- Kalamazoo Resources (KZR) has completed its fourth diamond drill hole at the Mustang Prospect of the Castlemaine Gold Project
- An exceptionally high-grade intersection of 1.42 metres at 261.3 grammes per tonne of gold was intersected
- Up to eight diamond drill holes are currently planned for Mustang with this program expected to take 10 weeks to complete
- Kalamazoo's share price is up a steady 14.9 per cent with shares trading for 27 cents apiece
Kalamazoo Resources (KZR) has completed its fourth diamond drill hole at the Mustang Prospect of the Castlemaine Gold Project.
Of significance, hole MU19DD04 recorded an exceptionally high-grade intersection of 1.42 metres at 261.3g/t from 100.32 metres containing 0.17 metres at 1620g/t gold.
"Although we are in the very early days of our maiden drill program at Castlemaine, this exceptionally high-grade assay is extremely encouraging, especially as the visible gold-bearing quartz vein appears to have been only partially intersected," Chairman and CEO Luke Reinehr commented.
"An intersection of 1.42 metres at 261.3g/t gold supports our exploration strategy to focus on the incredibly rich historical Castlemaine and South Muckleford goldfields in our search for the next world-class deposit in Victoria," he added.
The Castlemaine Gold Project consists of two granted tenements, EL6679 and EL6752. These two licences have taken the total tenement holding to 288 square kilometres.
The goldfield produced 5.6 million ounces of gold across its life and is one of the richest goldfields in Australia.
Only minor exploration activity has been undertaken over the past decade with limited effective drilling below 400 metres.
Other results from this recently completed program include 0.27 metres at 70.6g/t gold from 100.49 metres and 0.49 metres at 49.7g/t gold from 101.25 metres.
Visible gold was found at 0.17 metres at 1916g/t gold from 100.32 metres.
Information from these first four drill holes will be used in a technical review and likely revision of Kalamazoo's interpreted 3D structural model for the Mustang Prospect.
An expected key outcome of this process will be further drill hole designs that test and refine both the 3D structural and gold mineralisation models.
Drilling at Castlemaine has now stopped for the Christmas-New Year break but will re-commence in mid-January 2020.
Remaining samples collected from MU19DD04 are currently being submitted to the laboratory for analysis.
A further six holes have been planned for the Mustang Prospect, however, depending upon the ongoing drill program results.
This is expected to take 10 weeks to complete and results will be available when they become available.
Kalamazoo's share price is up a steady 14.9 per cent with shares trading for 27 cents apiece at 3:24 pm AEDT.