The current drill program is designed to test the continuity of the high grade Challenger West Shoot below currently defined reserves by drilling from an exploration drive 400 metres below the surface on the 800 Level. This program was recently initiated since the merger to better define the upside potential of the gold mineralization at the Challenger Mine.
The latest results give significant confirmation of the potential to identify and define mineralised shoots in the upper levels of the mine that could generate increased resources and reserves over the next 12 to 24 months.
Kingsgate Managing Director, Gavin Thomas, said, "We are extremely pleased with this early success in the renewed exploration program to find additional gold resources close to the surface at Challenger."
"While early days, it is a strong endorsement of the confidence and belief we have in the potential to add to the gold resources at Challenger."
See the following link for the visible gold in drill core and a schematic section: http://www.abnnewswire.net/media/en/docs/540482.pdf
About Kingsgate Consolidated Limited
Kingsgate Consolidated Limited (ASX:KCN) is a highly successful ASX listed gold company with significant expertise in gold exploration, development and mining, using world's best practice for safe, environmental and socially responsible operations.
The company was listed in 1988 and commenced gold production at its Chatree Gold mine in Thailand in 2002. Today, with geopolitical diversification Kingsgate owns and operates two gold mines, the high quality Chatree mine in Thailand and the underground Challenger mine in South Australia, together producing approximately 200,000 ounces of gold per annum. In addition, the company has two major development projects, the Nueva Esperanza silver/gold project, in the highly prospective Maricunga Gold/Silver Belt in Chile, and the Bowdens silver project in New South Wales in Australia.
From the strong operating and development platform, Kingsgate aims to build value though earnings and dividend growth for the benefit of all shareholders.
Kingsgate Consolidated Limited