Kpali Gold Project









Background
The Kpali Gold Project comprises the Kpali prospect and the nearby Bundi prospect plus several satellite discoveries which lie ~30km west of regional town, Sawla. These prospects are situated within the 170km² Degbiwu prospecting licence (PL 10/26) which is surrounded by the 1,033km² Gbiniyiri retention licence (RL 8/27). The western border of each licence is the Black Volta River which also borders with Burkina Faso. Both licences are owned 100% by Castle through its wholly owned Ghanaian subsidiary, Carlie Mining Limited.
The main exploration driver, and original reason for investigating this area, is the extremely strong geological focal point provided by the convergence of two major greenstone belts (Bole-Bolgatanga and Wa-Lawra/Boromo) and three traversing regional-scale structures. These are individually associated with several major gold deposits and operating mines making Castle’s ground very compelling:
- 30km of the Batie West Shear, host to the 3.3Moz Konkera deposit (Centamin), 60km to the north west across the border in Burkina Faso;
- 15km of the Wa-Lawra shear zone, host to the 1.8Moz Kunche/Bepkong/Yagha deposits (Azumah Resources), 110km to the north and now awaiting a development decision; and
- 53km of the Bole-Bolgatanga shear zone, host to the 5.1Moz Namdini deposit (Cardinal Mining), 300km to the north east and which is about to commence mining.
- Castle is of the view that whilst very interesting in their own right, the Kpali Gold Project’s prospects, which also includes the Kpali East, Bundi, Wa South and Wa East prospects, may be indicative of a major gold “camp” hosting one or more large primary mineralised systems. These camps are typical of West African structurally-controlled orogenic gold environments and underpin the region’s status as one of the world’s most well-endowed gold regions.
- Gold anomalism and near-surface mineralisation, such as that already discovered at the Kpali Gold Project, provides a means to vector into and chase down-plunge major ore shoots which can extend to several hundred metres depth.
Castle is of the view that whilst very interesting in their own right, the Kpali Gold Project’s prospects, which also includes the Kpali East, Bundi, Wa South and Wa East prospects, may be indicative of a major gold “camp” hosting one or more large primary mineralised systems. These camps are typical of West African structurally-controlled orogenic gold environments and underpin the region’s status as one of the world’s most well-endowed gold regions.
Gold anomalism and near-surface mineralisation, such as that already discovered at the Kpali Gold Project, provides a means to vector into and chase down-plunge major ore shoots which can extend to several hundred metres depth.
Recent Drilling
- A 2024 review of Kpali Gold Project Geophysics and Historical Intercepts highlighted compelling scale-up opportunities.
- 11 June 2024: 28-hole, 3,500m phased RC drill programme planned to extend mineralisation at 100% owned Kpali Gold Project, Ghana.
- First phase holes to test for downdip and strike extensions to previous Castle intercepts which included:
- 22m at 2.85 g/t Au from 87m
incl. 17m at 3.40 g/t Au from 89m
and 7m at 6.03 g/t Au from 90m (13SWRC049); - 10m at 2.84 g/t Au from 92m (13SWRC053);
- 14m at 2.29 g/t Au from 98m
incl. 5m at 4.53 g/t Au from 99m (13SWRC054); - 16m at 3.23 g/t Au from 9m (13SWRC057);
- 10m at 2.01 g/t Au from 22m and
- 10m at 1.45 g/t Au from 49m (13SWRC059).
- 22m at 2.85 g/t Au from 87m
- 17 September 2024: Followup drilling reinforced the prospectivity at the emerging and possibly camp-scale Kpali Gold Project.
- Mineralisation intersected in all but one hole with better intercepts including:
- 4m at 3.66g/t Au from 26m
incl: 2m at 5.89g/t Au from 28m (24KPRC004) - 11m at 1.86 g/t Au from 143m (24KPRC005) (ended in mineralisation)
- 3m at 5.20g/t Au from 125m
incl: 1m at 10.73g/t Au from 127m (most likely a high-grade shoot) and
15m at 1.48g/t from 132m
incl: 2m at 2.88g/t Au from 145m (24KPRC006). - 2m at 1.20g/t Au from 44m (24KPRC008)(Kpali East)
- 4m at 3.66g/t Au from 26m
- 400m strike Kpali East surface gold anomaly now proven to extend to depth.
- 13 February 2025: Extremely strong gold intercepts from eight-hole RC drilling programme at Kpali Gold Prospect.
- All eight holes intersected shallow mineralisation with better intercepts including:
- 12m at 8.29g/t Au from 25m (24KPRC010) incl.
6m at 11.60g/t Au from 31m and
a peak 1m intercept of 20.43g/t Au at 36m and
4m at 4.16g/t Au from 95m. - 7m at 2.23g/t Au from 35m (24KPRC011) incl.
4m at 3.23g/t Au from 35m and
11m at 2.24g/t Au from 50m incl.
1m at 8.29g/t Au from 57m. - 5m at 3.66 g/t Au from 78m (24KPRC012) incl.
2m at 7.09g/t Au 79m. - 13m at 1.58g/t Au from 73m (24KPRC014) incl.
1m at 5.62g/t Au from 79m. - 1m at 8.35g/t Au from 5m (24KPRC015) and
9m at 4.81g/t Au from 107m incl.
2m at 8.75g/t Au from 109m. - 1m at 6.64g/t Au from 70m (24KPRC016).
- 7m at 1.67g/t Au from 39m (24KPRC017) and
3m at 3.08g/t Au from 78m.
- 12m at 8.29g/t Au from 25m (24KPRC010) incl.
- 16 June 2025: Latest drilling at Kpali prospect successfully extends major lodes along strike and to depth confirming continuity and robust nature of mineralisation.
- Notable intercepts from the 23 RC hole, 2,793m programme include:
- 1m at 20.66g/t Au from 41m (25KPRC018).
- 19m at 2.93g/t Au from 77m (25KPRC024) incl.
4m at 5.43g/t Au from 84m and
6m at 4.19g/t Au from 115m. - 7m at 2.22g/t Au from 178m (25KPRC025).
- 12m at 3.52g/t Au from 138m (25KPRC026) incl.
4m at 7.17g/t Au from 140m. - 6m at 2.8g/t Au from 19m (25KPRC029) incl.
3m at 4.24g/t Au from 19m. - 9m at 3.47g/t Au from 5m (25KPRC035) incl.
3m at 8.21g/t Au from 9m and
6m at 2.67g/t Au from 18m and
6m at 2.03g/t Au from 29m.
- 3 July 2025: Successful infill RC drilling of the Bundi prospect’s central zone with thickening of extensions at depth.
- All five holes intersected >1.00g/t Au gold mineralisation:
- 18m at 1.22g/t Au from 89m (25BURC003) incl.
3m at 3.35g/t Au from 89m and
3m at 1.77/t Au from 101m. - 2m at 2.07g/t Au from 113m.
- 7m at 3.26g/t Au from 114m (25BURC004) incl.
5m at 4.34g/t Au from 114m incl.
2m at 9.46g/t Au from 117m.
- 18m at 1.22g/t Au from 89m (25BURC003) incl.
- High-resolution aeromagnetic survey secured from prior explorer at no cost. Will considerably enhance targeting across the entire Kpali Gold Project.
- Auger drilling commencing August 2025 to extend existing prospects and generate new targets.
- Follow-up RC drilling planned at the Kpali and Bundi prospects and new high-conviction targets.
Kpali Prospect
Kpali was a virgin discovery in 2013 arising from systematic wide-spaced RAB drilling and power-auger geochemical sampling beneath a veneer of transported soil cover. Some 2,711 RAB holes have been drilled in the Kpali-Bundi area.
The geology at Kpali is dominated by low-grade metamorphosed sediments and volcaniclastics, with a lesser amount of mafic volcaniclastics. This sequence is intruded by a coarse-grained felsic circular body that demarcates the eastern boundary of the mineralisation.
Mineralisation runs north-south, is generally steeply dipping and occurs as a number of distinct, individual, more or less planar-lodes, that vary between 2m to 20m in thickness. These lodes are mostly continuous and were consistently intersected in drilling along an established central trend of some ~500m that remains open to the south and possibly also to the north.
Kpali East Prospect
The Kpali East prospect, 500m east of Kpali, was identified by soil sampling and regional RAB drilling undertaken in 2013 and 2014 to follow-up the Kpali discovery and to test a de-magnetised zone delineated by interpretation of historical aeromagnetic data acquired by Castle.
The RAB intercepts overlie the east side of the Kpali granite and are aligned with the de-magnetised corridor which trends east-southeast across the southern portion of Castle’s licence area. Initial follow-up with RC drilling in mid-2014 produced some encouraging anomalous intersections. Further work is required.
Bundi Prospect
The Bundi prospect, situated 4km north-northwest of Kpali, was discovered in 2013 by Castle following reconnaissance soil sampling, auger drilling and RAB drilling. RC drilling was undertaken later in 2013 and 2014 with 16 of 20 RC drillholes reporting mineralisation and a best intercept of 51g/t Au over 1m.
Interestingly, there also appears to be an association of zinc sulphides with the gold mineralisation (refer ASX release 23 May 2013) suggesting that Bundi may represent the distal expression of a volcanogenic massive sulphide horizon. This is not unsurprising as the Perkoa zinc mine lies on the same Wa-Lawra / Boromo greenstone belt where it extends to the north into Burkina Faso. Further exploration and study work is required to verify this hypothesis but is not a priority at present.
The Bundi prospect comprises linear, continuous vertically dipping mineralisation over a strike of ~1,400m and to at least 100m depth. It remains open in both directions.
It is hosted within altered Birimian shales and sediments. Gold mineralisation is associated with quartz-sericite schist (metamorphosed felsic volcanic) with sericite alteration and 1-3% disseminated sulphides (incl. sphalerite).