British mining company Cluff Gold said it had found significant sulphide deposits at its Yaoure project, which is likely to result in an upgrade in resources at the Ivory Coast mine.
The dual-listed company, which has major developments in West Africa, said the drill gave it confidence that the existing Yaoure indicated resources of 123,000 ounces would be increased in 2012.
Following the company's decision to re-evaluate the Yaoure project in 2011, we are extremely pleased to be able to report such strong sulphide mineralisation from the initial 1,967m diamond drilling programme, said Cluff Gold Chief Executive Peter Spivey in a statement on Thursday.
Spivey said Cluff had approved a $6.6 million budget for an aggressive drilling exploration programme in 2012.
We remain confident in the project's ability to deliver considerable value for our shareholders and we look forward to updating the market on progress made during the course of 2012, Spivey said.
Cluff's shares rose 5.9 percent to 85 pence in early trade on Thursday, valuing the firm at around 111 million pounds ($171 million).