Up 572% in a year, why is this ASX 300 gold stock rocketing again on Friday?

This ASX gold stock has turned a $10,000 investment into $67,188 in one year. And it's surging higher again today.

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S&P/ASX 300 Index (ASX: XKO) gold stock Dateline Resources Ltd (ASX: DTR) is rocketing today.

Dateline Resources shares closed yesterday trading for 20 cents. In early morning trade on Friday, shares are changing hands for 21.5 cents apiece, up 7.5%.

For some context, the ASX 300 is up 0.1% at this same time.

Taking a step back, Dateline Resources shares have rocketed a jaw-dropping 571.8% over 12 months, smashing the 4.5% one-year gains delivered by the benchmark index.

Here's what's catching investor interest today.

A graphic showing a businessman running up a white upwards rising arrow symbolising the soaring Magellan share price today

Image source: Getty Images

ASX 300 gold stock leaps on high-grade intercepts

Dateline Resources shares are jumping higher following the release of a promising exploratory drilling update at the miner's Colosseum Gold and Rare Earth Element (REE) Project, located in the US state of California.

The ASX 300 gold stock said that it had struck two new broad gold intersections from drill testing, extending the known mineralised zone.

Dateline reported top results from one hole of 287.3 metres at 1.05 grams of gold per tonne from 0 metres, including 17.7 metres at 6.13g/t Au from 19.2 metres.

The second hole returned 1.06g/t Au from 0 metres, including 87.9 metres at 1.59g/t Au from 12.2 metres.

Management said that mineralisation remains open and the targets will be tested further over the coming months.

On the rare earths front, the ASX 300 gold stock currently has two drill rigs that are targeting rare earth mineralisation at Colosseum with an 18-hole drill campaign. Dateline is currently commissioning a third company-owned rig so it can test the gold extensions in parallel.

The miner has completed almost 3,000 metres of rare earths focused diamond drilling to date. Some of the exploratory holes have drilled up to 745 metres below the surface.

The rare earths samples from that drilling campaign are currently at an assay lab for analysis.

What did Dateline Resource management say?

Commenting on the results helping boost the ASX 300 gold stock today, Dateline Resource's managing director Stephen Baghdadi said, "Gold mineralisation at the Colosseum North Pit continues to extend to the northeast and these latest drill intersections again highlight the robust nature of the deposit."

Baghdadi added:

These broad gold intersections highlight the potential for the definition of an underground deposit at Colosseum that could be exploited following the completion of open pit mining.

Based on the positive indications so far, the rare earth drilling program has now been expanded to 18 holes. The high-density rocks are an encouraging indicator that we are on the right track.

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. 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 Scott Phillips.

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