Cardinia Hill continues to deliver strong gold hits for Kin Mining
Recent drilling has confirmed the continuity of shallow gold mineralisation at Kin Mining’s Cardinia gold project in WA.
Just two days after a gold major took a stake in Kin Mining (ASX: KIN), the West Australian explorer has produced more encouraging gold assays from its Cardinia Hill prospect within the flagship Cardinia project in WA.
Kin’s lasted gold results include 11m at 2.52 grams per tonne, 7.8m at 2.9g/t and 4.5m at 2.67g/t from its ground in the north eastern goldfields.
On Wednesday, St Barbara (ASX: SBM) revealed it has paid $25.3 million for 158.1 million shares in KIN at an average $0.16 each, giving the major a 19.8% interest.
Not only did that news send Kin’s stocks to a six-month high, but it set off speculation about St Barbara’s future intentions regarding the junior.
Kin, in its release today, says the latest drilling results confirm the potential for Cardinia Hill to emerge as a sizeable, high-grade deposit with 13 of its 14 deep holes intersecting the targeted mineralised structure.
High-grade zones now confirmed
Managing director Andrew Munckton said the phase four drilling program was completed in late May and these final results from the deeper zone demonstrate the continuity of high-grade mineralisation at up to 200m below surface.
“We are particularly pleased to see the high-grade zones now confirmed to a considerable depth and into potential future underground mining positions,” he added.
The Cardinia Hill prospect is located 2km east of the centre of the overall 100%-owned Cardinia gold project and was discovered last year.
Shallow reverse circulation and diamond drilling led last December to an inferred resource of 1.2 million tonnes at 1.66g/t gold, for a contained 61,000oz.
This latest announcement results from the additional 14 holes for 1,561m, representing the final 30% of the planned resource-in-fill and extensional program.
Metallurgical testing of gold begun
With the completion of that drilling program, Kin has begun a metallurgical test work program.
These tests are concentrating initially on grinding and leaching performance of sulphide samples.
The whole project has a 1.23Moz gold mineral resource defined in both oxide and deeper primary mineralisation with, the company says, “considerable” potential to grow this resource with further drilling.
Kin describes its exploration effort as “a systematic program of exploration across the Cardinia mining centre that seeks to advance a number of targets in parallel while developing a pipeline of exploration targets for ongoing mineral resource expansion”.