12th Aug 2015 08:36
LONDON (Alliance News) - Shanta Gold Ltd shares fell on Wednesday after it released the results from the reverse circulation drilling programme conducted on the Elizabeth Hill prospect at the New Luika gold mine in Tanzania.
Shanta shares were down 11% to 5.03 pence per share on Wednesday morning.
The company conducted 3,784 metres of drilling on the prospect, and the company said all of the holes drilled encountered mineralisation. The results from the drilling will be used to secure an updated mineral resource for Elizabeth Hill, which it expects to have in the fourth quarter of 2015.
Shanta also said it is now considering expanding its resource development drilling programme at the New Luika gold mine to other satellite deposits in the area, such as the Black Tree Hill, Ilunga and Luika South prospects, it said.
From nine holes, the best intersections found on the Elizabeth Hill prospect were as follows:
- 14 metres at 6.23 grammes of gold per tonne from 66 metres in hole CSR427
- 4 metres at 14.52 grammes of gold per tonne from 61metres in hole CSR434
- 6 metres at 6.75 grammes of gold per tonne from 29 metres in hole CSR415
- 10 metres at 3.53 grammes of gold per tonne from 54 metres in hole CSR435
- 15 metres at 2.26 grammes of gold per tonne from 25 metres in hole CSR418
- 8 metres at 3.48 grammes of gold per tonne from 35 metres in hole CSR413
- 8 metres at 3.00 grammes of gold per tonne from 55 metres in hole CSR453
- 2 metres at 6.68 grammes of gold per tonne from 65 metres in hole CSR433
- 2 metres at 4.24 grammes of gold per tonne from 65 metres in hole CSR432
Elizabeth Hill is a linear south-east trending topographic high which suggests that possible future opencast exploitation could be characterised by low stripping ratios, said the company.
A substantial portion of the 750 metre strike expression tested is characterised by encouraging gold mineralisation, it said. Areas displaying elevated gold grades are located within two distinct zones, said Shanta.
By Joshua Warner; [email protected]; @JoshAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
SHG.L