its readers with informative articles that tackle the latest in market moving #ASX small cap news, plus exclusive content you won’t find anywhere else. It is aimed at those with an interest in investing, market education, company performance, start-ups and much more. is the only media organisation operating under the strength of a Financial Services License and is backed by leading journalists and analysts all with brands of their own.

The website aims to inform, educate and entertain with content that drills down into the heart of financial matters.

Finfeed is a leading source of investor and market information, with everything investors need to know about how to invest written in a way that anyone can understand. 

Over the years, the website has expanded beyond exclusively reporting on small caps, to profile Australia’s leading ASX listed small, mid and large caps as well as some of the country’s most successful CEOs and business leaders to find out what makes them tick.

Every day you will find fresh content covering:

Fast Facts

Over 4,000 articles published

Over 2.3 Million Page Views and counting

Over 10,000 followers on social media

Subscriber list growing by 2% monthly

Thanks for subscribing!