OceanaGold tables resource at WKP prospect in New Zealand

OceanaGold (TSX: OGC; US-OTC: OCANF) has tabled a maiden resource at its WKP gold prospect, 10 km north of its Waihi gold mine in New Zealand.

WKP’s East Graben vein contains 410,000 indicated tonnes grading 18 grams gold and 22.7 grams silver for 234,000 oz. gold and 296,000 oz. silver. Its East Graben vein and T-Stream veins also contain 1.05 million inferred tonnes at 11.9 grams gold and 16.8 grams silver for 401,000 oz. gold and 568,000 oz. silver.

While drilling for a resource at its East Graben Vein, OceanaGold intersected a “much more extensive” zone of mineralization over a 1 km strike length that remains open in both directions, with a 200 metre vertical extent that remains open for another 100-200 metres up dip. The company expects to diamond drill 14,500 metres at WKP in 2019.

Recent highlights from the company’s drilling at WKP’s East Graben vein include 39.6 grams gold and 101.8 grams silver over 2.4 metres from 335 metres downhole and 43.37 grams gold and 59.5 grams silver over 10 metres from 477 metres downhole.

OceanaGold produced 533,000 oz. gold in 2018, down from 574,600 oz. gold the year before. It reported US$363.7 million in earnings before interest, taxes, depreciation and amortization and a net profit of US$121.7 million, down from US$408.4 million and US$171.8 million the year before.

OceanaGold shares are currently trading at $4.54 with a 52-week range of $3.13 to $5.01. The company has a $2 billion market capitalization.