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KGL Resources Gains New Substantial Shareholder, Nestor Investment Management S.A.

KGL Resources (ASX: KGL) has received an initial shareholder notice showing that NESTOR Investment Management S.A. holds 5.07%, or around 7.1 million shares.

NESTOR is a fund management company focused on high-growth market segments, with its registered office located in Luxembourg. The company has been in operation for two decades.

NESTOR acquired shares between the 18th July 2013 and the 20th August 2013. The most recent purchase at around $0.075.

KGL Resources is in a very strong funding position following the sale of its Andash project in Kyrgyzstan.

The company is now focused on the Jervois Copper-Silver-Gold Project in the Northern Territory, which has a current Indicated and Inferred Resources of 13.5 million tonnes at 1.3% copper and 25.8 grams per tonne copper, or 170,415 tonnes copper and 11.6 million ounces silver.

It also hosts 69,000 ounces of gold, 26,000 tonnes of lead and 22,000 tonnes of zinc.

Analysis

KGL is currently trading at around cash backing, which therefore places no value on the Jervois project.

Considering the upcoming 20,000 metre diamond and reverse circulation drilling program, KGL Resources is leveraged to exploration success.

The program will include step-out drilling around known ore bodies targeting an increase to the resource, while also testing new targets.

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