Kin Mining NL (ASX:KIN) has struck more wide zones of gold mineralisation at Rangoon prospect of the Cardinia Gold Project in Western Australia, revealed during the Eastern Corridor exploration program targeting the underexplored area.
The company encountered what it considers significant new zones of mineralisation in the southeast section of the Rangoon historical workings in reverse circulation (RC) drilling, with highlight intersections including:
- 32 metres at 2.98 g/t gold from 129 metres, including 12 metres at 5.62 g/t from 129 metres and 12 metres at 2.25 g/t from 149 metres;
- 15 metres at 3.03 g/t from 162 metres;
- 7 metres at 2.77 g/t from 76 metres; and,
- 4 metres at 6.19 g/t from 121 metres.
The mineralisation in this area remains open to the south and down-dip to the east.
Kin Mining also observed broad zones of shallow gold to the east of this area, identifying steeply east-dipping mineralisation supported by previous near-surface quartz-sulphide intersections including:
- 19 metres at 2.48 g/t gold from 91 metres;
- 12 metres at 3.04 g/t from 62 metres; and
- 43 metres at 1.03 g/t from 39 metres including 15 metres at 1.55 g/t from 48 metres.
“Further vindication” of Eastern Corridor focus
“We are excited to see more thick zones of high-grade gold in the final batch of assays from recent RC drilling at Rangoon,” Kin Mining managing director Andrew Munckton said.
“This is a further vindication of our focus on the underexplored Eastern Corridor and we believe that we have now developed a very good understanding of the orientation and controls on the mineralisation.
“Rangoon contains several strong lodes and broad zones of mineralisation that appear to be improving with grade as we progress deeper and to the south.
“The mineralisation is predominantly primary, sulphide-hosted mineralisation which is easily recognisable and has the same origins as the other mineralisation found along the Eastern Corridor – with similar strong silver grade, alteration and pathfinder minerals.
“Importantly, recent metallurgical test-work at Cardinia Hill has shown excellent recovery of gold and silver from similar sulphide ores, which bodes well for the future economic potential of mineralisation delineated along this corridor.
“These Rangoon lodes are wide and high grade (up to 32 metres at 3.0 g/t in the latest results) and sit adjacent to the Helens Fault and link between the Helens Fault and other parallel structures like the Fiona Fault and the Cardinia Hill Fault.
“The Eastern Corridor mineralisation as intersected in the latest drilling at Rangoon is also likely to persist to significant depth – we know that high-grade zones persist up to in excess of 250 metres deep nearby at Helens and Cardinia Hill at similar grades.
“These latest results confirm our view that the Eastern Corridor will continue to yield further high-grade lodes, allowing Kin to delineate new resources and grow our overall inventory.”
Kin Mining’s interpretation of these latest results points to high-grade quartz lodes combining to form a broad quartz sulphide zone that corresponds with and dips east from the Helens Fault.
The company believes there is ‘outstanding’ potential to expand the existing 32,000-ounce mineral resource at Rangoon and has scheduled an updated mineral resource estimate for the Eastern Corridor region for the third quarter of this year.