(Alliance News) - Adriatic Metals PLC on Monday said its exploration drilling at the Rupice Northwest project in 2022 was successful, showing that a trend of "thick, high-grade massive" sulphide mineralisation continuing.
Shares in Adriatic Metals were down 5.4% to 165.40 pence each in London on Monday morning.
Adriatic Metals is a precious and base metals developer, with licences in Bosnia & Herzegovina and Serbia. The Rupice underground deposit comprises part of the Vares silver project, which is the company's flagship asset in Bosnia.
Thirteen drillholes were part of the drilling campaign, with hole BR-30-22 demonstrating 987.5 grammes per tonne of silver equivalent at a depth of 34.5 metres. The least impressive result was observed at BR-29-22, finding 166.7 grammes per tonne at a depth of 18.4 metres.
In 2023, Adriatic Metals said Rupice NW drilling continue to infill mineralisation to "an indicated resource level of confidence" and to close-out mineralisation currently open up-dip and down-dip ob every section at the site.
Further exploration in 2023 will focus on drill testing multiple Vares regional targets, including Droskovac, Rupice West, Semizova Ponikva and Vares East.
For Rupice NW and other regional targets, a total of 23.7 kilometres of diamond drilling from 86 holes is planned using four drill rigs across 2023, alongside geophysical surveys, surface sampling and detailed mapping, Adriatic Metals said.
"These latest high-grade assay results confirm that 2022 was a highly successful year for exploration at our Vares project. Rupice NW is delivering outstanding results that will continue to grow the Rupice mineralisation inventory and life of mine," said Chief Executive Officer Paul Cronin.
"With the quality of targets available, a dynamic exploration team and already being in a region of exceptional mineralisation endowment, Adriatic is well placed to supplement Rupice production with new regional ore sources."
In mid-February, Adriatic Metals said it had drawn on the second tranche of its senior secured debt in order to continue constructing the Vares project in Bosnia & Herzegovina.
The company has drawn down on the second USD30 million tranche of senior secured debt and the USD22.5 million copper stream from Orion Mine Finance.
On January 10, Adriatic completed a USD142.5 million debt financing package with Orion, comprising USD120 million senior secured debt and a USD22.5 million copper stream.
The first draw down of USD30 million of the Orion debt package was received on December 30. The third and fourth tranches of the remaining USD60 million of senior secured debt will be drawn down in 2023 when required, Adriatic said at the time.
By Greg Rosenvinge, Alliance News reporter
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Adriatic Metal. (ADT1)