The main aim of the work was to follow-up on previous open-ended drill intercepts in the prospective Aspen formation.
The results showed all three holes hitting mineralisation and expanding the potential resource at Aspen.
Highlight results included 129.4 metres (m) at a grade of 1.66 grams per tonne (g/t) gold, which included 24.4 m at 3.45 g/t in one hole.
Another hole showed 73.1 m grading 1.13 g/t gold.
Drilling will be completed in October this year and results will be made public as they come.
"We are very pleased with the first three drill holes of our 2017 campaign," Otis president and chief executive Craig Lindsay told investors.
"The drilling has successfully confirmed and expanded gold mineralization in the Aspen Formation, a primary focus of current drilling.
"Also, and although early in our assessment of the Aspen unit, we are very encouraged to observe enriched grades of gold."
Previous drilling in 2015 and 2016 defined numerous intervals of significant thicknesses and grades at Aspen that remain open-ended at depth and laterally throughout much of the deposit.
The Kilgore project already hosts an NI 43-101 indicated resource of 520,000 ounces of gold in 27.4mln tonnes at a grade of 0.59 g/t gold.
The inferred resource is 300,000 ounces in 20.2mln tonnes at a grade of 0.46 g/t of gold.
Otis shares in Toronto gained 4.84% to C$0.32.