LONDON (Alliance News) - Ortac Resources Ltd Wednesday saw its shares rise after it said that the first batch of assay results from a trenching programme at its Yacob Dewar project in Eritrea had confirmed further high-grade oxide copper mineralisation.
In a statement, the company said the results were taken over a 400 metre strike length, which is still open to the north and the south.
"These trench results will allow Andiamo and Ortac to further define the extent of the oxide copper mineralization," Ortac Chief Executive Vassilios Carellas said in a statement.
The Yacob Dewar deposit is located within the Haykota exploration concession area in Eritrea. Andiamo Exploration Ltd holds the 252 square kilometre Haykota exploration licence, and Ortac has a subscription agreement to acquire up to a 26.7 % stake in Amdiamo for USD1.5 million and the right to acquire a further 21% stake for USD2 million.
Carellas said the two companies are on course to complete a technical study in the first or second quarter of 2015, which will be submitted to the Ministry of Energy and Mines of Eritrea as part of a mining license application. That will enable Ortac to fulfil its commitments to Andiamo under the subscription agreement.
Yacob Dewar Trenching Highlights:
· 54.0m @ 0.74% Cu, including 10.0m @ 3.03% Cu, in surface trench YDTR-28;
· 47.0m @ 1.18% Cu, including 10.3m @ 2.55% Cu, in surface trench YDTR-30;
· 52.6m @ 0.83% Cu, including 14.0m @ 2.33% Cu, in surface trench YDTR-25; and
· 80.0m @ 0.54% Cu, including 16.0m @ 1.78% Cu, in surface trench YDTR-26.
Ortac Resources shares were up 6.7% at 0.240 pence early Wednesday, among the top gainers on the AIM All-Share index.
By Steve McGrath; stevemcgrath@alliancenews.com; @stevemcgrath1
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