Kiaka keeps shining for Volta

Volta Resources’ (VTR-T) recently acquired Kiaka Gold project seems to show greater potential with every batch of drill results that come out of it. And on the back of the latest round of results the Toronto -based company is riding to new market highs.

Drill results from a program wrapped up in July are highlighted by an intercept of 49 metres grading 4.3 grams gold, including 11 metres at 16.83 grams gold; 31 metres grading 1.19 grams gold, including 13 metres grading 2.27 grams and 19 metres grading 1.6 grams gold.

Those results were deemed strong enough to send Volta shares up to their highest price level yet, as they climbed 6% or 9¢ to reach $1.64 on 2.76 million shares traded

Volta was only recently formed out of a merger between Birim Goldfields and Goldcrest Resources that was completed in March of 2008. The new company went on to acquire Kiaka just over a year later from Randgold Resources (GOLD-N, RRS-L) for 20 million of its shares and $4 million in cash.

And with every hole it puts into the ground, that investment looks more and more like a bargain.

The latest results came out of a total of 44 holes drilled for 5,738 metres that were drilled through June and July. Many of those holes were drilled as infill holes aiming to confirm continuity of the Kiaka hanging-wall zone (KHZ) and to test the northward extension of the zone.

“These consistent results point to continuity of gold mineralization in the KHZ zone,” Kevin Bullock, Volta’s chief executive said in a statement. “We believe the significant intersections encountered will enhance the gold resources attributable to the KHZ within the heart of the Central Area and also along strike to the north.”

Volta put out its first compliant resource for the project in late June of this year. That estimate tallied an indicated resource of 41.25 million tonnes grading 1.04 grams gold for 1.38 million oz. of gold and an inferred resource of 15.9 million tonnes grading 0.9 grams gold for 480,000 oz. of gold.

Kiaka sits 120 km southeast of Ouagadougou, the capital city of Burkina Faso. So far Volta has drilled a total of 155 holes for 22,818 metres in the Central Area of the project.

Volta says results from drilling to the south of the defined resource area will be released shortly.