Keras Resources Strong Gold Results at Prince of Wales Underpin Development Plan

Keras Resources Ltd, the Australian gold mining company, is pleased to announce that reverse circulation (‘RC’) drilling at the Prince of Wales (‘PoW’) project, located in the Grants Patch lease area, has returned economic, high-grade results including 3m at 14.64 g/t gold (Au) from 66m (PWRC005) and 3m at 7.25g/t Au from 60m (PWRC002) and show positive grade continuity.  

Click on or paste the following link into your web browser to view the associated PDF document:

http://www.rns-pdf.londonstockexchange.com/rns/1346B_-2016-6-14.pdf

Highlights

  • The results underpin Keras’ plans to deliver high-grade product from PoW to the Paddington processing plant in the next 6 months under the agreement with Norton Gold Fields Ltd (‘Norton’)
  • The mineralisation delineated via drilling provides near surface, quick access high-grade feed for processing
  • The PoW, which has a historic underground resource of 154,000 t at 8g/t Au, is located on the same leases where the Company is currently mining the Accord and Anomaly 22 open pit deposits
  • Opens up ~ 20,000t of high-grade ore from the previously developed Consols decline
  • The Company will now commence a resource development programme utilising diamond drilling
  • Clean up of pit underway to re-access decline

 

Keras Managing Director Dave Reeves said, “These results demonstrate the high-grade nature of mineralisation at Prince of Wales, open up areas of the asset previously not contemplated for mining and reinforce our view on the value of the project. The ability to access high-grade ore during the development phase of mining will greatly enhance our cash flow position. Work has now commenced on re-accessing the Consols decline with the clean-up of the pit and re-establishment of the portal area. It is envisaged that we will be able to access this ore in Q4 2016 which will provide high-margin material for the Company to add to the cash flow already being generated.”

 

Table 1: RC Drill Results

Hole No

From

To

Width

Au g/t

PWRC0001

38

41

3

2m historic mining void

Including

40

41

1

1.97

PWRC0002

60

66

6

4.09

Including

60

63

3

7.25

PWRC0005

66

73

7

7.11

Including

66

69

3

14.64

*PWRC0003 and PWRC0004 will be drilled in the next campaign

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