Erdene Resource Development Corp has started a maiden drill program on its wholly-owned Bayan Khundii Gold Project in southwest Mongolia. Geophysical surveys are also under way at the project.
The drilling is designed to test the near-surface, down-dip extension of the multiple, high-grade gold zones discovered by Erdene during the September quarter during an initial surface sampling and trenching program.
Bayan Khundii is an epithermal gold system with visible gold in multiple locations over 1.4km of strike. Initial surface sampling returned highly anomalous results from multiple samples with 20% over 3 grams/tonne and up to 4380 grams/tonne gold. The initial trenching program identified four separate zones, 10 to 30 metres wide, averaging 2.3 to 2.9 grams/tonne, including up to 1 metre @ 55 grams/tonne.
The Bayan Khundii drill program is expected to consist of 12 to 14 diamond drill holes totalling 600 to 700 metres. The program is targeting the Main Zone at Bayan Khundii, a 550 metre by 300 metre area that returned the majority of the high-grade mineralization encountered during the initial surface exploration program.
The company has also initiated a magnetic geophysical survey over the larger 1.4km-long Bayan Khundii target area, and gradient array induced polarization and dipole-dipole IP geophysical surveys over portions of the Main Zone. Results of the exploration programs are expected in December 2015.
Erdene Resource Development Corp. is a Canada-based resource company focused on the acquisition, exploration, and development of base and precious metals in underexplored and highly prospective Mongolia. The company holds four exploration licences and a mining licence in southwest Mongolia. These include Altan Nar, Bayan Khundii, Khuvyn Khar and Zuun Mod.