Explorer Kula Gold has struck a series of spectacular, high-grade gold intersections at its historic Mt Palmer mine in Western Australia, suggesting the company has only just begun to tap into a much larger mineralised system.
Spectacular Drill Results Point to Major System
Final assays from a recent reverse circulation and diamond drilling campaign have delivered a suite of standout results. These include a sizzling intercept of 1.2 metres grading 13.9 grams per tonne (g/t) gold, which contained an ultra-high-grade slice of 0.3 metres at a whopping 54.5 g/t.
Another drill hole cut a thick, high-grade zone, returning 7 metres at 10.65 g/t gold from 88 metres downhole. These results reinforce the project's growing reputation for delivering both thickness and grade.
Significantly, the high-grade hits are not isolated. Kula has now identified nine separate mineralised zones spread along a strike length of approximately 3 kilometres, which remains open for further expansion to the north and south.
Historic Mine Holds Modern Potential
The drilling has confirmed that mineralisation at Mt Palmer occurs in multiple lodes, including at the EPIS, East Lode, Bryant, and El Dorado prospects. Many of these coincide with historical underground workings. In one telling example, a drill bit punched through a mined-out void, interpreted as an old stope, before re-entering strong mineralisation below it.
"For explorers, this often signals that the historic miners followed the best gold of the day and left plenty behind," the report noted. The gold being found in the old workings appears to be the same type of mineralisation extending along the kilometres-long El Dorado trend, an area largely untouched by modern drilling.
Located just 15 kilometres east of Southern Cross, Mt Palmer sits in one of WA's most prolific gold belts. Between 1934 and 1944, the mine produced roughly 150,000 ounces at a staggering average grade of 15.9 g/t before World War II forced its closure. Flanked by major deposits like Nevoria and Marvel Loch, the mine was never exhausted—it was simply mothballed.
Corporate Chessboard in Motion
As the rocks deliver excitement, corporate activity is heating up. Fellow ASX-listed gold explorer, Forrestania Resources, has now surpassed the 73 per cent acceptance mark in its friendly all-scrip takeover bid for Kula. Forrestania is offering one of its shares for every 5.6 Kula shares.
Kula's board has recommended shareholders accept the offer once it becomes unconditional, warning that without fresh funding, drilling operations could stall. The bid is largely driven by Forrestania's appetite for the rapidly advancing Mt Palmer project.
With nine zones queued for resource definition drilling and a strike length that keeps growing, Mt Palmer is transforming from a historic curiosity into a genuine high-grade growth story. Whether under Kula's banner or as part of Forrestania's portfolio, this historic WA goldfield is clearly back in the spotlight.
In other news, Kula has completed a maiden RC drill program at its Wozaniobium project in Malawi, with results anticipated early next year.
