Why AIM-listed Cora Gold (LON: CORA) catapulted by 37%?

Summary

• AIM-listed and West Africa focused gold mining company Cora Gold Limited’s (LON:CORA) shares jumped over 37 per cent on Wednesday.
• CORA was the highest riser on the LSE after announcing the most recent drilling results at its Sanankoro gold discovery in southern Mali.
• Cora Gold outperformed both the FTSE AIM All-Share index and the precious metals sector index, following the news.

AIM listed gold mining company Cora Gold Limited (LON:CORA) was the highest riser on the AIM submarket on Wednesday, soaring over 37 per cent after the company announced its latest drilling results at its Sanankoro gold discovery in Mali.

Cora Gold’s (LON:CORA) share price performance

Cora Gold’s shares closed at GBX 11.00, up sharply by 37.50 per cent on 7 July. Cora’s market cap stood at £19.66 million and its year to date returns are at 33.33 per cent.

(Image Source: Refinitiv)

Comparatively, the broader FTSE AIM All Share index, which Cora Gold is a constituent of, ended at a modest 0.08 per cent rise at 1,265.34.

Meanwhile, the precious metals sector index, which Cora gold is also a part of, ended at 22,953.39, up by 0.45 per cent.

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Cora Gold’s Sanankoro gold project drill results

The company announced its sixth round of drilling results from the Sanankoro gold project located in southern Mali on Wednesday, stating that it found a world class intersection at the Sanankoro project.  The results at Zone A and Zone C has underpinned the mineable quality of the project.

The drill results at Zone A reported the world class intersection of 19m at 31.56 g/t of gold from 65m in Zone A. Notably, the intercept began at a 50 m depth lower than Zone A’s existing pit shell.

Cora Gold’s CEO, Bert Monro, said the 19m at 31.56 g/t of gold from 65m was the most significant hole the company had drilled. Mr. Monro added that the 35,000m Sanankoro drilling programme is expected to end sometime in the next month and was currently on schedule.

Cora Gold also reported results of 14m at 8.54 g/t of gold from 115m in Zone C. However, Zone C is not part of the company’s mineral resource estimate since it is a pre resource discovery.

The results were higher than the previously reported historical results found in Zone A and Zone B of the Sanankoro drilling campaign. Moreover, the results are of good widths and high grades from largely shallow oxide ores, as previously seen in the Selin deposit.

The company added that the drill results helped further confirm the mineable quality of the southern Mali based Sanankoro project’s gold structures.

The Sanankoro project is Cora Gold’s largest drilling programme. The company has so far drilled a cumulative of 224 holes, over 24,398m of the total 35,000m, from the start of the drilling campaign to 2 July. 

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