Kalgoorlie Gold Mining announced extensive gold and lithium anomalism defined by its first-pass auger exploration program on the Company's 100% controlled Pianto Project, located 85 km north of the City of Kalgoorlie-Boulder. The program detected broad-scale, low-level, near-surface anomalism for potential lithium and gold mineralisation at depth in areas of little or no outcrop. A total of 315 auger samples tested near-surface transported material over a broad 11x3 km area.

Confirmation of outcropping pegmatite peripheral to the anomalies likely contains Li-bearing spodumene and provides encouragement for future work programs. Anomalous lithium and associated metals are evident throughout the Pianto survey area. As expected in transported material, levels are subdued, but coherent anomalism follows the trend of the northwest- striking structure throughout the survey area. Importantly, other associated metals show similar coherent anomalism.

It shows strong spatial overlap of lithium (Li) with tantalum (Ta), niobium (Nb) and tin (Sn). Other metals commonly associated with pegmatites and lithium mineralisation that show a similar distribution at Pianto include aluminium (Al), bismuth (Bi), hafnium (Hf), scandium (Sc), thorium (Th), vanadium (V), tungsten (W), and zirconium (Zr). All anomalies are from samples of transported granitic sands in areas with little or no outcrop.

The coincidence of all of these anomalies suggests an underlying, pegmatitic bedrock source. A northeast-trending drainage disrupts the northwest trend of the anomalism. In some cases, anomalism within the drainage suggests additional source areas in the hinterland to the west and south.

The lithium and associated anomalies are located in areas largely devoid of outcrop. Initial field checking peripheral to these anomalies has identified outcropping pegmatites that are typically the host rock to primary lithium mineralisation. Sites visited are generally small but, in some cases, provide evidence for a northwesterly strike for several pegmatites (parallel to the inferred controlling structure).

From one pegmatite (Location: 51J 339404mE 6683126mN), the lithium mineral spodumene has been tentatively visually identified. The prominent cleavage and UV luminescence are consistent with a spodumene diagnosis, but further work is underway on this and other sites to provide confirmation.