Chesser Resources Ltd (ASX:CHZ) has been granted a trading halt with a capital raising announcement pending.
The trading halt will remain in place until the beginning of trade on Thursday, September 12, or when an announcement is released to the market, whichever occurs earliest.
The company's securities last traded at 6.1 cents.
Chesser recently received further broad intersections of high-grade gold in drilling at the Diamba Sud Gold Project in Senegal, Africa.
Assays were received from the remaining 12 reverse circulation (RC) holes from a phase-II drilling program with ‘significant’ intersections encountered along two north-trending host structures adjoining Line D within the Northern Arc target.
The best result is 53 metres at 2.61 g/t gold from 57 metres, including 17 metres at 4.97 g/t from 59 metres in hole DSR-103.
“Highly encouraging” results
Managing director Mike Brown said: “These final highly encouraging drill results confirm the presence of areas of significant gold mineralisation along a significant structure within the Northern Arc target.
“This is in addition to the previously announced discovery at the Line A area – the overall length of the mineralisation intersected in hole DSR-103 is exceptional, as is the mineralisation across the intersected structure.”
A full review of the exploration results is underway with drilling activities expected to take place in October following the West African wet season.