08:16 AM EDT, 10/16/2024 (MT Newswires) -- Erdene Resource Development ( ERDCF ) reported Wednesday drill results targeting areas outside of the currently defined reserve at the Bayan Khundii gold project in Mongolia.

During the third quarter, Erdene Mongol, a company jointly owned by Erdene and Mongolian Mining, completed a six-hole diamond drilling program of 950 metres. All holes intersected gold mineralization.

Highlights include 54 metres of 4.1 g/t gold starting at 56 metres, with one-metre intervals returning 16.9, 56.8, 78.1 and 11.1 g/t gold in hole BKD-381.

These results, and those from a recent diamond drilling program and a 13,500 metre reverse circulation drill program that will start next week, will be incorporated into an updated Bayan Khundii mine plan over the coming months, the company said.

The Bayan Khundii gold mine is currently under construction, targeting first production in mid-2025. The project will produce an average of 85,000 ounces of gold annually, beginning in 2026, Erdene said.