Trenching by Xanadu Mines at the Kharmagtai Copper-Gold Project in southern Mongolia has returned significant results which have extended the strike and width of higher grade surface mineralization at the Tsagaan Sudal deposit.
The new trench results provide significant upside to the project and will contribute to the likely development case at Tsagaan Sudal.
Xanadu’s CEO Andrew Stewart says, “The surface higher grade component of the Tsagaan Sudal deposit has been materially extended by more than 250 metres to the northwest, where mineralization remains open. This is further evidence that Xanadu is building a significant open-pit metal inventory, and with further exploration drilling is likely to result in a very viable deposit given the favourable infrastructure nearby.”
All trenches designed to test extensions to previously reported resources at Tsagaan Sudal of 115 million tonnes @ .029% copper and 0.23 grams/tonne gold, intersected broad zones of stockwork copper-gold mineralization with significant intervals at well above the average grade of the current resource.
One trench intersected a higher grade zone of 122 metres @ 0.49% copper and 0.75 grams/tonne gold within a broad zone of stockwork mineralization. Shallow stockwork remains open to the southwest, northwest and southeast.
Trenching is continuing at Kharmagtai with the excavator currently testing the extension of the Tsagaan Sudal deposit.
Diamond drilling continues to focus on the tourmaline breccia hosted copper-gold mineralization east of the Altan Tolgoi deposit adjacent to Tsagaan Sudal with recent drilling intersecting the longest continuous zone of mineralization and the highest grade to date.
Kharmagtai is in the under-explored South Gobi porphyry copper province which hosts the world-class Oyu Tolgoi copper-gold operation, the Tsagaan Suvarga porphyry copper-molybdenum development and Xanadu’s Oyut Ulaan copper-gold exploration project. It is about 420km southeast of Ulaanbaatar and 60km north of the Tavan Tolgoi coal deposit.