KGL Resources extends Jervois lead-zinc-copper zones

/in /by

THE DRILL SERGEANT: KGL Resources (ASX: KGL) has completed a program of reverse circulation (RC) drilling at the company’s Jervois copper-silver-gold project in the Northern Territory.

The company said the drilling has extended high‐grade mineralisation at the project with highlights from the drilling including:

Marshall:

KJC122
14 metres at 2.53 per cent copper, 0.18 per cent lead, 1.71 per cent zinc, 27.8 grams per tonne silver, 0.22g/t gold from 263m, including 5m at 6.12 per cent copper, 0.2 per cent lead, 2.42 per cent zinc, 31.4g/t silver, 0.48g/t gold from 263m; and

KJC121
4m at 0.51 per cent copper, 7.91 per cent lead, 4.4 per cent zinc, 163.3g/t silver, 0.13g/t gold from 393m.

Reward:

KJC123
19m at 0.6 per cent copper, 3.36 per cent lead, 2.26 per cent zinc, 104.2g/t silver, 0.11g/t gold from 235m, including 6m at 0.96 per cent copper, 8.37 per cent lead, 4.64 per cent zinc, 162.9g/t silver, 0.16g/t gold from 235m.

KGL commenced the RC drilling program in early February at the Bellbird, Marshall‐Reward and Green Parrot Resources.

The drilling targeted poorly-drilled areas outside the current resources KGL considered to have potential for high‐grade mineralisation and are within the company’s proposed open pits or close to planned underground mine development.

“The polymetallic nature of parts of the Jervois mineralisation is adding value to the economics of the project as a whole,” KGL Resources managing director Simon Milroy said in the company’s announcement to the Australian Securities Exchange.

“In addition to the copper, lead and zinc we are typically seeing much higher silver and gold grades than the predominantly copper parts of the resource.

“The recent metallurgical test work on the lead‐zinc‐silver ore has shown that it can be batch processed through the copper plant to produce a high-grade mixed lead‐zinc concentrate.

“This means that the additional capital that was planned to be spent in the third year of operations to construct separate lead and zinc circuits will no longer be required”

With the drilling now complete, KGL indicated it has additional geological mapping, soil sampling and research work planned.

The company is waiting to receive further assay results from the drilling with results from over 3,000 samples still outstanding.

These will feed into an updated resource estimation KGL anticipates to be completed in July 2015.

Website: www.kglresources.com.au