this is promising!, page-9

Of 27 holes drilled at Catto, 20 of these have no significant mineralisation (>100ppb Au).

Directors have stated that "It appears that the geological controls over the copper-gold-silver mineralisation are slightly more complex than originally thought. Even though there is clear evidence of mineralisation within the area drilled, the most prospective primary target horizon (the Felsic Granophyre-Valentine Siltstone contact) was not intersected. As a result, the exploration model for 2014 in the Catto area is being refined and drilling is planned to take place further to the east to identify that contact."

oh well, it seems that is to be expected.

Kreuzer & Etheridge (2010) in Risk and Uncertainty in Mineral Exploration: Implications For Valuing Mineral Exploration Properties state that

"on average, we need to test at least 20 to 100 skilfully selected targets in brownfields and between 200 and <3,000 targets in greenfields exploration to make a discovery that eventually becomes a profitable mine. As a rule of thumb, ~30 km (or 200 holes) of geochemical and exploratory drilling are required for a minor greenfields discovery with an in-situ value of = US$30 million, 300 km (or 2,000 holes) for a moderate one with an in-situ value = US$200 million, and 3,000 km(or 20,000 holes) for a major discovery with an in-situ value =US$1,000 million (Schodde, 2003). The clear implication of the low base rate situation is that, despite superior geoscience and skilful exploration, most projects are destined to fail."

I just hope that the conceptual model that KRC is developing and relying on to identify future drill targets is robust and proves worthwhile...