Carnavale Resources Ltd (CAV) has announced a significant update to the Mineral Resource Estimate (MRE) for its Kookynie Gold Project, located 60km south of Leonora, Western Australia. Carnavale Resources is focused on exploring and developing resource projects. The updated MRE incorporates all drilling data to date and confirms a resource of 842kt at 4.3g/t for 117koz Au, including a bonanza gold zone containing 60kt at 28.3g/t Au for 55k oz. This represents a 38% increase on the maiden MRE of 85koz, with total ounces in Resource increasing by the same percentage.
The updated MRE highlights a shallow, high-grade resource, with 66% now classified in the Indicated category, marking a 46% increase in Indicated resources. A new Tiptoe Lode has been included, adding shallow open-pittable resources to the project. The resource remains open at depth and along strike, offering further opportunities at Valiant and other targets to potentially increase resources. According to Carnavale, discussions are underway with mining contractors to unlock the value of the Project via a potential joint venture to mine the Kookynie Gold Project.
CEO Humphrey Hale commented that the MRE update adds valuable ounces and significantly increases indicated resources. He emphasized the value of the Swiftsure and Tiptoe lodes as a niche project in the Eastern Goldfields, close to operating processing plants. Hale also highlighted the substantial evidence indicating strong upside potential at the Kookynie Gold Project, both on the exploration and production fronts.
Carnavale has commissioned Cube Consulting to update the Scoping Study to incorporate the revised resources and the improved economics driven by a higher gold price. The earlier Scoping study used a gold price of Au $3,500, while today gold is trading in excess of Au $5,100 per ounce. The company anticipates completion of the updated Scoping Study in the coming weeks.
