Kuniko Reports Positive Phase 2 Drilling Results at Commonwealth-Silica Hill Project in New South Wales
Key Takeaways
- •Kuniko completed the first two holes of its Phase 2 diamond drilling program at Silica Hill for a combined 724 metres, both intersecting targeted alteration and mineralisation zones.
- •Three drill holes collectively demonstrate approximately 100 metres of mineralised continuity outside the existing block model, highlighting potential resource expansion.
- •Assay results are still pending, and an updated mineral resource estimate is planned once drilling concludes and all assays are received.
- •The mineralised system remains open in multiple directions, and Kuniko is conducting regional targeting to identify additional drill prospects within one to two kilometres of the project area.
- •Kuniko shares held steady at 2.1 cents, reflecting a market capitalisation of approximately $4.3 million.
Kuniko (ASX:KNI) has reported positive Phase 2 diamond drilling results at the Silica Hill prospect, part of the Commonwealth project located in the Lachlan Fold Belt in New South Wales. The Lachlan Fold Belt is one of Australia's most significant mineral provinces, hosting major copper-gold and base metal operations. The results highlight the potential to expand the Silica Hill resource footprint ahead of a planned project mineral resources estimate (MRE) update.
The first two holes of the Phase 2 program, CMKNI007 and CMKNI008, have been completed for a combined 724 metres. Both holes successfully intersected targeted zones of alteration, disseminated sulphides, and stringer-vein mineralisation up-dip and down-dip of the previously reported hole CMKNI004.
Together, the three holes demonstrate approximately 100 metres of continuity in the mineralised system outside the existing mineralised block model, underscoring the potential for further growth ahead of Kuniko's planned MRE update.
"The first two holes of our Phase 2 drilling program have delivered an encouraging start at Silica Hill, with both holes intersecting the targeted zones of alteration, disseminated sulphides and stringer-vein mineralisation," said Managing Director Maja McGuire.
"Importantly, drilling has now demonstrated approximately 100m of continuity across CMKNI007, CMKNI004 and CMKNI008, with all three holes located outside the existing mineralised block model. This provides a compelling opportunity to expand the known Silica Hill mineralised footprint."
McGuire told shareholders that, with assays pending, the potential for these extensions to add scale and high-grade mineralisation to the Silica Hill system represents an important near-term catalyst.
The mineralised system remains open up-dip, down-dip, and laterally, providing scope for further expansion through additional drilling.
Regional targeting is currently underway to identify additional drill targets within approximately one to two kilometres of Commonwealth and Silica Hill. Selected prospects are planned for drill testing in the near future.
Following the completion of drilling and receipt of all outstanding assays, Kuniko plans to deliver an updated project MRE.
For a company with a market capitalisation of approximately $4.3 million, successful resource expansion and the delivery of an updated MRE represent meaningful milestones on the path from exploration to resource definition.
KNI shares were steady at 2.1¢, with a market capitalisation of $4.296 million.
