Pantoro Ltd (ASX:PNR) has achieved immediate success from its maiden drilling program at the Mary River Gold Project located 20 kilometres from the Nicolsons Project in Western Australia.
The eight hole program which included five diamond drill holes and three reverse circulation (RC) holes featured 31.65 metres at 1.78 g/t gold.
Aeromagnetic surveys and additional drilling will be Pantoro’s next steps at the emerging Mary River project.
READ: Pantoro delivers 20% increase in gold reserve, lays platform for continued growth at Nicolsons
Pantoro’s managing director Paul Cmrlec said: “The initial exploration results from Mary River are an exciting development for the company.
“The entire 15 kilometre strike length of the Mary River line of workings remains untested with no drilling to speak of completed previously.”
Drilling demonstrates potential of area
Cmrlec added: “Pantoro owns and operates the only gold processing plant in the Kimberley Region, and has been able to secure many of the historical mining areas around Halls Creek in recent times.
“This drilling has again demonstrated the untapped potential of the region and provides Pantoro with a growth opportunity not often seen in a developed mining jurisdiction such as WA.”
No equity capital raisings since construction
Notably, Pantoro is debt free and cash flow positive having produced 52,203 ounces of gold in FY2018 from its flagship Nicolsons gold operation.
Due to the successful development and operation of Nicolsons, Pantoro has not had to raise funds by issuing equity since construction in 2015.
Pantoro aims to continue delivering value for shareholders as it targets an increased gold production run rate of 80,000 to 100,000 ounces per annum in CY2019.