New discovery moves Volta upwards

A new discovery at its Kiaka gold project in Burkina Faso has had explorer Volta Resources (VTR-T) riding high.

The company reports that the new zone sits just 700 metres southwest of its Kiaka Central Area deposit. The Kiaka project itself is located in south-central Burkina Faso along the Markoye fault corridor.  

Highlight assays from the new zone included 25 metres grading 9.22 grams gold, with 10 metres carrying 16.64 grams gold; 47 metres grading 2.93 grams gold, with 15 metres intercepting 7.90 grams gold; 25 metres grading 5.15 grams gold, with 12 metres cutting 10.43 grams gold; and 19 metres grading 5.53 grams gold, with 12 metres at 8.42 grams gold. The results came out of four separate holes.

Intercepts occurred near surface and Volta says mineralization is still open at depth. 

The results were strong enough to work the market into the same fervour as on Feb. 14 — the company’s results climbed 34%, or 38¢, since announcing the news, and traded at $1.50 at presstime.

The new mineralization was found as part of the company’s third phase of drilling, which is made up of 50,000 metres of reverse-circulation holes. The aim of the program is to extend the Kiaka deposit’s central area.

The new discovery’s close proximity to Kiaka has Volta especially bullish, since it means that mineralization proven up in the new zone could be worked into its emerging mine plan.

Kiaka has measured and indicated resources of 90.29 million tonnes grading 1.04 grams gold for 3.02 million oz., and 38.52 million tonnes grading 1 gram gold for 1.26 million oz. in the inferred category.

With the strong results, Volta says it will pull at least one of its six drill rigs from Kiaka proper so that it can aggressively drill the new zone. Its immediate plan is to test the new zone’s lateral and depth extensions.

The discovery comes as Volta updates its Kiaka resource estimate and Wardrop Tetra Tech wraps up a prefeasibility study there. The report is due this April.