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  • KGL Resources Hits It Big At Jervois Copper Project 0 comments
    Jul 21, 2014 3:17 AM

    KGL Resources' (ASX:KGL) shares are expected to jump at the opening of trade after the company delivered more broad zones of high-grade copper from the Jervois project in the Northern Territory.

    The near-surface results suggest the prospects of Bellbird being amenable to open pit mining are good.

    Highlights from Bellbird include:

    - 13m at 5.75% copper, 23.2g/t silver, 0.32g/t gold from 20 metres, including 3 metres at 11.55% copper, 55.7g/t silver, 0.52g/t gold.

    - 16 metres at 4.85% copper, 30g/t silver, 0.45g/t gold from 62 metres; and

    - 6 metres at 5.07% copper, 42.5g/t silver, 0.2g/t gold from 45 metres.

    These results follow on from Friday's Green Parrot results including: 18 metres at 4.92% copper, 1.54% lead, 0.75% zinc, 240.5g/t silver, 0.14g/t gold from 10 metres, including 2 metres at 31.5% copper, 5.96% lead, 1.77% zinc, 1,240g/t silver, 0.07g/t gold.

    Simon Milroy, managing director, commented:

    "The shape of Bellbird's mineralisation is looking very amenable to open pit mining. I anticipate this will be borne out by the open pit and underground mine optimisation work that commences next month.

    "The Bellbird deposit is located approximately 6km south and along strike from the Marshall deposit at Jervois. Copper mineralisation has also been intersected at the Cox's Find and Rock Face Prospects that lie between Marshall and Bellbird.

    "The high grade lead and zinc ore encountered in the drilling at Bellbird North adds to the presence of lead and zinc mineralisation at the Green Parrot, Marshall and Reward deposits at Jervois."

    Milroy added that metallurgical test work is currently being conducted on the lead‐zinc mineralisation from Jervois to examine the economics of also producing a separate lead and zinc concentrate in addition to the copper concentrate from Jervois.

    These results will enhance grade and resource calculations for the upcoming Resource upgrade in August.

    Analysis

    KGL Resources extensive drilling program continues high-grade broad zones of mineralisation.

    Today's results from Bellbird of: 13 metres at 5.75% copper from 20 metres follow on from Friday's at the Green Parrot deposit which included 18 metres at 4.92% copper, (including 2 metres at 31.5% copper).

    The near-surface results suggest the prospects of Bellbird being amenable to open pit mining are good.

    KGL remains well-funded with $14.8 million in cash at the end of June 2014.

    Key catalysts in the near term include a resource upgrade expected in August with a PFS in September.

    Simon Milroy will present at the Melbourne Investor Luncheon on Tuesday 12th August. REGISTER TODAY FOR FREE.

    Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX "Small and Mid-cap" stocks with distribution in Australia, UK, North America and Hong Kong / China.

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