In a remarkable discovery that underscores the value of revisiting historical data, Kula Gold has uncovered a significant gold intercept from 1998 drilling that was completely overlooked and never followed up.
The company's technical team identified the standout hole during a comprehensive review of rotary air-blast (RAB) drilling data from the North Yilgarn Star prospect near Southern Cross in Western Australia.
Historic Gold Intercept Resurfaces
The forgotten drill hole, originally put down by Sons of Gwalia, returned an impressive 5m intersection grading 6.80g/t gold from 15m depth, with a further 2m at 0.46g/t gold from 49m to the end of the hole.
This promising result was documented in a WA Mines Department Mineral Exploration (WAMEX) report but was sidelined due to other exploration priorities and the era's low gold price of around US$290 per ounce (approximately A$475 at the time).
Kula Gold managing director Ric Dawson expressed excitement about the find, noting that "the thorough work by the Kula technical team is turning up some gems - this may be another! Always a good location for gold is next to a gold mine, in this case the 2 million ounce Yilgarn Star Gold Mine!"
Strategic Location and New Targets
The North Yilgarn Star prospect holds particular significance due to its prime location. It sits just 16km south of Kula's historic Mt Palmer gold mine in the prolifically gold-prospective Southern Cross greenstone belt.
Even more compelling is its position hard-up against the waste dump of the famed 2 million ounce Yilgarn Star gold mine. The drill hole sparking Kula's interest is located only 950m north of the Yilgarn Star open pit.
Kula's geoscientists have identified three significant targets at North Yilgarn Star that appear to mirror the Yilgarn Star geology. The company has already lodged a programme of work to get the prospect drill-ready.
Compelling Geochemistry and Exploration Potential
Kula's thorough data analysis reveals the prospect's strong potential, with co-incident geochemistry of gold, arsenic and bismuth highlighting the three main targets in an area that has seen only limited historic drilling.
The company has subsequently added the North Yilgarn Star prospect to its priority exploration list for the Mt Palmer joint venture, which is 80% owned by Kula and 20% by Newcam Minerals.
This discovery follows the pattern of many major mining operations that evolved from long-overlooked isolated drill intercepts or seemingly insignificant geochemical spikes on major trends.
Meanwhile, Kula's Mt Palmer project continues to deliver strong results. Recent drilling campaigns have returned impressive intercepts including:
- 15m at 9.4g/t gold from 87m at East Lode
- 8m at 2.76g/t gold at El Dorado, 4km north of the Mt Palmer mine
These results come from recent RC holes across multiple targets around the old Mt Palmer mine, highlighting consistent mineralisation in a local belt that has already delivered a fortune in gold.
For Kula Gold, the North Yilgarn Star discovery represents more than just a footnote in exploration history - it could be the beginning of a new chapter that weaves together the strategic locations of Mt Palmer and Yilgarn Star into a much larger gold story.
