Kalgoorlie Gold Mining (ASX: KAL) has returned a fresh batch of drilling results from its Pinjin project in Western Australia’s Eastern Goldfields, with assays from 21 reverse circulation holes showing gold mineralisation extending beyond the boundaries of the company’s existing resource at the Kirgella Gift and Providence deposits. The results, released this week, add to a run of exploration news from the region as ASX gold companies compete for investor attention during the annual Diggers and Dealers forum in Kalgoorlie.
Broad zones and deeper hits at Kirgella and Providence
The 3,702 metre program produced a headline intercept of 28m at Kirgella Gift, including a higher grade 4m at 2.08 grams per tonne gold, sitting within a wider 38m zone. At Providence, drilling returned 13m at 1.54g/t gold, while a third, deeper hole hit 7m at 1.39g/t gold from 160m, pointing to mineralisation continuing below the current resource. Managing director Matt Painter said the results confirm both deposits extend beyond the existing mineral resource estimate and remain open at depth.
Pinjin sits in a proven gold corridor
Pinjin lies within the Laverton Tectonic Zone, a 250km structure that also hosts major gold operations including Granny Smith, Wallaby and Sunrise Dam. KalGold currently holds a combined inferred resource of 214,300 ounces across its WA projects, with 76,400 ounces at Pinjin and the remainder at its Bulong Taurus project near Kalgoorlie. The company is also running an aircore program at a nearby structural target and has restarted drilling at its Lighthorse prospect, meaning further assays are likely in coming weeks.
What it means for ASX gold investors
With the spot gold price still trading near multi year highs, exploration success at established WA gold camps continues to draw investor interest, even from smaller and lesser known names. For KalGold, consistent step out results at Kirgella Gift and Providence give the company a case for a resource upgrade, though investors should note assay results and resource estimates can change materially once further drilling and geological modelling are completed.
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