The hit of 1m grading 600.75 grams per tonne gold, 445gpt silver and 5.43% zinc saw the stock jump more than 30% in early morning trading, with the drilling carried out 200m away from the 1.2 million gold ounce equivalent Main Ore Zone at Zheng Guang.

A Leyshon market statement said that a feature of Zheng Guang is the strong correlation between high-grade gold and zinc mineralisation.

Leyshon is carrying out 10,000m of diamond drilling and 20,000m of reverse circulation drilling to increase the inferred resource at Zheng Guang of 930,000oz of gold, 64,000t of zinc, and 2.6Moz of silver.

Leyshon is earning a 70% stake from local interests by undertaking the exploration and development at the project, and by cash payment of $US5 million ($A6.6 million).

Development costs will be repaid on a schedule ranking ahead of any profit distribution.

In June, Leyshon raised £2.65 million ($A6.6 million) in an equity placement with clients of Mirabaud Securities in London, with the shares priced at 15p each.

Shares in Leyshon were up 29.7% at A48c in late morning trade after earlier hitting 49c.