Why the Predictive Discovery (ASX:PDI) share price is rocketing 20% today

There's nothing like a potential big gold deposit to stir ASX investors' interest.

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The Predictive Discovery Ltd (ASX: PDI) share price is rocketing in early afternoon trade, up 19.5% to 9.1 cents.

Predictive Discovery is an Australian gold exploration company with a range of projects located in West Africa. 

Below we take a look at the ASX resource company's latest drill results.

Man in mining hat with fists raised and eyes closed looking happy and excited about the Newcrest share price

Image source: Getty Images

What drill results did the company announce?

Predictive Discovery reported promising gold results from 4 diamond drill holes at its Bankan Project in Guinea.

Drilling at NE Bankan intersected broad zones of high grade gold at depth, returning 44 metres at 8.0 grams of gold per tonne (g/t) Au from 265 metres, which the company said included a "very high-grade intersection" of 17 metres at 18.1 g/t Au from 274 metres.

Predictive Discovery also announced that 2 shallow drill holes at Bankan Creek intersected high-grade gold mineralisation.

The explorer said this supports the continuity of the mineralised zones and additional ounces to its Maiden Resource Estimate. It expects that estimate in the September quarter.

Commenting on the results, Predictive Discovery's managing director, Paul Roberts said:

These outstanding new results are further confirmation of the continuity and grade of the NE Bankan and Bankan Creek gold deposits. The intersection of 44m at 8.0g/t Au from around 240m vertical depth is an absolute standout, better than any intercept we have obtained so far in the deposit.

Roberts said the company has 4 more deep diamond drill holes with results yet to be reported at NE Bankan. They also said infill diamond drilling at Bankan Creek is ongoing. The last holes are expected to be completed by mid-July.

"Following receipt and interpretation of the last results, the company will move onto the Maiden Resource estimation, in keeping with our September quarter timetable," Roberts said.

Predictive Discovery share price snapshot

The Predictive Discovery share price is back in the green for the 12 month period to date, up 2.22%. That trails the 25.26% gains posted by the All Ordinaries Index (ASX: XAO).

In 2021, the Predictive Discovery share price has been on a tear, up 51.67% so far.

The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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