Bardoc Gold Ltd's (ASX:BDC) share price has climbed today after the company announced the start of a major drilling program to boost gold reserves. The gold miner's share price rose to 8.4 cents, an increase of 7.69% from yesterday's close.
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What does Bardoc do?
Bardoc is an Australian gold company planning to build a substantial long-term gold business in Western Australia's Eastern Goldfields. The company aims to do this through exploration, acquisition and strategic consolidation.
Bardoc owns multiple gold projects, the largest of which is the Bardoc gold project.
What is driving the Bardoc share price rise?
Bardoc today announced the start of a major drilling program at its flagship Bardoc project to increase gold reserves. This comes as the company's definitive feasibility study (DFS) makes strong progress.
The new 7,000m resource in-fill drilling program targets additional mining reserves at cornerstone deposits. The drilling will target and unlock potential revealed during recent successful open-pit optimisations conducted as part of the DFS.
In addition, Bardoc reported excellent progress with metallurgical testwork programs. They inform the company about the quality of gold in the area, and give grounds to short-list preferred off takers.
Bardoc's CEO Robert Ryan said: "The recently completed mining studies show exceptional potential to grow the current reserve and mine plan within the current resource."
Foolish Takeaway
The gold price has been surging higher, recently topping US$2,000 per ounce recently. With strong demand in the sector, now is a good time to mine gold, and Bardoc is seeking to benefit from this trend. The Bardoc share price has seen a strong resurgence since lows in late March this year, closing today at 8.4 cents, up 7.69%.
While gold miners right now are experiencing serious tailwinds, Bardoc share holders should be aware that like any investment, gold is not a sure thing. Experts have warned that gold may soon face facing a painful correction after its record breaking run.
