Red Mountain Mining, which is acquiring the Batangas gold project south of Manila from Mindoro Resources, says new drill results show the potential for deeper gold zones within the site. Two new drillholes at the Kay Tanda resource within the Archangel prospect have been completed by Mindoro.
Archangel has a JORC-compliant indicated resource of 393,000 ounces of gold and 1.4 million ounces of silver as well as an inferred 108,000 ounces of gold and 210,000 ounces of silver.
Red Mountain says the latest results have prompted a revised interpretation of the feeder zones which outlines the potential for the zones to have developed at depth on the flanks of domed intrusive bodies.
Five of the six drill holes in the current program funded by Red Mountain have been completed. Highlights of these include 26.2 metres @ 4.07 grams/tonne gold and 2.95 grams/tonne silver from 19.4 metres including 6 metres @ 6.12 grams/tonne gold and 8.8 metres @ 5.36 grams/tonne gold. Another hole intersected 5 metres @ 2.98 grams/tonne gold and 88.3 grams/tonne silver from 22.3 metres including 1 metre @ 6.66 grams/tonne gold and 227 grams/tonne silver.
Red Mountain’s executive chairman Neil Warburton says, “We are encouraged by the initial results of the structural designed drill program. The results to date are enabling the company to fine tune the structural target model for high-grade hydrothermal breccia targets under the Kay Tanda resource as well as determine where the existing gold resource is positioned within this very large epithermal system.”
The next phase of drilling will target other potential high grade gold areas. The acquisition of Mindoro’s gold and copper assets, which include a 75% stake in the Taipan San Fransisco project in Mindanao’s far north, is expected to be completed in coming weeks.