Kaiser Reef is poised to start diamond drilling targeting regions within the Maldon goldfield in Victoria that are close to its producing A1 underground mine.

Drilling will initially test identified mineralised areas to follow-up on historical drill results such as 0.44m grading 205 grams per tonne (g/t) gold, 0.9m at 103g/t gold and 2m at 58g/t gold.

Kaiser Reef (ASX:KAU) also intends to step out to explore for and define economic ore zones.

Initially, the company will drill over 20 holes from its existing underground operations and may extend the program based on the results.

It will also accelerate the exploration drilling program once current diamond drilling at the A1 mine is completed.

Maldon is located between Bendigo and Ballarat in the Victorian Goldfields and has historical production of over 1.7 million ounces at an average grade of 28g/t gold.

It includes what is possibly Australia’s highest grade historical gold mine, Nuggety Reef, which produced 301,000oz of gold at 187g/t.

Rapid development

Maldon benefits from the extensive existing infrastructure and close proximity to the company’s gold processing plant.

Any discovery can be developed quickly at a low-cost using the company’s mining fleet and the existing decline, which is currently permitted to commence production soon.

Kaiser Reef is currently ramping up operations at A1, which produced 688oz of gold in June compared to 754oz that was produced during the first two months (February and March 2021) that it was owned by the company.



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.