Riversgold (ASX: RGL) has hit shallow mineralisation in 21 drill holes at the Northern Zone intrusive-hosted gold development within its Kalgoorlie project in Western Australia.
The program intersected the mineralised host porphyry at the north-east, west, and east zones over an increasing footprint and consistently validated the company’s broader gold mineralisation model.
Significant results included 8 metres at 5.81 grams per tonne gold from 46m, 4m at 2.28g/t from 43m, 7m at 3.48g/t from 48m, and 5m at 3.13g/t from 41m.
Riversgold has booked a drill rig for February to continue expanding the oxide gold mineralisation footprint at Kalgoorlie before proceeding to a maiden mineral resource estimate.
Northern Zone Prospectivity
Exploration director Ed Mead said the results had continued to affirm Northern Zone’s prospectivity.
“It is great to expand and intersect gold grades in the northeast area, and also in the important saddle area that joins the east and west zones previously identified on the project,” he said.
“Our modelling suggests this could constitute part of a 600m-wide zone of shallow oxide mineralisation overlying the Northern Zone porphyry system.”
Riversgold is still awaiting results from a further 16 holes, which it expects to receive in two batches over coming weeks.
“Our two recent drill programs were designed to add to our gold footprint in the top 50-60m at the Kalgoorlie project—the results continue to expand the lateral footprint of Northern Zone, and show that we are achieving the goal of making the project bigger in the oxide zone.”
Two-Tranche Capital Raising
Riversgold has received firm commitments for a $2.15 million two-tranche placement priced at $0.01 per share to advance development of Northern Zone and the Tambourah copper-gold project in WA’s Pilbara region.
Kalgoorlie project development partner Mega Resources will invest $1m by subscribing for 100 million shares in the placement.
Mega signed an agreement with Riversgold in September that will see it provide all of the funding plus geological, engineering, project management, mining, and haulage services for the Northern Zone development.
It will share the profits equally with project owners Riversgold (80% equity) and Oracle Power (20%), and re-invest 10% of the monthly proceeds into expansion grade control and step-out drilling.
Riversgold said it would continue to advance its understanding of the Kalgoorlie project before proceeding with a maiden mineral resource estimate, adding that Mega would use this latest data in their planning for mining scheduled to start in the first half of 2026.
