De Grey Mining Share Price Moves Closer to Key $1 Mark (ASX:DEG)
The De Grey Mining Ltd [ASX:DEG] share price looks to have regained momentum today upon extending one of its gold zones at the Hemi Gold Project.
DEG shares did poorly in the first half of July, shedding nearly 40%.
The share price has since shifted its momentum upwards, with the charts now indicating a cross over.
At time of writing, the DEG share price is up 5.66% or 4.5 cents, trading at 84 cents per share.
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Extension boosts sentiment
DEG announced this morning its latest round of drill results have helped identify a potential extension to the Aquila prospects at Hemi.
Highlights from Aquila include:
- 16m at 3.7 grams of gold per tonne (g/t) from 43m
- 16m at 2.1g/t from 44m
- 13m at 1.8g/t from 71m
- 8m at 1.6g/t from 56m
DEG also noted the presence of visible gold in one of the holes at two separate intervals.
Visible gold has not been noted in the previous drilling at Aquila, nor at the nearby Brolga prospect.
Source: De Grey Mining
The figure above shows the extension of the new strike at Aquila.
Note the box in the bottom left-hand corner.
Recent results confirm a 400m strike extension to the southwest of the main Aquila zone.
With the latest drilling indicating the intrusion could be up to 50m in thickness.
Some of the drill holes ended in gold mineralisation, meaning the true thickness is yet to be determined.
And none of the holes were drilled past a depth of 120m, so the mineralisation is still open at depth.
Share price grows with Hemi
Investors seemed pleased with today’s results, as they are quite encouraging.
The presence of visible gold is rather interesting too given that it has not really been seen in other drilling at Hemi.
Though, it is difficult to speculate what this indicates given the gold grading is not any higher than other areas at Hemi.
DEG said it will drill a further 16 holes along the newly discovered 400m strike to test mineralisation to 200m below surface.
And further drilling will test extension to the south.
According to DEG, the Aquila strike potential now spans 1.6km-plus and has potential to increase the open pit extent at Hemi.
The rate of exploration at Hemi has been pleasing and has returned promising results.
Today’s result may be giving investors something tangible — not just hype.
But with the Aussie gold scene heating up, it could push DEG even further. Our resident gold expert Shae Russell has tipped Australia to become the next ‘gold epicentre’, meaning there could be big spikes in Aussie gold stock prices. If you want to learn more, download your free report here.
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