The Liontown Resources Ltd (ASX: LTR) share price is surging this morning, trading up 17% at 52 cents at the time of writing.
Below, we take a look at the latest drill results from the ASX minerals explorer and miner.
What drill results did Liontown report?
The Liontown share price is moving higher after the company said its drill results highlighted the potential for a significant bedrock gold discovery.
In Liontown's first reverse circulation (RC) drill hole at its Moora Project in Western Australia, the company reported an intercept of 44 metres at 1.6 grams per tonne of gold. That intercept included 4m @ 10.1g/t gold.
The promising results come from 1 of 3 wide-spaced RC holes Liontown has drilled to test its Angepena Zone. Prior auger and shallow air-core drilling have defined a strong gold anomaly in Angepena. According to the company, the results point to the potential for a 900 metre plus zone of bedrock mineralisation, which remains open in all directions.
Commenting on the drill results, Liontown managing director David Richards said:
Intersecting a significant zone of high-grade, primary gold mineralisation in our very first RC hole is a very important development which validates our exploration approach.
It's obviously still early days, but the data suggests the potential for a large mineralising system at Angepena that will require intensive drill testing. The fact that the shallow anomalism we have been seeing in auger and air-core drilling is directly related to primary bedrock mineralisation is a vital breakthrough that confirms that we have an emerging discovery opportunity at Moora.
Still to come
Liontown is still awaiting the results for 11 additional RC holes it recently drilled to test beneath the northern copper-gold zone. Assays are also pending for 145 in-fill and first-pass air-core holes.
Richards said, "We will wait to see what this information tells us before planning the next stage of exploration at this exciting project."
Liontown Resources share price snapshot
Liontown shares have been marching higher for the past year, up 368% since 2 March 2020. By comparison, the All Ordinaries Index (ASX: XAO) is up 10% over that same period. (Note that by 2 March 2020, ASX shares had already come under heavy selling pressure due to the coronavirus pandemic.)
With today's intraday gains factored in, the Liontown share price is up 22.6% so far in 2021.
