The Southern Cross Gold Ltd (ASX: SXG) share price is rocketing higher on Monday morning.
In afternoon trade, the gold explorer’s shares are up an incredible 225% to 65 cents.
Why is the Southern Cross Gold share price rocketing higher?
Investors have been bidding the Southern Cross Gold share price higher today after the gold explorer released positive drilling results.
According to the release, drilling at the Sunday Creek project in Victoria has uncovered a spectacularly wide intersection of gold-antimony mineralisation.
The Sunday Creek epizonal-style gold project is located 60 kilometres north of Melbourne within 19,365 hectares of granted exploration tenements.
With 13 promising drillholes now intersected, management considers Sunday Creek to be one of the better recent exploration discoveries to come out of Victoria.
But it may not stop there. Mineralisation remains open at depth and along strike. In addition, there is a 10-kilometre mineralised trend that extends beyond the drill area and is defined by historic workings and soil sampling at Sunday Creek. This is where exploration drilling has never been undertaken and thus offers potential future upside.
‘Unprecedented’ result
Southern Cross Gold’s Managing Director, Michael Hudson, was delighted with the drilling results. He said:
This result is unprecedented in terms of width of high-grade mineralisation rarely, if ever, seen in the Victorian goldfields. A result of 119.2m @ 3.9 g/t AuEq places the Sunday Creek project into a new realm, and builds on what was already a remarkably successful drill program.
Continuity, with great width and grades, is now evident down to 335 m vertical depth in the Apollo Shoot that remains open to depth, while multiple adjacent shoots remain to be drilled out.
With the freehold land secured, industry-leading drill results, strong local relationships, a team of ore discoverers in place and the drill rig continuing to target extensions to mineralisation found in SDDSC033, we highly anticipate further results.
The post Southern Cross Gold share price explodes 225% higher on ‘unprecedented’ discovery appeared first on The Motley Fool Australia.
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Motley Fool contributor James Mickleboro 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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