Rockfire Resources PLC (LON:ROCK) shares jumped higher on Tuesday as the firm said it recently completed reprocessing of historical geophysical data from its 100%-owned Plateau Gold Deposit in Queensland, Australia which has highlighted a number of large chargeable responses which will be tested during the group’s current drilling program.
In morning trade, Rockfire shares added 14.5% at 0.315p.
The AIM-listed gold and base-metal focused explorer said the data was reprocessed using modern computing methods which were not used when the data was originally collected in 1985.
The company said the reprocessing showed that multiple, high chargeability zones occur over a distance of over 500m, with the strongest chargeable response starting at around 70 metres (m) below surface and extending to depth.
Rockfire pointed out that the chargeability zones remain open along strike and at depth and said a single hole is planned to be drilled into the centre of one of the chargeable responses to test for gold mineralisation down to 200m.
The company noted that the Plateau gold resource currently estimated at 1,147,000 tonnes at 1.1 grammes per tonne (g/t) for 40,000 ounces of gold.
David Price, Rockfire’s chief executive officer of commented: "An Induced Polarisation (IP) survey was conducted in 1985, and using modern processing techniques, Rockfire has identified multiple, strong chargeable responses in excess of 35 mv/V.”
He noted: “One of these geophysical targets lies adjacent to a drill hole drilled by Rockfire in 2017 which intersected 22m @ 1.90g/t Au.”
Price added: "As we focus on Plateau, we're observing more evidence for a potentially large-scale gold deposit. Plateau has similarities to the currently operational Mt Wright gold mine (+1 Moz) which occurs approximately 50 km northeast of Plateau. Mt Wright and Plateau are both breccia-hosted gold deposits on the margins of a rhyolite plug.
"We will continue to inform the market on our progress at Plateau."