OceanaGold (TSX: OGC; US-OTC: OCANF) said recent drilling at its Wharekirauponga deposit in New Zealand points to a new high-grade zone emerging outside current reserves.
Highlight hole WKP144A cut 5.4 metres grading 25.8 grams gold per tonne from a depth of 483 metres, OceanaGold said Wednesday in a statement. Another standout hole, WKP144B, cut 14.9 metres at 16.3 grams gold from about 467 metres downhole.
Wednesday’s results, which also included assays from four other drill holes, “highlight strong potential for future resource growth and conversion to reserves,” Desjardins Capital Markets mining analyst Bryce Adams said in a note to clients.
Located about 10 km north of the company’s Waihi operation on New Zealand’s North Island, Wharekirauponga is a low-sulphidation epithermal gold-silver vein system that has seen significant resource growth in recent years. Ongoing drilling is focused on converting resources to reserves and expanding the mineralized footprint.
Southern extent
The latest drilling confirms both the continuity and extension of mineralization within the East Graben vein system while outlining a newly defined high-grade zone at the southern extent of the deposit, OceanaGold said. The area spans about 150 metres of strike and remains open in multiple directions.
Wharekirauponga holds 2.63 million measured and indicated tonnes grading 17.3 grams gold for contained metal of 1.46 million oz., according to a December 2025 resource. Inferred resources are pegged at 2.9 million tonnes grading 8.5 grams gold for 800,000 oz. of contained metal.
Development plans envision an underground mine that could leverage existing infrastructure at Waihi. Exact timelines will depend on permitting and further resource definition.
Three drill rigs are now operating at Wharekirauponga, and OceanaGold expects to add two more during the second quarter.
Expanding system
Exploration over the past several years has steadily expanded the system. Drilling last year extended mineralization to roughly 1.4 km of strike and identified multiple high-grade shoots along the East Graben vein and associated structures.
“With Wharekirauponga remaining open in multiple directions, we remain well positioned to drive shareholder value through continued resource growth and conversion as we increase the amount of drilling this year,” CEO Gerard Bond said in the statement.
OceanaGold rose 4.5% to $45.83 Wednesday morning in Toronto, boosting the company’s market value past $10 billion (US$7.2 billion). The stock has traded between $12.78 and $59.20 in the past year.
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