Riversgold's Northern Zone Project Yields High-Grade Gold Discoveries
RIVERSGOLD LIMITED (RGL) Share Update November 2024 Monday 18th
Riversgold Unveils Promising High-Grade Gold Intercepts at Northern Zone
Riversgold Limited (ASX: RGL) has announced promising assay results from its Northern Zone Gold Project, located 25 kilometers east of Kalgoorlie, Western Australia. The results reveal significant gold intercepts, highlighting the potential of this project to become a major gold-producing site.
Instant Summary:
- Significant gold intercepts include 7m @ 4.07 g/t Au from 48m (NZAC107).
- New high-grade zone confirmed in eastern extensional area.
- Exploration Target of 2.5 to 4.8 million oz of gold.
- Mining Lease application to follow mineralisation report.
- Drilling continues to validate geological model.
Assay Results and Exploration Progress
Riversgold Limited has received assay results for the first ten holes of its November aircore drilling campaign at the Northern Zone Gold Project. These results include significant gold intercepts, such as 7 meters at 4.07 grams per tonne (g/t) gold from 48 meters in hole NZAC107, and 4 meters at 7.47 g/t gold from 49 meters in hole NZAC113.
The Northern Zone Project, with an Exploration Target of 200 to 250 million tonnes at a grade of 0.4 to 0.6 g/t gold, aims for a potential yield of 2.5 to 4.8 million ounces of gold. The exploration target is based on historical and recent drilling data, and while it is conceptual in nature, the results are encouraging for future resource estimation.
Geological Insights and Project Development
The new high-grade zone identified in the eastern extensional area of the 600-meter wide porphyry system has exceeded initial grade expectations. This discovery expands the known mineralisation footprint and confirms the presence of a significant gold system. The dynamic Leapfrog gold model for Northern Zone will be updated once all assay results are received, with the final 16 holes expected soon.
A mineralisation report, critical for the Mining Licence application, is anticipated by the end of the month. Riversgold plans to submit the Mining Lease application promptly thereafter, marking a significant step towards potential mining operations.
The announcement of high-grade gold intercepts at the Northern Zone is likely to positively influence Riversgold's stock price. The confirmation of a new high-grade zone and the potential for a substantial gold resource could attract investor interest and boost market confidence in the project.
Investor Reaction:
Analysts are likely to view the results favorably, given the project's proximity to Kalgoorlie and the promising assay results. The market may react positively, anticipating further successful exploration and potential resource expansion.
Conclusion:
Investors should keep a close eye on Riversgold's upcoming assay results and the submission of the Mining Lease application. The Northern Zone Project's continued success could present lucrative opportunities for those invested in the gold mining sector.