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Kentor Gold Discovers Above 4% Copper And High Grade Silver Extensions At Jervois

Kentor Gold (ASX: KGL) is further proving up the potential of its Jervois Copper-Silver-Gold Project in the Northern Territory to become a major mining operation with the extension of mineralisation through diamond drilling to the north of the Reward Deposit.

Drilling at the project has once again yielded high copper grades of up to 4.9%, with associated lead-zinc-silver-gold mineralisation.

Notable intersections include 8 metres at 4.8% copper, 0.2% lead, 0.6% zinc, 62.1 grams per tonne (g/t) silver, and 0.35g/t gold from 502 metres; and 9.05 metres at 4.9% copper, 0.3% lead, 0.4% zinc, 66.2g/t silver and 1.22g/t gold from 509 metres.

The two holes were targeted around 100 metres north of an earlier drill hole that intersected 72 metres at 3.27% copper, 0.25% lead, 0.11% zinc, 51.33g/t silver and 1.16g/t gold from 414 metres.

Kentor is currently focused on completing a Bankable Feasibility Study for Jervois

Simon Milroy, managing director, commented on the positive results: "Our expectation of Jervois as a potentially major mining operation is strengthened further by these encouraging drill results.

"These latest intersections add confidence to the depth potential and northern extension of mineralisation at the Reward Deposit.

"They follow recent announcements of a new high grade near surface copper zone to the west of the Marshall Deposit, high grade copper results 6 kilometres south at the Bellbird Deposit , and the discovery of a previously unknown copper-gold zone (Chubko Prospect) to the southeast.

"We continue to give very high priority to the current Bankable Feasibility Study of Jervois."

Large scale open cut potential

Ongoing high grade results from Jervois continue to reinforce and increase the potential for large scale open cut mining at the project.

Demonstrating the strong open cut potential of a zone discovered earlier this month by Kentor, mineralisation begins at surface, as evidenced by an intersection of 38 metres, which includes 32 metres at 1.1% copper, 1.2% lead, 1.4% zinc, 60.4 grams per tonne (g/t) silver and 0.12g/t gold from surface.

Further high grade results have also recently been received from diamond and reverse circulation drilling at the Marshall and Bellbird Deposits.

Notable intercepts from Bellbird include 6 metres at 2.7% copper, 25.8g/t silver and 0.07g/t gold from 122 metres.

Meanwhile, Marshall has delivered highlight intercepts of 26 metres at 2.2% copper, 0.2% lead, 0.2% zinc, 53.1g/t silver and 0.21g/t gold from 73 metres; and 9 metres at 1.9% copper, 26.5g/t silver and 0.31g/t gold from 280 metres.

Feasibility Study

The current drilling program is a major part of a Feasibility Study being undertaken following a recently completed Scoping Study that found Jervois would be a robust project producing strong financial returns.

The study confirmed the viability of a 1.5 million tonne per annum operation capable of producing 15,000 tonnes per annum of copper and 7,000 ounces of gold per annum over a seven year mine life, as well as silver, lead and iron ore by-products.

As part of the Feasibility Study, Kentor is focusing on extending the current resource base, improving the level of confidence by converting Inferred Resources to the Measured and Indicated categories and providing samples for metallurgical test work.

Jervois currently hosts an Inferred Resource of 11.9 million tonnes at 1.3% copper and 25.2g/t silver for 150,500 tonnes of contained copper and 9.7 million ounces of contained silver.

Increasing the resource will allow Kentor to consider treatment rates of up to 2.5 million tonnes per annum, which would lower operating costs and improve project economics.

Recent drilling suggests the possibility of improved grades, which would further enhance project economics.

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