Carnavale Resources (ASX:CAV) has discovered new, shallow ‘high-grade’ gold within the Kookynie Project in Western Australia, which adds potential to increase the project’s resource.
Carnavale, which has a market capitalisation of $17.11 million, says the new gold discovery at Tiptoe lies 200m northeast of the McTavish East prospect and provides scope to deliver increased resources with further drilling.
Reverse circulation (RC) drilling results include 5m at 4.91 grams per tonne (g/t) gold from 87m, including 1m at 20.3g/t gold, in hole MERC118.
CEO Humphrey Hale says work is underway to establish a maiden resource, as well as a mining option study at McTavish East.
“These new shallow high-grade gold results in fresh rock represent (a) new target and provide exciting new resource targets along strike from the bonanza style mineralisation at McTavish East.
“Exploration continues with the recently completed aircore program targeting additional high-grade structural gold targets at Kookynie.”
Privately held Cube Consulting of West Perth has been commissioned to conduct an initial Mineral Resource Estimate (MRE) for the McTavish East prospect and initial Scoping Economic Studies into potential open pit and underground mining scenarios.
Carnavale expects the studies results to be released in Q2 2024.
Today (2 April 2024), Carnavale’s share price had increased 20% to $0.006 as of 12:15pm AEDT.
The company notes additional metallurgical testwork is underway to simulate processing plant recoveries for McTavish East.
The testwork is designed to evaluate gold recoveries and reagent consumption from the prospect’s mineralisation that would be expected from a commercial carbon in leach/carbon in pulp (CIL/CIP) gold processing plant.
Carnavale says the exploration potential to discover repeats of the ‘high-grade’ McTavish East mineralisation within the tenement package at Kookynie remains high with major structural targets uncovered from an aeromagnetic survey and geochemistry.
The Kookynie Gold Project sits 60km south of Leonora and 150km north of Kalgoorlie in the Yilgarn Craton of Western Australia, covering a 50km-square area.
Carnavale Resources is a Western Australian-based mineral explorer focused on gold, nickel, platinum group elements, and strategic minerals.
Write to Aaliyah Rogan at Mining.com.au
Images: Carnavale Resources
