Kula Gold is advancing its Mount Palmer gold mine near Marvel Loch in Western Australia, with results from two new diamond drill holes pending. The mine, last operational in 1944 due to World War II shortages, produced over 150,000 ounces of gold at 15.9 grams per tonne between 1934 and 1944. It was subsequently flooded and never reopened.
In late May, Kula acquired a 51% stake in the operation from fellow ASX-listed Aurumin. The company is also exploring four other targets near Mount Palmer. Re-analysis of selected 1-metre sample intervals from previous reverse-circulation drilling showed significantly improved gold recovery, with up to a 320% grade improvement, indicating low refractory material that could be processed via conventional carbon-in-leach circuits.
Kula is advancing the El Dorado prospect, where a 1986 drill intercept returned 6 metres at 8.3 g/t gold from 28 metres, including 1 metre at 45.4 g/t from 30 metres, with no follow-up. The company plans ultra-fine fraction soil geochemical sampling to bring the target to drill-ready status. At Bryant's Lode, a shallow intercept of 4 metres at 3.02 g/t gold from 18 metres was reported, consistent with nearby historic holes.
At Meiers Find, historical drill results include 2 metres at 1.7 g/t gold from 30 metres and 1 metre at 15.4 g/t from 36 metres, with no follow-up. Kula plans an ultra-fine fraction geochemical sampling program to refine drill targets. Geophysical interpretations have also identified a possible parallel structure over 8 kilometres long, about 1.5 kilometres east of Mount Palmer, where reconnaissance sampling is underway.
