Kaiser Reef hits milestone with access to new gold at A1
Kaiser Reef (ASX:KAU) is well on its way towards a substantial boost in gold production after the decline advance reached the 19 Intermediate Level at the A1 mine.
Besides advancing towards the target Queens Lode that extends vertically below the 19 Level, accessing the 19 Intermediate Level (19INT) also represents the first time that a new level and source of ore below the 1300 has been opened up for mining in many years.
Mining at the A1 Mine in Victoria has largely been confined to a limited area over the past several years with the company’s decline development from the historical 18 Level representing a substantial and confident investment.
Accessing 19INT opens up mining opportunities targeting known ore sources from the Empire Reef, 17 Reef, Moore’s Reef and other associated structures.
While accessing new ore is certainly welcome, the decline development is aimed at accessing Queens Lode – the most advanced bulk tonnage exploration target with well-defined resource potential – in the fourth quarter of 2021.
This access is expected to provide a step change in production by allowing the implementation of mechanical stope production.
“We are very pleased to have invested in the decline development, which importantly, will allow us to access the first new ore in almost two years,” executive director Jonathan Downes said.
“We are confident that this investment will deliver shareholder value, and with drilling ongoing at the Queens Lode we look forward to releasing results as we progress towards an updated JORC Mineral Resource Estimate.”
Ongoing drilling at the A1 mine has continued to return high-grade gold hits from the margins of the Queens Lode.
Some of the most recent results are 9.1m grading 10.6 grams per tonne (g/t) gold from 41.7m and 6.3m at 7.8g/t gold from 16.8m including 0.5m at 45.1g/t gold from 16.8m.
Kaiser Reef noted the further high-grade results bolsters its confidence in relation to its progressing mining operations.
This article was developed in collaboration with Kaiser Reef, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.