Kavango Resources shares up by 23%
Kavango Resources stocks went up by 23% this week following revelations of larger underground gold prospects in Zimbabwe.
The miner is a metal exploration company listed on the London Stock Exchange, focused on discovering world-class base and precious metal deposits in Zimbabwe and Botswana.
Their main objective is to investigate the bulk-mining potential of historic high-grade gold mines in Zimbabwe, with a focus on the Matabeleland region.
The company’s stocks surged this week after reporting a significant upgrade to the underground mining potential of a gold prospect in Zimbabwe. The precious metals exploration company said it intersected a reef containing quartz and sulphide-bearing veins in a previously inaccessible level of the main shaft at prospect 1 in the Hillside Project in Matabeleland, Zimbabwe.
“Shares in Kavango Resources were up 23% to 0.77 pence in London.”
Kavango CEO Â Ben Turney said the results produced so far were very impressive and looked forward to a good season ahead.
We are extremely pleased with the latest results from prospect 1. The new reefs identified add to the growing number of opportunities for near-term, significant gold production at Hillside.
We look forward to bringing the drill rig back to prospect 1 as soon as we can. The new reefs are open on strike, with grades appearing to increase with depth. After establishing the reefs extent, we hope to move into defining a resource we can bring into production as quickly as possible.
The company said mapping and sampling on the reef, alongside the discovery of further mineralisation, indicates previously unknown potential for both lateral and vertical continuity on the back of plans to test the extent of the reefs with both surface and underground drilling.
Kavango intends to establish prospect 1 as a third area of near-term gold production at Hillside, alongside prospects 3 and 4.
It said the results will inform further drilling to define a larger, longer-term underground mine than previously anticipated.
The miner added that it is also proposing to increase processing capacity at prospect 1 to provide flexibility for greater production in future.
