Kingsgate Consolidated Limited (ASX:KCN) Announce High Grade Intersections At Challenger Mine In South Australia
Sydney, May 4, 2011 AEST (ABN Newswire) - Kingsgate Consolidated Limited (ASX:KCN) (PINK:KSKGF) said today that exploration drilling targeting extensions to the Challenger West shoot at the Challenger Mine in South Australia has intersected spectacular gold mineralisation including 2.16 metres grading 109.83 g/t gold.
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) (OTCMKTS:KSKGF) is an experienced pacific rim gold producer and highly successful ASX listed gold company with significant expertise in gold exploration, development and mining.
Kingsgate owns and operates the Chatree Gold Mine in central Thailand and the Nueva Esperanza Development Project, located in the highly endowed Maricunga gold and silver belt of the Atacama Region of northern Chile.
The Chatree Gold Mine is a world class gold producing asset, with a proven operating history, with 1.8 million ounces of gold and 10 million ounces of silver produced between 2001-2016.
Chatree is a large scale, low-cost, open pit operation with a combined +5 Mtpa processing capacity across two plants, with existing Life of Mine supporting a ~9 year mine life based on 1.3m oz gold reserve.