Ausgold (ASX:AUC) reported that assay results from reverse circulation drilling at its Katanning gold project in Western Australia returned intercepts of gold mineralization, according to an Australian bourse filing on Wednesday.

The significant intercepts it identified included 1 meter at 94.2 grams per tonne grade (g/t) of gold from a depth of 3 meters and 11 meters at 2.3 g/t grade of gold from 25 meters.

Inaugural drilling at the nearby Woodanilling project also returned a significant assay result of 3 meters at 6.4 g/t grade of gold from 27 meters.

Further results from the drilling campaign are expected in the March quarter, the filing said.

The firm's shares were up over 7% at market close Wednesday.