Drilling at a newly discovered copper-gold lode at KBL Mining’s Mineral Hill project site has extended the dimensions of the deposit directly below the current underground operation. The high-grade copper and gold mineralization discovered below the lowest development level contrasts the currently mined copper-silver rich resource.
Highlights from the diamond drill program include 4.55 metres @ 5% copper and 3% gold, 6.8 metres @ 0.17% copper and 5.9 grams/tonne gold and 5 metres @ 2.3% copper. These results further support the interpretation of copper-gold mineralization extending more than 30 metres below the current operation.
Meantime, strong copper mineralization has been intersected at a mine adjacent to the established underground operation.
The 1000 metre reverse circulation drill program was designed to delineate the copper-gold mineralization southwest of the active mine and to test the southern extent of the Red Terror lodes.
The mineralization at Red Terror is similar in style to the Eastern Ore Zone (EOZ) which has historically produced almost 250,000 ounces of gold. The copper-rich mineralization has been intercepted in several drill holes with intersections ranging from between 24 metres to 37 metres.
“These results demonstrate that the mineralized lodes remain open at depth and along strike. Underground drilling continues and visual logging of three recent holes is encouraging. The surface RC drill program will better test the extent of this system,” says KBL chief executive officer Trangie Johnston.
Mineral Hill is the company’s main asset, located near Condobolin in central New South Wales. KBL has been operating the refurbished processing plant since October 2011 to produce copper concentrates.