Castle Minerals has confirmed a near surface high-grade graphite occurrence at its Kambale graphite deposit in North West Ghana.

Drilling campaign tested the first 1km of strike of the western zone with the strike extensions and the eastern zone yet to be drilled.

Castle Minerals managing director Mike Ivey said with less than 20% of the graphitic schist horizon tested the company clearly has the potential to outline a world class graphite deposit.

"Samples from this drilling have been submitted to a Perth metallurgical laboratory and we look forward to reporting these results along with a maiden resource estimate in the near future," said Ivey.

Graphitic schist horizons remain open along strike and at depth.

This week, drilling is slated to resume testing strike extensions as well as drilling the eastern schist zone where a March 2012 rotary airblast (RAB) hole reported 27m at 10.1% graphite from 9m.

Exploration on Castle’s 10,000km2 Wa Project in north-west Ghana is focused on four regional scale prospect corridors.

The Kambale graphite occurrence is located 5.8km west of Wa, capital of the Upper West Region and is within the WaLawra greenstone belt and is being explored for gold and base metals by Castle.

Castle has made an application to the Ghana Minerals Commission to include graphite and manganese under a new licence application it has earlier submitted.