Musgrave hits 800g/t gold but Chesser takes top spot with 170pc share price spike

Musgrave Minerals’ (ASX:MGV) and Chesser Resources (ASX:CHZ) have caught the market’s attention this morning with some extremely high-grade hits.

While Musgrave hit a shallow 3m at a ‘bonanza’ 884.7 grams per tonne (g/t) gold in Western Australia, it was Chesser’s thick, shallow high-grade hits in Senegal that sent its share price up over 170 per cent.

There’s no actual definition of ‘bonanza’ by the way – it’s just a way to describe speccy gold grades.

Chesser’s share price surge, which followed hits of 48m at 6.7g/t gold from 24m, including 10m at 25.14g/t gold from 62m and 55m at 4.27g/t gold from 16m, across a 200m wide zone made it the biggest gainer on the ASX on Tuesday morning.

Investors continue to flock to junior gold explorers as the price of the precious metal continue its record run to $US1,972 ($2,753.62) an ounce.

But West African gold in particular is witnessing a renewed investor interest.

RM Corporate Finance director Guy Le Page last week flagged Chesser as a hot stock to watch, saying that “you tend to get bigger gold anomalies, high-grade gold anomalies, in that part of the world”.

Chesser says there is potential for extensions to the thick, high-grade mineralisation already uncovered given that the Area D prospect within its Diamba Sud project in Senegal remains open to the southwest, northeast and northwest.

Drilling at the Western Splay target has also confirmed and extended the strike extent of mineralised structures intersected in previous drilling with results of 2m at 19.8g/t gold from 4m and 6m at 1.79g/t gold from 28m.

The main structure at Western Splay and multiple other sub-parallel anomalies remain untested.

“Results like this are exceptional and rare. Whilst this discovery is still at an early stage, the consistency, high-grade and thickness from near surface is remarkable,” managing director Mike Brown said.

“Additionally, we have achieved significant success at the Western Splay target where mineralisation along strike to a structure that is parallel to the Western Splay has been confirmed.”

Chesser Resources (ASX:CHZ) share price chart

Bonanza gold

Musgrave’s bonanza hit, which sent shares up over 20 per cent this morning, was part of a broader 14m zone grading 191.1g/t gold from just 5m.

The latest drilling program was aimed at confirming and extending high-grade gold mineralisation at Starlight ahead of a JORC resource update late in the current quarter.

Other notable hits included 22m at 5.8g/t gold from 15m, 5m at 14.3g/t gold from 90m and 16m at 13.7g/t gold from 18m.

Drilling has also confirmed extensions to the White Light lode with a 3.8m hit grading 40.5g/t gold from 100.2m.

All intercepts are outside the existing Break of Day resource of 199,000oz of gold, which is in turn part of the 600,000oz Cue project.

Managing director Robert Waugh told Stockhead earlier this month that the Starlight and White Light discoveries are expected to add resources to the company’s existing inventory.