Excelsior Gold reports rise in gold at Kalgoorlie Project

6 August 2012 (Last Updated August 6th, 2012 18:30)

Excelsior Gold has reported that total measured, indicated and inferred gold resources have been increased at its wholly owned Kalgoorlie North Gold Project in Western Australia, following the completion of drilling programmes in July 2012.

Excelsior Gold has reported that total measured, indicated and inferred gold resources have been increased at its wholly owned Kalgoorlie North Gold Project in Western Australia, following the completion of drilling programmes in July 2012.

Gold resources were measured at 16.7 million tonnes at 1.61g/t Au for 868,500 ounces, a 13% increase on previous estimates.

The hike was driven by a major expansion of the potentially open pittable resources at the project's Zoroastrian deposit supplemented by a new maiden resource at the Parkerville prospect and an almost threefold increase in the resources at Big Blow South.
Drilling results from the 35-hole reverse circulation programme delineated strong gold mineralisation on the Birthday Dream, Royal Mint and associated structures on the western margin of the Zoroastrian Dolerite, Excelsior said.

The drilling was restricted to a vertical depth of 220m over 600m of the total interpreted strike length of approximately two kilometres of the mineralised system.

Excelsior Gold plans to initiate open pit and underground mining studies during August and will review a plan to establish a standalone processing facility on the old Bardoc mill.

Jackorite resource classification was upgraded to 82% indicated after gold mineralisation was indicated over a strike of 300m and to a vertical depth of 65m and remains open to the north and down plunge.

Excelsior Gold has commenced drilling, metallurgical and engineering studies at the location to further develop the Kalgoorlie North Gold Project.