Kalamazoo Resources (ASX:KZR) has intercepted several significant gold intersections during its maiden drilling program at the A-Zone Gold project in Western Australia.
The A-Zone Gold project forms part of Kalamazoo’s wholly-owned Snake Well Gold Project, located about 450 kilometres north of Perth in the Mid-West region.
Kalamazoo has now completed a 75-hole drilling program for 3,375 metres at A-Zone.
The results for circa 1/3 of the holes have been received so far, including:
- 2 metres at 9.54 g/t gold from 62 metres;
- 2 metres at 4.35 g/t gold from 24 metres & 6 metres at 3.21 g/t gold from 29 metres;
- 5 metres at 3.23 g/t gold from 25 metres.
Shallow gold mineralisation at A-Zone was discovered in the late 1980’s with further drilling completed by Giralia Resources in the early 2000’s.
Kalamazoo has intercepted several significant intersections of gold mineralisation, supporting the position and tenor of gold grades indicated by the historical drilling.
The drilling is part of an overall works program to complete development studies at A-Zone, in preparation for a feasibility study for consideration of a decision to mine.
Any resultant production would be processed through the Minjar Gold processing plant as part of an ore sale and purchase agreement with Minjar Gold Pty Ltd.
Kalamazoo will receive 60% of free cash flow generated from the operation.
The company’s shares were last trading 3% higher intra-day, at $0.175.