Kaminak Gold (TSX: V.KAM, Stock Forum) celebrated today as the company announced positive results from follow-up drilling at Kona North Discovery on the Coffee Gold Project located in the Yukon.
According to the news release, eight additional holes for a total of 1,600 metres were completed as part of the company's second phase exploration drilling program this fall, bringing the total holes to 10.
All of the holes intersected mineralization with estimated true widths of between 5 metres and 25 metres that appear to be associated with a broadly east-west trending structural corridor that remains open along strike in both directions and to depth.
More drilling is slated for Kona North early in 2015 and is intended to delineate a near-surface oxide resource for consideration and potential inclusion in the Coffee feasibility study, currently underway.
Highlights from the latest results including 3.12 g/t gold over 28.95 metres at CFR657, 4.85 g/t gold over 16 metres at CFD435 and 6.99 g/t gold over 9.14 metres at CFR654.
The company also recently announced a preliminary economic assessment for Coffee outlining a robust, high-margin, rapid payback, 11-year open pit mining project using a US$1250/oz gold price.
Kaminak was in the news recently when the Vancouver-based company provided an update to the Coffee Gold Project feasibility program at the end of September.
Shares gained 2.99% on the news to $0.69 per share.
Currently there are 122.8m outstanding shares with a market cap of $84.7 million.