Mila Resources PLC shares slumped on Tuesday, as it reported little success from drilling at its Kathleen Valley gold project in Western Australia.

Shares in Mila Resources closed 48% lower at 1.60 pence in London on Tuesday.

The London-based post-discovery gold exploration firm said assays for the first three of four completed drill holes have been received.

‘The three holes did not return economic widths and grade but have provided strong evidence of pathfinder elements to define the root zone of the system,’ Mila said.

Technical Director Neil Hutchison added: ‘The drilling programme has given us important vectors for the forthcoming exploration season and now we will work with the team and consultants to better understand the system. Our programme for 2023 will focus on extending the mineralisation along strike to the NW where it is open and untested.

‘Further supporting technical analysis works will be undertaken between the scheduled drilling programmes, with drilling to recommence in Q1 2023.’

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