Kingston Resources Ltd (ASX: KSN) has announced highly encouraging results from the initial program of confirmatory drilling at Ewatinona deposit at its flagship Misima Gold Project in PNG.
The company reported that after the completion of first stage drilling at Ewatinona deposit, significant results include 8m @ 2.60g/t Au; 20m @ 1.81g/t Au, including 3m @ 7.48g/t Au; and 11m @ 1.41g/t Au.
Kingston said that Ewatinona Resource remains open in all directions.
The company announced that the drilling is continuing on additional targets in the Quartz Mountain area as part of the ongoing surface exploration program.
Misima gold project
The Misima gold project is in Misima Island, located 625km east of Port Moresby in the Solomon Sea.
Kingston completed its earn-in in August 2018 to own 70% of Misima. The JV Partner, PPC, is owned by JX Nippon Metals and Mining (66%), and Mitsui Mining and Smelting (34%).
KSN is the first to explore for gold at Misima since Placer ceased its operation in 2004, having successfully produced 3.7Moz over a 15 year mine-life.
Placer had historically mined gold and silver from the Ewatinona, Kobel, and Maika pits producing a combined 147,000oz @ 1.77g/t Au. Ewatinona is located within the Quartz Mountain area of the Misima Gold Project.
The Misima has a mineral resource estimate of 82.3Mt (45% Indicated, 55% Inferred) @ 1.1g/t Au, 5.3g/t Ag for 2.8Moz Au and 13.9Moz Ag.
Kingston has an ongoing exploration program at Misima Gold Project.
Ewatinona, located within the Quartz Mountain area, contains a JORC 2012 Inferred Resource of 6.6Mt at 1.0g/t Au for 220,000oz Au. The current Ewatinona Resource is less than 2km from the historic mill location.
Ewatinona is the first of a number of areas to be drilled this year as part of the ongoing exploration program.
Drilling at Ewatinona
Kingston had commenced an initial 12-hole diamond drill program at Ewatinona. The program was designed to confirm the historic Placer drilling, provide structural data and update the geological model.
Ewatinona Resource remains open in all directions
Highly encouraging assay results
The company reported that the drilling at Ewatinona has yielded highly encouraging assay results.
Highlights from the drilling include 20m @ 1.81g/t Au, from 78m, including 3m @ 7.48g/t Au; 6.6m @ 1.94g/t Au, from 7.5m, and 2.0m @ 1.65g/t Au, from 31m; 2.5m @ 1.99g/t Au, from 85m, and 8m @ 2.6 g/t Au, from 133.7m; 3.2m @ 2.41g/t Au, from 90m; 5.4m @ 1.51g/t Au, from 67.7m; 1.5m @ 2.89g/t Au, from 41.3m, 7.7m @ 1.02g/t Au, from 81.3m, and 7m @ 2.24g/t Au, from 102m, and 2m @ 4.18g/t Au, from 132.2m; 4m @ 2.17g/t, from 82m; and 2m @ 2.15g/t Au, from 92m, and 11m @ 1.40g/t Au including 3m @ 2.08g/t Au, from 122m.
Latest updates on Ewatinona
The company decided recently to complete an additional hole at Ewatinona for which assays are now pending.
KSN said that all newly acquired and historic data concerning Ewatinona will be compiled and interpreted, including 3D geological modelling with Leapfrog software, before the next round of drilling.
Drilling continues at Waipuna
The company announced that drilling continues on a second target in the Quartz Mountain area, the Waipuna prospect.
This prospect was recently identified by a modern reinterpretation of historic geochemical data combined with geophysics and LiDAR information.
Exploration targets prioritised
Kingston said that even though the existing 2.8Moz Resource at Misima may already be of sufficient scale to support a potential long-life mining operation; it has prioritised a number of nearby exploration targets for delineating new near-surface mineralization.
The company expressed confidence that new shallow deposits with the potential to underpin one or more starter pits are likely to have the biggest impact on project economics.
This is because the access to near-surface ounces can boost cash flow in the early years’ of the operation while access to the main Misima resource is established.
Kingston, however, cautioned that no feasibility or pre-feasibility studies have yet been completed to confirm this hypothesis.
Kingston said that the Quartz Mountain area is one of a number of priority targets which it plans to drill over the balance of 2019.
The company said that the combination of an existing Resource at Ewatinona, the presence of extensive surface mineralisation and proximity to the historic mill site make it an ideal target for the surface exploration program.
Kingston Resources Limited Managing Director, Andrew Corbett said: “The Quartz Mountain area is certainly shaping up to be a high priority target.
Our recent Ewatinona drill program has been successful in confirming the historic Resource while also enhancing our understanding of the geological structures and controls on the mineralisation.
This will help our team to design the next phase of step out drilling on the Ewatinona Resource.
In addition to Ewatinona a number of highly prospective targets have been identified within the Quartz Mountain area.
These targets all represent exciting exploration opportunities for Kingston, with strong potential to deliver additional near surface ounces.
Our current exploration strategy is firmly focused on establishing sufficient ounces from these targets to commence mining studies.”