Chaarat Gold Holdings Ltd (LON:CGH) shares rose on Tuesday following news the firm has received assays for the first tranche of the recent drilling programme conducted on its Tulkubash gold project in Kyrgyzstan.
Over 3,800 metres of drilling was completed, with a minimum of 20,000 metres scheduled to be completed in 2019.
Among the highlights was 15.5 metres true width grading 2.2 grams per tonne gold.
The objective of the ongoing drilling is to push the resource at Tulkubas past two million ounces of gold in measured and indicated JORC resource categories.
The work will also help improve the project economics within currently defined pits by adding ore within existing pit shells, reducing the strip ratio, and optimizing metallurgical recovery model
"We are very excited to have begun the exploration and drilling season at Tulkubash,” said Dusty Nicol, Senior Vice President Exploration.
“Last year's programme discovered 650,000 ounces of gold in measured and indicated resource categories at a discovery cost of US$11.40 per ounce. We have every reason to expect similar or greater rates of success with this year's programme.”
In midday trading, shares in Chaarat Gold were 2.4% higher at 30.40p.
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