Kingwest (ASX:KWR) hits paydirt again with bonanza gold grade at Menzies

  • November 12, 2020 01:17 PM AEDT
  • Team Kalkine
    Team Kalkine
    admin Team Kalkine
    16933 Posts

    Team Kalkine comprises of experts who understand various markets nuances and are enthusiastic and passionate to provide best possible offerings in the form of insights and stories. The team has rich experience of working across different markets with...

Kingwest (ASX:KWR) hits paydirt again with bonanza gold grade at Menzies


  • Kingwest Resources Limited (ASX:KWR) has yet again disclosed encouraging intersections from the drilling campaign at the Menzies Gold Project.
  • Since its previous announcement in late-October 2020, KWR has continued drilling at the Stirling prospect with further 38 Resource Definition and exploration RC holes completed.
  • The continued drilling at the prospect now seems to be presenting a high-grade bonanza, increasing the potential of upgrading the Mineral Resource Estimates (MER).

Kingwest Resources Limited (ASX:KWR) has received exceptional gold intersections in Stirling Deposit Mineral Resource from continued Reverse Circulation (RC) drilling at the Menzies Gold Project (MGP).

The Company completed further 38 Resource Definition and exploration RC holes for 3,200m since its previous drilling result notification to the market in late-October 2020.

High-Grade Bonanza

The continued drilling activity at the prospect seems to have bear fruits for the miner with KWR receiving some strong intersections from the Stirling Deposit, ranging from 56.54 g/t to 4.26 g/t of gold.

Some of the strong intersections received by the Company included:

With the encouraging results, KWR has extended the drilling activity to 48 RC holes for ~ 7,000m along with ~ 1,400m of exploration drilling across several targets in MGP, planned to be completed by end-2020.

The most important observations in the recent result is that intersections received from holes KWR123 and KWR124 lie on the southern edge of the current Mineral Resource, increasing the potential of a significant resource extension at the prospect.

Furthermore, the intersections returned are of a much higher grade than was previously estimated, which could possibly lead to an overall increase in the updated Mineral Resource Estimates (MRE).

© Kalkine Group 2020

Resource Definition Drilling

KWR is in the process of completing infill and extensional (Resource Definition) drilling as well as exploration drilling at the project with an aim to upgrade the current Mineral Resource estimates of 319,900 ounces of gold at an average grade of 2.1g/t, mostly belonging to the JORC 2012 classified Inferred Category.

The deposits under target include the First Hit, Lady Shenton, Lady Harriet and Yunndaga Systems. Of these, drilling is yet to commence at the Yunndaga Systems. Moreover, drilling at some deposits such as the First Hit System and the Central Zone has been concluded.  

To date, KWR has completed 110 RC holes for ~ 10,084m and has time-to-time disclosed some encouraging intersections. The Company now plans to conclude drilling at other exploration targets by next month.  

The Price Behaviour

As the Company is extending the current intersections and deposits, eying a potential increase in the MRE, the market seems to be noticing each development closely. The stock is trading in a continuous uptrend after hitting a low of $0.071 (intraday low on 23 March 2020).

From $0.071, KWR has recovered considerably, with the stock surging to the recent high of $0.250 (intraday high on 26 October 2020), increasing over two-fold in value with a price appreciation of ~ 252 per cent.

However, at present, the stock is consolidating within a range of $0.220 to $0.190.



The website is a service of Kalkine Media Pty. Ltd. (Kalkine Media) A.C.N. 629 651 672. The principal purpose of the content on this website is to provide factual information only and does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stock of the company (or companies) or engage in any investment activity under discussion. We are neither licensed nor qualified to provide investment advice through this platform. In providing you with the content on this website, we have not considered your objectives, financial situation or needs. You should make your own enquiries and obtain your own independent advice prior to making any financial decisions.
Some of the images that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed on this website unless stated otherwise. The images that may be used on this website are taken from various sources on the web and are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it below the image. The information provided on the website is in good faith, however Kalkine Media does not make any representation or warranty regarding the content, accuracy, or use of the content on the website.


We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK