30th Jun 2016 10:44
LONDON (Alliance News) - SolGold PLC on Thursday said the Alpala system at its Cascabel copper-gold porphyry project in Ecuador is "clearly very strong" as drilling continues at the site.
SolGold said its Hold 15R2 returned intersections of 1,338 metres at 0.49% copper and 0.36 grams per tonne of gold, including 344 metres at 0.86% copper and 0.68 grams per tonne of gold from 1,294 metres.
The company said the average of all the assayed core to date at the Alpala zone at the drilling project was 0.37% of copper and 0.35 grams per tonne of gold, across a 700 metre long, 500 metre wide and 1,800 metre vertical zone.
Alpala remains open in all directions, SolGold said, added that the Hole 15R2 extends the Alpala mineralised zone by 100 metres at depth and 100 metres to the north and north east.
Results from testing shallow south westerly extensions of its Hole 17 deposit are expected within ten days, SolGold said.
Further targets have been identified via magnetic modelling, bringing the total number of targets identified to 14 in total, the company added.
"An intersection of over 1,300 metres at an average grade of 0.81% copper equivalent is outstanding. The Alpala system is clearly very strong, very rich and very large. We have only tested 20% of the surface footprint of the greater Alpala target area. Importantly, we have now refined the magnetic model so that it is a very good predictive tool for targeting. This plus the outstanding regulatory, capital and operating cost advantages for Cascabel bode very well for this project," said Chief Executive Nick Mather.
Shares in SolGold were up 1.4% at 3.12 pence on Thursday.
By Hannah Boland; [email protected]; @Hannaheboland
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