Red Rock Resources said laboratory results from the first hole drilled by its joint venture company at the Mt Bute prospect in Victoria are considered significant.
Preliminary X-ray fluorescence analysis of selected Mt. Bute core intervals had returned highly anomalous molybdenum and bismuth results, suggesting the possibility of intrusive related gold mineralization within the Victorian goldfields.
A total of three holes were drilled at the Mt. Bute Prospect and the results from the second and third holes are still awaited.
Andrew Bell chairman, said: "This is only the first hole of our small programme on the property so to have encountered such widespread mineralization, including some good grades, was a very good outcome.
New Ballarat Gold Corporation, which is exploring the prospect, is owned 50.1% by Red Rock and 49.9% by Power Metal Resources.