Shares in King jumped as much as 42% on the back of two holes that hit 40m grading 8.34% copper equivalent and 20m at 7.14% copper equivalent (plus 28m at 5.85% copper equivalent), with the intervals located at around 300m depth.
Metal prices used were $US3 per pound copper, $24/lb for molybdenum, $600 per ounce for gold and $42/lb for uranium.
Kings managing director Dudley Leitch told MiningNews.net that Kalman was looking like a zone system, starting with copper-gold and moving down to molybdenum, and then molybdenum-uranium. The “more pervasive mineralisation is copper-gold”, he said.
The company said it drilled four holes 100m apart at Kalman, with all “significantly mineralised”
Assays of core drilled below three of the holes are awaited. Significantly “all displayed continuing, though variable, visual mineralisation”
A reverse circulation and core rig has been booked for September.
Leitch said an inferred resource could be calculated by early next year.
Kings picked up the ground at Kalman around two years ago, with previous drilling by MIM Holdings hitting high-grade molybdenum – 14m at 0.66% molybdenum. Native Title agreement was reached in the second half of 2005.
Leitch said Kings has around $1.5 million in cash. Earlier this month, the company announced a plan to spin off its 51% interest in the 11 million ounce (gold equivalent) San Anton silver-gold project in Mexico into a Canadian listed company.
Shares in Kings were up 7.5c (20.3%) at 44.5c in midday trade – having earlier hit 50c – capitalising the company at around $155 million. The stock was trading below 20c in June.
