AUSTRALIAN mining firm Southern Gold announced Wednesday “significant” gold and silver mineralisation in results from the first drill of the 2009-2010 season at its Anchor prospect in Snoul, Kratie province.

Results from a further six “eagerly anticipated” test drills at the site are due by April at the latest, added a statement by the Adelaide-based miner, which fully owns the concession.

“Southern Gold’s work at Anchor is part of the company’s aggressive exploration programme under way in Cambodia during the 2009-2010 field season,” it added.

With phase 1 of drilling in the prospect completed, the firm said it would begin phase 2 next month.

“Both drill phases are designed to target the source of [a] significant gold trench,” Wednesday's announcement added.

Southern Gold’s stock rose 4.76 percent at the close of Sydney trading following the announcement to A$0.11 (US$0.10) after hitting A$0.15, its highest value since February 23.

Source: Phnom Penh Post