Kula Gold Limited reports a highly significant result from the first ever drilling done at the Company’s Mustang Gold Project located near Kirup, Western Australia (approximately 110km SW of the Boddington Gold Mine).
HIGHLIGHTS
- The first ever RC drill programme at Kula’s Mustang Gold Prospect has discovered a significant intercept of 2m @ 2.3g/t Gold from 34m
- Western Australian Government’s Exploration Incentive Scheme (EIS) supported the drilling and will part fund the next stages of drilling
Kula Managing Director Ric Dawson comments:
“Kula is pleased to have discovered a completely new gold system from grass roots exploration with field mapping, and UFF soil sampling. This 800m strike length soils target was intersected with the first and only hole of 2.3g/t gold from 34m warranting further work to understand how big this system is along strike and at depth and hopefully an economic gold mine.
Kula’s concept in this area was to conduct the initial work as noted by the internationally renowned geologist Dr. Jon Hronsky, “we find our biggest deposits where we have the least amount of data, the key to exploration success is being the first, or very early, into a new exploration search space. The first movers will get a very disproportionate share of the metal there to be discovered*”.
Kula is grateful for the Government Department of Energy, Mines, Industry Regulation and Safety (DEMIRS) EIS co-funding to assist our Kirup drilling.”
* The Exploration Search Space Concept: Key to a Successful Exploration Strategy – Dr. J.M.A. Hronsky.
Mustang Gold Prospect – E70/6603, 26, 27 Kula 100% & E70/5452 Kula 70%
The only RC drillhole into the 800m soil anomaly 24MPRC005 in the vicinity of the soil anomaly shows a new gold system with an intercept of 2m @ 2.3g/t gold from 34m.
This is an exciting development and lifts Mustang to significant project status in the Kula portfolio.
Kula’s Cammilleri Gold Mine 10km to the north on a similar structure produced 236 ounces from 51 tons at a grade of 130g/t, which further supports the potential for a high grade gold mine at Mustang.
The magnetic signature that is coincident with these gold assays supports the drilling target and geochemistry.
Independent GSWA review was completed and granted Kula the EIS 50% funding of direct drilling and mobilisation costs incurred up to $180,000.
Figure 1: Mustang Prospect (Kula 100% for E70/6603) image with 20ppb UFF soil anomaly contour over satellite with drillhole 24MPRC005 trace and drill hole collar location and cross section A-B location labelled.
Figure 2: Mustang Prospect cross section with drillhole 24MPRC005.
Follow up soil geochemistry, close spaced drone magnetics, followed by RC/AC drilling is being planned to advance this to the next stage.
Figure 3: Kula’s Kirup and Brunswick Projects and Prospects.
Further results will be reported in due course.
Competent Person Statement
The information in this announcement that relates to geology, exploration and visual estimates is based on, and fairly represents, information and supporting documentation compiled by Mr. Ric Dawson, a Competent Person who is a member of the Australian Institute of Mining and Metallurgy. Mr. Dawson is a Geology and Exploration Consultant who has been engaged by Kula Gold Limited and is a related party of the Company. Mr. Dawson has sufficient experience, which is relevant to the style of mineralisation, geology and type of deposit under consideration and to the activity being undertaken to qualify as a competent person under the 2012 edition of the Australasian Code for Reporting Exploration Results, Mineral Resources and Ore Reserves (the 2012 JORC Code). This market announcement is issued with the prior written consent of Mr. Dawson as to the form and context in which the exploration results, visual estimates and the supporting documentation are presented in the market announcement.
References:
ASX release- Kula To Acquire A 70% Interest in Key Lithium Tenement – Kirup Project- 22 November 2022
ASX release – Kirup Project – Two New Lithium Prospects- 29 May 2023
ASX Release- Mustang and Cobra Prospect Update for Lithium- 8 June 2023
ASX Release – Kirup Project Update- 30 January 2024
ASX Release – Mustang Gold Prospect earns WA Government EIS drilling cost support with 0.8km gold geochemistry and rock chips up to 3.5g/t gold- 24th October 2024
ASX Release – Kirup Project – Commencement of drilling -Mustang Prospect -2 December 2024
BOOMERANG DEPOSIT
ASX Release – Boomerang Kaolin Deposit- Maiden JORC Resources – 20 July 2022
News Release
Date: 13 February 2024 | ASX Code: KGD
About the Company
Kula Gold Limited (ASX: KGD) is a Western Australian mineral exploration company with expertise in the discovery of new mineral deposits in WA. The strategy is via large land positions and structural geological settings capable of hosting ~+1m oz Gold or equivalent sized deposits including Lithium.
The Company is advancing projects within the WA goldfields at the Mt Palmer Gold Project at Marvel Loch Southern Cross, the South West region of WA for Lithium and Gold at Kirup and Brunswick – near the world class Greenbushes Lithium Mine, as well Lithium at the Taliah-Nadia-Sasha Prospects at Southern Cross, and Gold and PGE at Westonia (adjacent to the producing Edna May Gold Mine – owned by ASX:RMS).
Kula discovered the large 93.3mt Boomerang Kaolin deposit near Southern Cross WA – Maiden resource announced 20 July 2022. This project is in the economic study phase and moving to PE funding or trade JV.
The Company has a history of large resource discoveries with its foundation being the Woodlark Island Gold project in PNG, (+1m oz Gold) which was subsequently joint ventured and sold to (ASX: GPR).
Contact the Company Secretary for more information – +61(08) 6144 0592 or cosec@kulagold.com.au
