New High Grade Gold Vein Zone discovered at Kestanelik

• Assays received for first two drill holes of new 30,000 metre drill program
• Drillhole KED-44 intersects a new vein zone that returns:
• 5.4 metres at 15.7 g/t gold and 7.3 g/t silver from 68.6 metres, including 2.8 metres at 28.7 g/t gold and 13.4 g/t silver.
• KED-44 was abandoned prior to reaching the K1 vein target
• Assays are awaited for further drillholes which have intersected the 
new vein zone and the K1 vein 

• The drill program is now well under way and regular release of results expected to be reported for the rest of the year

Exploration Drilling Program


Chesser Resources Limited (“Chesser”, ASX:CHZ) is pleased to announce the first drill results from the current 30,000 metre drill program being carried out at the Kestanelik project.

The Company has received results for the first two holes of the program. KED-44 was a diamond drillhole designed to test a step-out of the high grade intersection encountered on the K1 vein. The hole had to be abandoned due to loss of circulation prior to reaching the K1 vein target, but did intersect a previously undetected vein zone with distinctive epithermal textures. A similar zone has been intersected in KED-45 (assays pending), a steeper hole drilled from the same location.

“The Kestanelik project continues to provide us with pleasant surprises,” said Dr Rick Valenta, Managing Director of Chesser Resources. “This new vein has no obvious outcrop expression, although it is associated with a weak gradient array resistivity anomaly. The fact that it has been intersected in two drillholes gives us confidence that it could develop into another significant high grade zone. The discovery of this new zone so early in the current program gives us additional confidence that Kestanelik could develop into a sizeable high grade gold resource.”

Figure 1. NW-SE section through the K1, K2 and K3 zones, showing the location of the newly discovered vein zone in KED-44. See Figure 2 for drillhole locations.

Figure 2. Locations of newly reported drillholes in relation to previous drilling. Veins shown in red; geophysically- mapped veins in orange; mapped boundary of QFP intrusive shown in purple; location of Figure 1 cross section shown in green.

Drilling program

A program of 30,000 metres of RC and diamond drilling is under way on the seventy-seven quartz veins, which are known to extend over a twenty-two kilometre strike length, on the Kestanelik property. Drilling will expand the known zones of mineralisation that have been identified on the six veins that have received meaningful drilling to date, including the higher- grade mineralised shoots identified on the K3 vein. A further twenty-seven quartz veins, which have a strike length of more than nine kilometers, are known to contain gold mineralisation, but as yet have had no drilling on them. Initial drill testing on these veins, which represent forty one percent of the identified strike length of veins on the property, will be carried out as part of the current program. An initial scout drill program will also test the remaining forty-three veins which to date have received no follow-up exploration work.

Table 1: Drill location data for drillholes reported in this announcement.

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