Ausgold (ASX:AUC) secured two additional mining leases for the Katanning gold project in Western Australia, following approval from the Department of Energy, Mines, Industry Regulation and Safety, according to a Monday filing with the Australian Securities Exchange.

The combined area of mining leases M70/1426 and M70/1427 more than double the project area covered by the current lease, the filing said.

Shares fell nearly 2% in afternoon trade.