Kaiser Reef Limited’s latest drilling at the Nova Zone within the A1 Gold Mine has revealed promising high-grade gold mineralisation, extending known reef systems and shaping future mine plans.
- First five drill holes at Nova Zone return high-grade gold assays
- New reef systems discovered at deeper intercepts
- Mineralisation extends into previously unmined areas
- Results integrated into ongoing mine planning
- Drilling program to continue through Q2 2025
Exploration Breakthrough at Nova Zone
Kaiser Reef Limited (ASX: KAU) has announced a significant milestone in its exploration program at the A1 Gold Mine in Victoria, with the first five diamond drill holes at the Nova Zone delivering high-grade gold results. These findings not only confirm the presence of rich mineralisation but also suggest the discovery of new reef systems, potentially expanding the mine’s resource base.
The initial two drill holes, previously reported in January, returned exceptional grades including 0.20m at 65.1 g/t gold and 0.40m at 40.9 g/t gold. The subsequent three holes have reinforced these results, with intercepts such as 0.50m at 18.3 g/t gold and an 11m section averaging 3.7 g/t gold, highlighting both the grade and continuity of mineralisation.
Extending the Mineralised Strike and Depth
Notably, some of the latest intercepts represent some of the deepest high-grade zones encountered to date, indicating the potential for new reef systems at depth. For example, hole A1UDH-569 intercepted 0.50m at 18.3 g/t gold at 97.1m downhole, a promising sign of mineralisation extending beyond previously mined levels.
The drilling has also confirmed mineralisation in areas of the Nova Zone that remain unmined, offering fresh targets for development. These results are being actively incorporated into mine planning, with the goal of optimising extraction and improving overall gold recovery per vertical metre.
Historical Context and Future Potential
The A1 Gold Mine has a storied history dating back to 1861, with historic production benchmarks exceeding 800 ounces of gold per vertical metre. However, recent remnant mining over the past 30 years has yielded significantly lower grades. Kaiser Reef’s exploration success at the Nova Zone suggests a return to higher-grade mining, potentially surpassing recent production metrics.
Drilling is ongoing, with further holes planned to delineate the extent of these newly identified reef systems. The company aims to complete the current program by the second quarter of 2025, which will provide a clearer picture of the resource potential and support future development decisions.
Technical Rigor and Quality Assurance
The drilling program employs industry-standard diamond drilling techniques with rigorous quality control measures, including the use of half-core sampling, fire assay analysis, and comprehensive QAQC protocols. The geological logging and assay verification processes ensure the reliability of the reported results, underpinning confidence in the exploration outcomes.
With the Nova Zone exploration advancing, Kaiser Reef is positioning itself to unlock further value from its Victorian goldfields assets, leveraging both historical knowledge and modern exploration technology.
Bottom Line?
As Kaiser Reef deepens its understanding of the Nova Zone, investors will watch closely for how these high-grade discoveries translate into mine development and production growth.
Questions in the middle?
- How will these new reef discoveries impact Kaiser Reef’s resource estimates and mine life?
- What are the potential challenges in developing deeper reef systems at the Nova Zone?
- How might ongoing drilling results influence the company’s production guidance and market valuation?