Latest news with #Kula
West Australian
8 hours ago
- Business
- West Australian
Kula, Aurumin buoyed by up to 1-ounce-per-tonne WA drilling results
Kula Gold has nailed good gold in recent 1-metre re-assays of 3m composite results the company received two months ago from its joint venture Mt Palmer gold project, near Southern Cross. A best updated hit of 18m at 4.4 grams per tonne (g/t) gold from surface includes 2m assaying 32.3g/t gold from 15m. The original intercept, based on 3m composite sampling, delivered a best result of 18m at 4.7g/t gold from surface, including 3m at 23.4g/t gold. The re-assaying relates to April results from Kula Gold's Mt Palmer gold project, which Kula owns in an 80:20 joint venture with fellow ASX-listed explorer Aurumin Limited. The second-best intercept produced from the 1m re-assays delivered 7m going 7.7g/t gold from surface, including 3m running 17.2g/t gold from 3m. The original 3m composite sampling analysis last April delivered 6m at 8.1g/t gold from surface, including 3m at 15.3g/t gold, which also points to a fair representivity of the faster composite sampling approach for reconnaissance. A third-best 3m composite gave up 12m at 2.3g/t gold from 15m, which included 6m assaying 3.5g/t gold. The 1m re-assay produced 4m at 1.4g/t gold from 15m and 7m at 3.5g/t gold from 20m. Explorers often undertake composite sampling to speed up drilling programs, reduce consumable use and reduce assay costs, especially where knowledge of the environment being drilled is uncertain. If an explorer gets the feeling from initial results that it is 'in the zone', it may dispense with the composite analyses and go straight to smaller sample intervals, which are typically 1m in Australian mineral exploration. Comparing Kula's 3m composites and later 1m re-assays suggests the 3m composites are fairly representative of mineralisation for scout drilling. Overall, the original drilling came up with a bunch of solid gold intercepts, which reinforce Kula's view of Mt Palmer's potential to come up with the goods. Which made it logical for Kula to examine the distribution of gold mineralisation and pick out localised signs of grade enhancement, especially within or near known structural influences. A sniff of mineralisation showing up in a composite almost always needs to be revisited to better resolve what is going on, and the longer the composite run is, the more this observation applies. The shallow depth results so far show early potential for low-cost open-pit mining, which could change depending on the drilling in progress, as well as its orebody wireframing, modelling and economic studies. Kula is continuing with its analytical program on selected 1m splits, while stage two drilling is underway. The company is leaning toward non-destructive photon analysis as its preferred assay method, as it offers a bigger and more representative sample size. Photon assay is used for rapid, non-destructive analysis of gold, silver and other elements in geological and process samples. The technology is capable of faster, more environmentally friendly analysis than traditional fire assay and is often used for high-grade and/or coarse gold, which can be difficult to accurately interpret due to the 'nugget effect'. The new method is non-destructive, which means a sample can be re-used for repeat or alternative analyses and other investigations, such as multi-element work and metallurgy. Kula already sees benefits from using the new method, particularly when close-spaced drill holes return wildly differing gold grades from the same zone or when a hole analysed by fire assay misses what later turns out to be significant gold. The old Mt Palmer mine produced more than 150,000 ounces at 15.9g/t gold from 1934 to 1944. It closed partly due to labour and materials shortages during World War II, became flooded and was never reopened. The old show has seen little systematic exploration since then, until Kula reopened it and launched a more concerted investigation, invigorated by the buoyant gold price. Is your ASX-listed company doing something interesting? Contact:
West Australian
10-06-2025
- Business
- West Australian
Kula, Aurumin WA Mt Palmer JV hits 38g/t gold in shallow drill blitz
A Kula Gold and Aurumin Limited drilling program has started to fire on all cylinders after the rig jagged a flurry of shallow high-grade hits at the joint venture's (JV) Mt Palmer gold project in Western Australia's Southern Cross region. Kula says the results, which were unearthed immediately south of an old pit, could potentially fast-track the mine's revival into a low-cost, open-pit operation. The latest round of reverse circulation (RC) drilling revealed a golden treasure trove of numbers, including a juicy 3 metres at 38.4 grams per tonne (g/t) gold within a wider section of 9m grading 13.6g/t. A further strike came in at 20m running at 7.5g/t from 22m, with a higher-grade slice of 6m at 23.8g/t. Notably, many of the new hits sit within granted mining leases, providing the project with a major tick for future speedy development. All assays returned so far have come from shallow depths of less than 50m and follow up on some cracking surface results unveiled in April. Those earlier hits included a stunning 18m at 4.7g/t gold from surface, featuring a 3m stretch running at a scorching 23.4g/t. Another standout hole delivered 6m at 8.1g/t gold straight from surface, including 3m going 15.3g/t, making it clear Mt Palmer is packing plenty of punch just beneath the soil. Mt Palmer is 28 kilometres east of Barto Gold Mining's historic 3-million-ounce Marvel Loch Gold operation and 32km southeast of Southern Cross. Kula picked up 51 per cent of the historic gold mine and the surrounding area in May last year after signing a JV partnership with Aurumin. Under the terms of the agreement, Kula could increase its equity in the project by a further 29 per cent after spending $1 million on exploration across three years. After recently ticking off these funding commitments, Kula now holds a commanding 80 per cent of the JV, with Aurumin holding the balance. Kula says all the signs indicate Aurumin will continue to dilute its equity to a compulsory acquisition level of less than 10 per cent in exchange for a free carry of exploration costs across the project. The JV partners say its stage two program is starting to reinforce the potential scale and grade potential of Mt Palmer. Exploration drilling west of the historic Main Lode at Mt Palmer has confirmed a new mineralised zone, dubbed the 'Busey Shoot', uncovered during probing of an unmined southern extension. Meanwhile, a speculative test of a 1944 geological target, known as the 'A Spot', returned 6m at 0.35g/t in a first hit, which seems to offer a promising start to what could be a parallel system. Kula is also nearing completion of a resource definition on historic tailings, due in the third quarter. The waste dumps are a relic of Mt Palmer's war-interrupted mining era from 1939 to 1944 and early metallurgical test work suggested further gold could be economically reclaimed from them. Kula's decision to put the old Mt Palmer tailings under the microscope was made after an air core drilling program in March paid off in spades. Some 146 samples from the historic waste piles averaged a solid 1.7g/t gold and peaked at a whopping 17.9g/t. The surprising results have hinted at a golden opportunity hiding in plain sight, with management pointing to a highly nuggety gold distribution, which backs the theory that early recovery methods used by the old timers left plenty of the yellow metal behind. With the gold price now comfortably trading above the magic $5000 per ounce mark, the timing couldn't be better. The JV partners say the early numbers could pave the way for a low-cost, fast-tracked toll treatment strategy that could generate some quick cash while deeper exploration continues. Kula says the overall project area remains vastly underexplored with multiple north-south trending mineralised structures to chase up, all within a 10km strike length wholly owned by the Mt Palmer JV. With pattern drilling, soil sampling and diamond programs underway, the JV is stacking up both tonnes and targets in a bid to define a modern-day gold resource over a camp left idle for nearly 80 years. In a gold market hungry for shallow, high-grade opportunities within arm's reach of existing mills, Mt Palmer appears to be shaping up as one of Western Australia's more compelling underdog stories. Is your ASX-listed company doing something interesting? Contact:
