Microcap Carnavale Resources (ASX:CAV) has hit gold during initial exploration drilling at two separate projects in WA.
The Kookynie project boasts unusually high grades; and mid-grade gold has been found at the Ora Banda South project.
Today’s results are based on data received for RC drilling at Kookynie and aircore drilling at Ora Banda.
The company is reporting the following gold drilling results at Kookynie and Ora Banda.
Investor information provider Undervalued Equity notes gold grades from 5 grams per tonne (5g/t) are widely considered high grade.
It’s worth noting absolute consensus on gold grades can be hard to pin down, and by many yardsticks, 4g/t is also considered high grade.
Compare that with the results below:
Kookynie
16m @ 20.9g/t from 161m depth
04m @ 17.8g/t from 78m depth
04m @ 12.9g/t from 126m depth
04m @ 6.3g/t from 114m depth
Ora Banda
04m @ 2.69g/t from 36m depth
04m @ 2.59g/t from 48m depth
08m @ 0.58g/t from 32m depth
Carnavale continues diamond drilling at Kookynie, with rigs currently targeting areas on-site thought to contain more gold (read: targeting mineral extensions.)
The rigs will complete a 3 hole program comprising 500m of core.
The company has not given a timeline for results, and delays at assay laboratories mean investors might not hear much about this until late 2022, but that is only this author’s suggestion.
Meanwhile, at Ora Banda, the company has its eyes set on the Carnage and Highlander prospects respectively, both on the cards for follow up aircore and RC drilling.
Carnavale expects this to proceed before September.
“Carnavale has had an active quarter at Kookynie and Ora Banda,” CEO Humphrey Hale said.
“Assay turnaround has been an issue, but we hope to see this improve over the coming months.”
Investors should note that as a junior explorer, Carnavale is not making any money (but this is the case for most junior explorers.)
In early trades, it appears today’s results have gone largely overlooked. Intraday charts are very still.
However, the one year returns for Carnavale investors currently sit at 14.29%.
On a one year basis, Carnavale is outperforming the materials sector by 30.62%.
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