28th Apr 2014 07:52
LONDON (Alliance News) - Ortac Resources Ltd Monday said it has increased its investment in Andiamo Exploration Ltd, following encouraging results in copper mineralisation intersected by Andiamo's previous drill programmes.
The natural resource development company said it has increased its stake in Andiamo Exploration to 25.37%, and now holds a total of 10 million shares, putting its total investment in Andiamo at USD1.5million, which has funded Andiamo's initial drill programme.
The initial 1,500 metre drilling programme at the Yacob Dewar gold and copper exploration project in Eritrea was designed to target shallow copper oxide mineralisation at Jacob Dewar, with the intention of defining a mineral resource. It was budgeted at USD500,000, and has now been completed, with the first batch of samples sent for analysis containing core from two drill holes.
Ortac said it has received its first drill assay results from the Yacob Dewar project, showing 1.32% copper over 42.5 metres from the surface at Drill Hole YDD-043, and 1.38% copper over 53 metres from the surface at Drill Hole YDD-040.
"These initial good results also come at a time when our ?turec gold project in Slovakia is set to enter an important phase that will serve to shape our next stage of its development," said Chief Executive Officer Vassilios Carellas in a statement.
Ortac entered into a strategic alliance with Andiamo in January, and Andiamo signed a contract with Colonnade Mining Group Ltd for the drilling programme in Eritrea, last month.
Ortac Resources shares were up 2.3% at 0.220 pence per share Monday morning.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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