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Wesdome hits high grades at Kiena

Wesdome Gold Mines (TSX: WDO) has reported further high grades from underground drilling at the Kiena Deep A Zone at its Kiena mine complex in Val d’Or, where it is aiming to complete a resource update by the end of the year.
Wesdome hits high grades at Kiena Wesdome hits high grades at Kiena Wesdome hits high grades at Kiena Wesdome hits high grades at Kiena Wesdome hits high grades at Kiena

A fourth rig has joined the drilling programme

Staff reporter

Among the highlights, Wesdome hit 13.2m at 132.1g/t gold (13.4g/t cut and a true width of 6.4m).

President and CEO Duncan Middlemiss said the step-out drilling had extended the gold mineralisation more than 350m along strike.

The company said visible gold was observed in the majority of drill holes within predominantly shear zone-hosted quartz veins.

The Kiena mine complex had produced 1.75 million ounces at a grade of 4.5g/t between 1981-2013.

Wesdome said it suspended the operation in 2013 due to decreasing recovered grades, persistent industry cost pressures and uncertainty in the Canadian dollar gold price.

Middlemiss last month described 2018 as "a year of assessment" for Kiena, with 50,000m of underground drilling planned. A fourth rig has now joined the programme.

The company is currently mining at its Eagle River complex in Ontario, where exploration is pointing to further mineralisation.
 
It had C$26.5 million (US$20 million) in cash at the end of March.

Wesdome shares have returned to just shy of the 12-month high reached a year ago, up yesterday more than 5% to $3.06, capitalising it over $410 million.