IronRidge Resources Ltd (LON:IRR) told investors it has uncovered high grade areas of the May Queen prospect, in Australia, through the analysis of historic drilling records.
On AIM, the explorer’s shares advanced around 7% in early deals.
In a statement it said they included intersections in one hole 4 metres with 38.8 grams per tonne gold and 3 metres at 18.9 grams per tonne gold.
Another hole measured 2 metres at 73.4 grams per tonne, and 1 metre with 145 grams per tonne.
The company highlighted that the mineralisation is still open along strike, in both directions, as well as at depth.
It also noted that there are currently untested anomalies in the area.
Vincent Mascolo, Ironridge chief executive, described the data as significant and told investors it requires further investigation.
"Multiple untested magnetic anomalies with similarities to May Queen occur along strike and concealed below younger cover sediments to the south; these too are significant and require follow-up," Mascolo added.
"The company's corporate strategy continues to yield positive results.
“IronRidge's initiatives have identified several opportunities, which are the subject of ongoing investigation.
“This, coupled with a strong treasury, positions the company in good stead for the future and the Board looks forward to keeping shareholders updated with developments."