Falcon Metals (ASX:FAL) said it has intersected a zone of quartz veining with visible gold 200 metres north along strike from the previous drilling at its Blue Moon project in Victoria, according to a Thursday Australian bourse filing.

The results were up to 2.75 meters at 41.9 grams per tonne grade of gold from 605.3 meters, including 0.5 meters at 222 g/t gold from 607.55 meters.

The company has two diamond rigs operational at the project, with one continuing to a target depth of about 900 meters, with assays pending, while the other is underway, targeting the same high-grade structures.