Riedel soars 60% as company hits gold and silver in Arizona
Riedel (ASX:RIE) finds more shallow high grade gold and silver, suggesting open pit a go
Source: iStock
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KEY POINTS
- Microcap Riedel Resources sees 60% jump in share price on gold, silver assays
- Data comes from Tintic zone at Kingman Gold Project
- Metals so far found at shallow depths, indicating possible cheap project
Riedel Resources’ (ASX:RIE) share price has soared 60% in mid-arvo trades as the company announces high grade gold and silver at its USA acreage.
The company is convinced today’s assay results provide evidence that gold and silver metals extend further out on site than known.
Today’s drilling results will be used to inform the direction of future drilling activities at Tintic, part of the larger Kingman Gold Project.
Shallow metals support Open Pit plans
The latest drill results confirm suspicions the geotech team had: that gold and silver metals are relatively shallow, and not buried deep underground.
Further evidence exists that a stacked lode complex is present underground, suggesting there may be ‘two levels’ of mineralisation drills may intercept.
At this time, given high-grade shallow occurrences, Riedel is weighing up the economics of digging an open-pit mine.
Riedel has been busy at Kingman
Through 2021, the company completed nearly 10,000m of RC drilling over several historic mine areas.
Early high-grade results included gold grades far above and beyond regular densities encountered at other projects.
Also found in 2021: a 1.8km long strike target to keep drilling teams busy as Riedel pushes ahead at Kingman through 2022 and 2023.
To that end, Riedel also expects to execute its right to earn up to 80% interest at Kingman with US-based partners Flagstaff Minerals.
Sharp investor interest clearly visible in the company's three month charts far right
