KGL reveals positive drill results at Mallappakonda
By BFN News | 09:58 AM | Monday 02 April, 2012
India-focused Kolar Gold has revealed significant results at its Mallappakonda deposit in the South Kolar licence area.
Modelling is under way in preparation for a resource upgrade from a combination of validation drilling, historic data and new drilling at the Mallappakonda deposit as part of an 8,000m drill programme completed over the South Kolar licence area.
It said drilling at Mallappakonda has validated historic Mineral Exploration Corporation Limited data with drill Hole KMK-02 intercepting a 21.5m wide mineralised zone from 98m averaging 5.5 g/t and drill hole KMK-03 intercepting a 19m wide mineralised zone from 121.5m averaging 2.7 g/t.
Chief operating officer Richard Johnson said: "We are very pleased to announce these two quality shallow intercepts at our Mallappakonda deposit.
"The historic gold resource at Mallappakonda was 61,527 oz gold as defined by the MECL in 1984.
"There remains scope to add additional ounces to the resource statement and drilling at the deposit will continue once resource modelling is completed.
"To date 8,000m of drilling in the South Kolar block has been successfully completed and we look forward to updating investors with further operational updates in H1 2012 once additional assays results are received."
At 9:58am: (LON:KGLD) share price was +1.13p at 14.25p
Story provided by StockMarketWire.com