Drilling Density and Structural Complexity Pose Challenges for Koonenberry Gold
Koonenberry Gold has reported promising Phase II drilling results at its Sunnyside Prospect, extending gold mineralisation to 415 metres vertical depth and revealing high-grade zones at depth. The company’s ongoing exploration efforts continue to highlight the potential for a significant gold system in New South Wales.
- Phase II diamond drilling completed with nine holes totaling 3,482m
- Gold mineralisation extended from surface to 415m vertical depth over ~260m strike
- High-grade gold intercepts include 0.3m at 17.6g/t Au and 0.5m at 26.4g/t Au
- Mineralisation remains open along strike and at depth with ongoing drilling
- Company well funded with $6.3 million cash as of December 2025
Exploration Progress at Sunnyside
Koonenberry Gold (ASX – KNB) has announced encouraging results from its Phase II diamond drilling program at the Sunnyside Prospect, part of the Enmore Gold Project in New South Wales. The company has completed nine drill holes totalling 3,482 metres, with assays received from the first five holes revealing broad zones of gold mineralisation extending from surface to an impressive 415 metres vertical depth and along approximately 260 metres of strike.
Notably, the drilling has intersected high-grade gold zones at depth, including narrow but rich intercepts such as 0.3 metres at 17.6 grams per tonne (g/t) gold and 0.5 metres at 26.4 g/t gold. These results build on the Phase I drilling that first identified both broad bulk tonnage mineralisation and high-grade shoots, confirming the prospect’s potential as a significant gold system.
Geological Insights and Structural Controls
The Sunnyside mineral system is interpreted as an epizonal orogenic gold deposit, structurally controlled along the Sunnyside Shear Zone and intersected by northeast trending cross structures. These intersecting faults appear to create pathways for mineralising fluids, concentrating gold in quartz-carbonate veins and breccias. Visible gold has been observed in several drill holes, hosted within quartz veins, underscoring the primary nature of the mineralisation.
Drilling to date has been spaced 80 to 110 metres apart, sufficient to define the broad mineralised system but not yet dense enough to delineate the continuity of high-grade shoots. The company plans to increase drilling density to better understand these zones and is prioritising targets where structural intersections suggest enhanced gold concentrations.
Expanding the Enmore Gold Project Footprint
Beyond Sunnyside, Koonenberry Gold is advancing exploration along the Sunnyside Shear Zone, including the nearby Hand in Hand Prospect, where previous shallow drilling returned highly anomalous gold results but was limited by groundwater. Additional geophysical surveys, including Gradient Array Induced Polarisation (IP), are underway to refine drill targets and identify new structural controls on mineralisation.
The company is also exploring parallel shear zones such as the Borah Fault, where soil sampling and geophysical data have highlighted over 4 kilometres of strike potential. Furthermore, significant gold-antimony anomalies in the northwest part of the Enmore Project, located 20 kilometres along strike from the Hillgrove gold-antimony mine, are slated for follow-up sampling, potentially opening new avenues for discovery.
Financial Position and Forward Outlook
Koonenberry Gold is well positioned financially, holding $6.3 million in cash as of 31 December 2025, enabling the company to continue its aggressive exploration programs across its diverse portfolio of gold and copper projects in New South Wales. The company has outlined a 10,000-metre follow-up drill program at Sunnyside and is actively integrating geological, geochemical, and geophysical data to prioritise targets and accelerate discovery.
Managing Director Dan Power emphasised the significance of structural intersections in controlling higher-grade mineralisation and the company’s commitment to testing these targets. With mineralisation open in multiple directions and ongoing work to refine exploration models, Koonenberry Gold is advancing steadily toward defining a potentially substantial gold resource.
Bottom Line?
As Koonenberry Gold deepens its understanding of the Sunnyside system, the next phase of drilling and geophysical surveys will be critical to unlocking the full scale and grade continuity of this promising gold discovery.
Questions in the middle?
- How will increased drilling density impact the definition of high-grade shoots at Sunnyside?
- What new targets might emerge from ongoing IP geophysics along the Borah Fault and other shear zones?
- How soon can investors expect a maiden resource estimate for the Enmore Gold Project?
