6th Sep 2016 10:13
LONDON (Alliance News) - Orogen Gold PLC on Tuesday said recent diamond drilling on its Mutsk gold project in southern Armenia had doubled the overall footprint of gold mineralisation.
Diamond drilling at the property recommenced in early July, with the aim of extending the footprint of the gold deposit. This programme has completed "for now", drilling a total of 1,015 metres in seven holes. This programme exceeded Orogen's expectations, doubling the overall footprint of gold mineralisation to an area of 600 meters north to south by 200 meters east to west.
Several of the holes drilled hit multiple gold intervals over total downhole widths of up to 130 meters, Orogen said. The company will now assess the significance of the new gold extensions, and will prepare a follow-up plan over the next few weeks to further expand the resource, and consider other work required to advance Mutsk towards maiden resource status.
"This is a very pleasing result for the company. The last two drilling programmes have been aimed specifically at defining the 'gold envelope' at Mutsk. Relatively small expenditure has doubled the target and further scope remains. Our near-term detailed modelling will allow us to fully understand dips, trends and therefore target future drilling from a sound base. The outcome is particularly gratifying against the backdrop of a renewed interest in gold mining and developments within the regions we are operating in," said Chief Executive Colin Bird in a statement.
Shares in Orogen were down 0.4% at 0.0229 pence Tuesday morning, having bounced quickly back from a 16% fall earlier.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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