KGL Resources Limited Further Jervois Drilling Results

Sydney, Australia (ABN Newswire) - In May-June 2014 KGL Resources (ASX:KGL) completed a 177 hole reverse circulation program at Jervois for 9,653m. The drilling program was designed to improve delineation of shallow mineralisation and to improve interpretation of the oxidation boundaries within the regolith profile prior to a resource update.

The new resource was subsequently used for a pit optimisation that forms part of the preliminary feasibility study. The drilling returned high-grade shallow copper intersections that were better than anticipated because of supergene enrichment at the base of oxidation. Following the pit optimisation the current phase of shallow drilling was designed with the aim of converting all Inferred resources within the Marshall-Reward, Bellbird and Morley pits to the Indicated category and test for extensions beyond the pit designs.


Further Jervois Drilling Results

More high-grade intersections have been generated by the in-fill and extensional resource drilling at Jervois.

Mineralisation intercepted at Reward includes:
- 4m @ 3.87% Cu, 30.6g/t Ag, 0.66g/t Au from 10 m (RC Hole JOC265)

In-fill drilling at Bellbird continues to intercept good copper grades including:
- 9m @ 3.36% Cu, 17.9g/t Ag, 0.16g/t Au from 89 m (RC Hole JOC182)

At the Central Bellbird area good grades of both gold and copper continue to be intercepted:
- 3m @ 1.52% Cu, 9.7g/t Ag, 0.56g/t Au from 20 m and
- 3m @ 6.05% Cu, 24.7g/t Ag, 2.09g/t Au from 24 m (RC Hole JOC287)
- 5m @ 2.65% Cu, 20.6g/t Ag, 0.57g/t Au from 37 m ( RC Hole JOC288)

Drilling at Green Parrot continues to intersect zones of high-grade mineralisation:
- 2m @ 4.79% Cu, 2.09% Pb, 4.14% Zn, 125.4g/t Ag, 0.05g/t Au from 68 m (RC Hole JOC221)
- 3m @ 2.31% Cu, 8.61% Pb, 1.72% Zn, 159.3g/t Ag, 0.05g/t Au from 99 m (RC Hole JOC222)
- 1m @ 4.9% Cu, 2.32% Pb, 0.46% Zn, 387g/t Ag, 0.02g/t Au from 127 m (RC Hole JOC223)

At Morley significant results include:
- 7m @ 1.24% Cu,27.1g/t Ag, 0.09g/t Au from 46 m and
- 4m @ 1.64% Cu, 12.7g/t Ag, 0.07g/t Au from 59 m (RC hole JOC195)
- 2m @ 1.93% Cu, 14.5g/t Ag, 0.03g/t Au from 64 m ( RC Hole JOC196)

RC Drilling has now concluded for this field season. It is anticipated that assay results from the remainder of the RC drilling will be received and announced over the next few weeks.

Diamond drilling to enable further metallurgical test-work on the shallow transitional material is planned to commence later this week. This program consists of 8 PQ holes into Marshall, Reward, Green Parrot and Bellbird to help further optimise recoveries from the transition zone material.

To view figures and tables, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-KGL-415074.pdf


About KGL Resources Limited:

KGL Resources Ltd. (ASX:KGL) is an Australian mineral exploration company focussed on increasing the high grade Resource at the Jervois Copper-Silver-Gold Project in the Northern Territory and developing it into a multi-metal mine.



Contact:

KGL Resources Ltd.
Mr Simon Milroy, Managing Director
Phone: (07) 3071 9003