6th Aug 2014 07:39
LONDON (Alliance News) - SolGold PLC Wednesday said its Hole 7 drilling at the Cascabel copper-gold porphyry project in Ecuador has now finished, with progressively falling levels of mineralisation from 1,298.3 metres depth.
The gold exploration company said the Hole 7 site reached a total depth of 1,672.76 metres and intervals of strong copper sulphide mineralisation continued from 1,251.26 metres down to 1,298.3 metres.
SolGold said visible copper sulphides continued through the remainder of the hole but at progressively falling levels and that there was a fall in quartz vein intensities showing that the hole was reaching its margin.
In July, the company said it found strong mineralisation and the hole, which confirmed continuity of a mineralised zone from its Hole 5 site nearby.
At the time, SolGold said the hole intersected a 597.26 metre region grading 0.46% copper and 0.18 grammes per tonne of gold from 654 metres to 1,251.26 metres in depth. It said the region holds a range of higher-grade gold or copper intervals and the higher-grade intervals get stronger further down the hole.
The company said Wednesday that assays from 1,251.26 metres to 1,600 metres depth are expected within a week, with the remaining assays expected within four weeks.
SolGold said the drill rig has now been moved to the Hole 8 site, which targets to intersect a magnetic anomaly on the same pad as its Hole 5.
The company also said that an IP geophysical survey has been started on the Alpala part of the site and should take between 3 to 4 weeks to complete acquisition of data. It will then begin developing a model of the region to be completed in October.
SolGold shares were down 19% to 5.76 pence, putting it amongst the top three AIM All-Share losers on Wednesday.
By Tom McIvor; [email protected]; @TomMcIvor1
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