Results from a follow-up aircore drilling at Kin Mining’s (ASX: KIN) Iron King project have highlighted the potential for a gold discovery close to the company’s flagship Cardinia gold project in Western Australia.
Assays have revealed numerous gold intervals at Iron King, which is 45km north of Leonora.
Notable results from the wide spaced aircore drilling program at Iron King’s Iron King West target were 4m at 2.93 grams per tonne from surface; 4m at 1.18g/t gold from 20m; and 4m at 1.18g/t gold from 8m.
At the Axford prospect, drilling uncovered 4m at 1.01g/t gold from 12m; 2m at 0.96g/t gold from 44m; and 4m at 1.05g/t gold from 12m.
Kin managing director Andrew Munckton said the initial program at Iron King had delivered “encouraging results” last year.
“The follow-up program has now confirmed and extended the Axford mineralisation to 800m of strike length when drilled at 100m and 200m line spacing.”
“At the Iron King West line of mineralisation, aircore drilling has confirmed the mineralisation over 500m of strike centred on the historically mined Iron King open pit.”
Mr Munckton noted the mineralised unearthed during aircore drilling shows visual similarity to the vein systems mined at the nearby Victory workings and the historic Iron King pit.
With Iron King emerging a potential satellite mine to the company’s flagship Cardinia asset, Mr Munckton said the company plans to undertake reverse circulation (RC) drilling.
“We plan to commence this RC drilling in the December 2021 quarter given the significant number of other exploration priorities we need to attend to at Cardinia and Mt Flora.”
“We expect to report a significant number of assays from aircore drilling programs at new targets generated by the comprehensive gravity survey at Cardinia in the coming weeks as we progressively receive results from drilling completed in August and September,” he added.
Flagship Cardinia gold project
Kin’s flagship project Cardinia is also located near Leonora in WA’s north-eastern goldfields.
The project has a resource of 31.1Mt at 1.27g/t gold for 1.28Moz.
Kin has raised $13 million to fund the next phase of systemic exploration work across Cardinia, Mt Flora and Iron King.
St Barbara takeover offer rejected
The capital raising followed Kin’s rejection of a non-binding takeover offer from St Barbara (ASX: SBM), which owns almost 20% of Kin.
St Barbara’s offer valued Kin at $0.16 per share.
However, the company’s other major shareholders said the offer was not acceptable.