Kairos Minerals (ASX: KAI) believes high-grade gold results from a recent drilling campaign have shown strong potential for a resource expansion at its 643,000-ounce Pilbara gold project in Western Australia.
The Pilbara explorer recently completed a 51-hole reverse circulation drilling program at the project, which was designed to infill and extend the mineralisation beyond the current 486,000oz indicated and inferred resource at the Mt York deposit.
Significant assays included an 8m intersection grading at 3.79 grams per tonne of gold from a depth of 136m, including 1m at 5.53g/t gold from 140m.
Other highlights included: 13m at 1.45g/t gold from 57m including 1m at 4.12g/t gold from 65m; 8m at 3.44g/t gold from 145m including 1m at 12.7g/t gold from 146m; and 37m at 1.3g/t gold from 62m including 8m at 4.77g/t gold from 90m, as well as 1m at 17.02g/t gold from 96m.
According to the company, the results have confirmed “outstanding potential” to expand the current 643,000oz resource of the entire Pilbara project, with the follow-up drilling clearly showing “considerable upside”.
“Importantly, we have confirmed the potential for significant extensions of the 486,000oz Mt York deposit, which has now been extended to a strike length of over 3.8km,” Kairos executive chairman Terry Topping said.
In addition, the company reported high-grade intervals within the wider mineralised envelope, which supports the interpreted existence of high-grade mineralised “shoots” within the deposit.
Topping also noted a significant flattening of the mineralised sequence at Gossan Hill, which has significantly increased the tonnes per vertical metre in that area and “enhances the future open pit mining potential”.
A new zone of high-grade gold mineralisation was also identified within the footwalls mafics west of Main Hill, and wide continuous mineralisation was confirmed from the floor of the Breccia Hill pit.
“All of these attributes bode well for the future economics of any mining development at Mt York, while our recent drill campaign has opened up a number of new target areas including a significant zone of conglomerate-hosted gold mineralisation adjacent to Gossan Hill and in wide-space drilling over a 500m strike length east of Golden Gully,” Topping said.
“This project is rapidly emerging as a significant asset for Kairos alongside our extensive conglomerate gold interests at the Croydon project, where a major new phase of exploration is currently underway,” he added.
Croydon is another project located within Kairos’ larger 100%-owned Pilbara gold project.
Last month, the company announced a “bonanza” find at Croydon, recovering 256 gold nuggets weighing a combined 254g during a helicopter-supported exploration program.
Kairos shares were up 6.06% to $0.035 on today’s news by midday trade.