Predictive Discovery Share Price Rises on More African Gold (ASX:PDI)
The Predictive Discovery Ltd [ASX:PDI] share price has opened strongly today on the back of new results from its Kaninko Project in Guinea.
PDI’s share price has been tracking sideways since June and has struggled to break the eight-cent mark for the past few weeks.
When we looked at PDI last month, the results seemed strong but they weren’t being reflected in the share price.
At the time, we put it down to the continuity and size of PDI’s results.
PDI shares are up 11.25% at the time of writing, trading at 8.9 cents per share.
The share price peaked at 9.5 cents per share in opening trading this morning, bringing the share price closer to its 52-week high of 12 cents.
What do we know about Bankan now?
Drilling at PDI’s Kaninko Project has largely focused on the Bankan gold prospect.
It’s been a campaign we’ve followed closely.
Highlights from the latest 8 drill hole include:
- 26m at 17.5 grams of gold per tonne (g/t) from 58m
- 35m at 2.4g/t from 1m, including 4m at 13.6g/t
- 67m at 1.7g/t from 32m, including 2m at 11.0g/t
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Again, you might be thinking they don’t look too dissimilar from previous results.
They seem on par with what we’ve seen — perhaps a little higher in gold grading.
The point to note here is where these holes are located.
Take a look at the figure below:
Source: Predicative Discovery
The red dots (barring the one with the blue boxes) are from the latest results.
With them all landing in average and above mineralisation, PDI has extended the known mineralisation southwards.
According to PDI, the southern extension of Bankan produced some of the strongest results to date.
New share price momentum
The extension has given the PDI share price a bit of renewed momentum.
The chart is now showing a cross over.
A further 21 dill results are awaiting assessment, which will hopefully give us more of an idea of how far south the gold trends.
PDI managing director Paul Roberts said:
‘A diamond drill rig will soon test beneath this mineralisation in the opposite direction – from west to east – which will allow us to test the western extent of the mineralisation and obtain a better idea of the width of the gold mineralisation on the new southern cross sections reported here.
‘We look forward to reporting the remaining RC assay results and commencing the deeper drilling on the southern portion of the NE Bankan mineralisation in what is shaping up to be a very exciting period for the Company in advance of moving towards a systematic drill-out of the NE Bankan gold discovery.’
The fully funded exploration program is still ongoing and plans to drill 25,000m of reverse-circulation drilling and 5,000m of diamond drilling.
We’ll be sure to keep you updated with developments from some of Australia’s most interesting gold explorers and miners. In the meantime, make sure you subscribe to The Daily Reckoning Australia. It’s a great way to stay ahead of the curve when it comes to Australian gold stocks. It’s free too. Subscribe here.
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