3rd Mar 2014 11:27
LONDON (Alliance News) - Ortac Resources Ltd said Monday that Andiamo Exploration Limited, a company that it entered into a strategic alliance with in January, has signed a contract with Colonnade Mining Group Ltd for a drilling programme in Eritrea.
The diamond core drill programme is expected to start within the next two weeks and will target the Yacob Dewar gold and copper discovery and the Ber Gebey mineralised zone, in the Haykota Exploration Licence in Eritrea.
The programme will involve approximately 1,400 metres of core drilling, said Ortac.
Ortac's alliance with Andiamo commenced January 13, 2014.
The objectives of the programme are to delineate copper oxide mineralisation which occurs as a flat-lying zone within the top 50 metres or so at Yacob Dewar; to improve understanding of and extend the high-grade gold-bearing "silica-barite" zone which contains the Yacob Dewar oxide gold resource; and to investigate additional silica-barite outcrops mapped at Ber Gebay, three kilometres north of Yacob Dewar.
As well as the drilling project. a programme of geological mapping and geochemical surveys has been underway in the Yacob Dewar - Ber Gebay area since early February, said Ortac.
Ortac CEO Vassilios Carellas said, "I look forward with great interest to seeing the results of this drill programme. Andiamo's past drilling results show the potential of Yacob Dewar. The oxide gold deposit has been investigated in greatest detail and Andiamo's internal calculations indicate that it can probably be developed as a viable stand-alone project. Ortac believes that the copper oxide mineralisation may have even better potential, especially in the current markets, and the new drill programme will principally target this zone. Ortac will assist Andiamo to re-interpret the structure and genesis of the copper mineralisation and to establish a mineral resource estimate in the near future."
Shares in Ortac were up trading up 1.9% at 0.2395 pence per share Monday morning.
By Alice Attwood; [email protected]; @AliceAtAlliance
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