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LONDON (Alliance News) - Australian gold and copper mining company SolGold PLC said Tuesday that drilling at the Cascabel project in Ecuador encountered further high-grade extensions.
The drilling programme at Alpala "continues to extend high-grade mineralisation", indicated by hole 42, which partial assay results have returned 1.05% copper equivalent at 846 metres and 1.28% copper equivalent at 504 metres.
Infill drilling within the high-grade Alpala central deposit is expected to "significantly increase" the high-grade resource tonnage.
The Aguinaga programme has seen confirmation of the potential for a second large porphyry deposit, with further test depth extensions being carried out.
The deposit intersected about 373 metres of porphyry style veining and visible chalcopyrite and mineralisation from 295 metre depth.
CEO Nick Mather said: "The drill program is proceeding according to plan. We are finding a lot more high grade intersections outside the current resource model for Alpala. The takeaway is that extra high grade resource tonnes will have a significant and positive impact on value. Allowing for this, and with what we believe to be a unique set of logistical advantages compared to many "high and dry" Chilean projects, increasing high grade mineralisation, the discovery at Aguinaga, and the increasing demand and price for copper and gold, the upside in this project is very exciting."
Shares in SolGold were flat at 26.60 pence Tuesday.
