LONDON (Alliance News) - Orogen Gold PLC said Friday that preliminary interpretation of drilling at its Mutsk gold project in southern Armenia suggests the potential for new gold zones and extensions to the existing gold zone.
Recent diamond drilling at the Mutsk project support the belief that previously untested targets occur further to the east of the project, beneath shallow cover rocks, than was known from earlier work. The new gold assays extend the main target zone to the south and possibly to the northeast, supporting the suggestion that Mutsk represents a potentially large gold target.
The company undertook a short programme of drilling, totalling 974.4 meters in six holes, all of which were angled at 50 degrees towards the east or southeast. The programme is now completed, and gold assay results have been received for four out of the six holes to date.
"I'm very pleased with the result for this end of season test programme. During the review the Orogen team concluded that the Mutsk Project had significant scope for growth, both in terms of tonnage and contained gold. Given the limited seasonal time available when we embarked upon this programme we are delighted with this interim result, which shows above average gold grades and has identified new zones. We eagerly await the results of the remaining holes and we will update shareholders as soon as we receive and analyse them," said Chief Executive Colin Bird in a statement.
Shares in Orogen were up 2.7% at 0.0231 pence Friday afternoon.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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