Avnel Gold – Research Report from Edison Investment Research

Avnel Gold (TSX:AVK)’s drilling results announced today show the potential for bulk tonnage, open pittable gold mineralisation at the company’s Kalana permit in south-western Mali.

The press release is quoted as saying:

A relatively small underground mine currently extracts ~20kozpa from high-grade quartz veins on the property. However, Avnel is focused on the area’s potential to host significantly larger bulk deposits. Extensive exploration work is being undertaken in partnership with TSX-listed IAMGOLD, which has the option to earn an initial 51% of Avnel’s 80% stake in the 30-year permit by spending US$11m over three years and delivering a resource of 2Moz (although we believe the permit has the potential to deliver a resource of at least double this).

Click here to access the entire press release.