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In a notable achievement, Australian gold explorer, Kingwest Resources Limited (ASX:KWR) has reported the highest grade intersections at its flagship Menzies Gold Project, since the acquisition of the project in September 2019. The high-grade intersections have been declared as part of the results received from the Reverse Circulation pre-collar and shallow target drilling recently completed at the Menzies project.
Following the release of this announcement, KWR stock surged by ~27 per cent, closing the trading session at $0.165 on 14th April 2020.
On 27th March 2020, Kingwest notified about the completion of 14 RC pre-collars and 10 RC drill-holes (which will not have diamond core tails) for 3,402 metres at Menzies, focussing on three Exploration Target areas: First Hit, Lady Shenton and Yunndaga. The assay results for these RC holes are now out and demonstrate significant intersections at Lady Shenton and First Hit Systems.
Let us quickly scroll through these remarkable assay results below:
Lady Shenton System
The recently finalized drilling has validated the potential of the Stirling Lode within the Lady Shenton System, with KWR009 intersecting 5m @ 13.1 g/t Au from 32m (inc. 1m @ 58.6 g/t Au from 32m) and KWR003 intersecting 1m @ 9.4 g/t Au from 44m.
The Company also announced high-grade intersections in KWR005 and KWR010, which include:
- 3m @ 7.2 g/t Au from 47m including 1m @ 13.4 g/t Au from 47m in KWR005
- 2m @ 6.5 g/t Au from 74m including 1m @ 9.5 g/t Au from 74m in KWR010
These high-grade intersections highlighted the excellent exploration potential within Menzies outside of the main Exploration Targets connected with known historic producers. Besides, these intersections seem to have uncovered another new lode further to the west of the Stirling lode.
Kingwest believes that the drilling success was above expectations at Lady Shenton as these holes were not specifically targeting shallow lodes, but many pre-collars at the mineralised system were likely to cross through the position of the interpreted Stirling Lode.
First Hit System
The recent results have returned a high-grade intersection of 3m @ 158.4 g/t Au from 180m (inc. 2m @ 237.5 g/t Au from 180m) in KWR023 below underground workings at First Hit System.
The high-grade intersection is reported in one of the four RC holes completed (KWR021 – 024) under drilling program at First Hit and are also the first holes to be drilled below the historical First Hit underground workings.
It is worth noting that the high grades returned at Menzies support historical production figures and grades. The Company has started the deeper Diamond drilling for deeper high-grade targets, which is currently in progress.
Must Read! Kingwest Reports Surge in Menzies’ Near Surface MRE’s, Share Price Soars
Kingwest Progresses in Line with 2020 Exploration and Development Strategy
In line with its 2020 exploration and development strategy, Kingwest has sold some of its exploration tenure around Leonora for a cash consideration of $100,000. The exploration tenure sold includes King of the West Project (E37/1253) and the Emperor Project (E37/1054, E37/1086, E37/1319, E37/1321 and E37/1322).
Additionally, the Company has received part payment of $50,000 by disposing of the remaining tenement at the Emperor Project (E37/882) for $250,000. The balance is due to be received in late May 2020. The Company has sold these tenements to a wholly owned subsidiary of Red 5 Limited (ASX: RED), Darlot Mining Pty Ltd.
To Know More About Kingwest’s 2020 Exploration and Development Strategy, Click Here
Kingwest is delighted with the discovery of new lode at Lady Shenton, sub-parallel to the lodes which holds the established, high-quality Lady Shenton deposit. Additionally, the Company believes that the significantly high grades reported at First Hit confirm the potential for further depth extensions at the mineralised system.
Also Read Meet Kingwest’s Board and Management Team Driving Development of Menzies Project
