Riversgold Ltd (ASX:RGL) chairman David Lenigas discusses the potential and progress of the company's Northern Zone gold project with Proactive's Stephen Gunnion, highlighting the current favourable conditions due to rising gold prices, with expectations that the price could reach approximately A$4,000 an ounce in the near future.
Lenigas detailed the exploration target of 2.8 to 4.5 million ounces of gold, situated near Kalgoorlie, a major mining area. He likened the project to Saturn Metals’ Apollo Hills project, with similar geological features and promising metallurgy showing 92% recovery rates.
Steps towards building JORC-compliant mineral resource estimates were outlined, including continued drilling to verify the geological model, which has so far proven successful up to 450 metres in depth.
Lenigas noted a significant increase in central bank gold purchases as a key driver of the current gold price surge, which he believes will eventually lead to a revaluation of junior gold companies.