9th Jun 2016 09:32
LONDON (Alliance News) - W Resources PLC Thursday published a maiden resource estimate covering the Sao Martinho deposit in Portugal that shows the area could hold more than 110,000 ounces of gold.
The deposit is part of the CAA Portalegre licence in the north of the country and the JORC-compliant resource was compiled by Golder Associates. The miner said the estimate is based on "limited" drilling, meaning it will look to upgrade and the grow the resource in the future.
"The Sao Martinho project was added into the CAA/Portalegre licence in September 2015 at a low cost and we have moved quickly to define a maiden resources estimate leveraging existing data and therefore also at a low cost to the company," said Chairman Michael Masterman.
"Our geological evaluation of the project indicates the potential to increase the size of the indicated resource and delineate additional high-grade zones. A targeted drill programme will be completed in the second half of 2016," he added.
The total resource estimate for the deposit stands at 3.0 million tonnes of ore graded at 1.04 grammes of gold per tonne, equating to a total of 111,987 ounces of gold.
Breaking that total resource down, the indicated resource estimate stands at 480,000 tonnes of ore graded at 1.03 grammes of gold per tonne, equating to 17,363 ounces - meaning the majority of the resource is classified as inferred.
Inferred resources stood at almost 2.6 million tonnes of ore graded at 1.05 grammes of gold per tonne, equating to 94,624 ounces.
W Resources shares were trading up 2.9% to 0.458 pence per share on Thursday.
By Joshua Warner; [email protected]; @JoshAlliance
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