Kingston Resources Ltd - Misima Resource increases to 3.21Moz of gold, 18.2Moz of silver

What happened?

What's happened?

Kingston Resources Ltd (ASX:KSN "Kingston") has reported a significant increase in the JORC 2012 Mineral Resource Estimate for its flagship Misima Gold Project, PNG, incorporating the results of recent successful drilling programs and updated gold price assumptions.

What are the key highlights?

The updated Misima Resource has delivered a 15% increase in total gold ounces and 30% increase in total silver ounces and now comprises an Indicated and Inferred Mineral Resource of 105.5Mt at 0.93g/t Au and 5.4 g/t Ag for 3.2Moz Au and 18.2Moz Ag.

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The Misima Resource update has focused on updating the geological model at Ewatinona while also revising project assumptions around cut-off grade and gold price inputs. The updated Resource will now underpin the Pre-Feasibility Study (PFS), which is expected to be complete by the end of 2020.
The PFS will be enhanced by the 17% increase in Indicated ounces to 1.52Moz, of which 97% sits within a US$1,400 pit shell. The Umuna Deposit currently contains 94% of the total Resource ounces and is expected to underpin the PreFeasibility work focusing on a large-scale, long-life open pit mining project.

For further details, please refer to the announcement linked below.

Managing Director's summary

Andrew Corbett Managing Director of Kingston Resources Ltd has provided a statement.

Andrew Corbett

Managing Director, Kingston Resources Ltd

"This is a great result for Kingston shareholders, with the substantial increase in gold and silver ounces firmly establishing Misima as one of the most exciting new mid-tier gold development opportunities in the Asia-Pacific. The significant increase in overall ounces, and in particular the 17% increase in Indicated ounces to 1.52Moz, provides a fantastic platform from which to launch our mining studies. Our improved understanding of Ewatinona is also a key step forward for the project and clearly establishes our proposed starter-pit."