LONDON (Alliance News) - Tengri Resources PLC shares soared on Thursday after it said its drilling programme on its wholly owned Taldybulak gold project in the Kyrgyz Republic has revealed the deposit hosts significantly higher-grade gold mineralisation than defined in its existing resource.
Tengri shares were up 53% Thursday morning to 4.20 pence per share, having spiked to an intraday high of 5.00p.
The company completed the programme, which consisted of 13 drillholes, 12 of which "intersected significant sheeted-vein style gold mineralisation from or near the surface," Tengri said.
The drillholes returned an average grade of 1.66 grammes of gold per tonne and 0.28% copper at a 1.0 gramme per tonne cut-off grade. Tengri said the grade is "more than 3.6 times higher than the average grade" of the existing resource.
"The gold intervals from this programme exhibit excellent continuity along structural trends established within the higher-grade sheeted-vein domain," said Tengri.
"The 2014 drilling results offer more confidence as we press on with the feasibility study for a phase one open pit mine targeting the high grade zone," said Director John Levings.
Tengri said it is to conduct another drilling programme on Taldybulak in 2015 to further improve the resource classification of the area.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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