ECR Minerals plc (AIM:ECR) is pleased to announce the results of diamond core drilling at its 100% owned Blue Moon gold prospect in Central Victoria, Australia.
The drilling programme at Blue Moon was undertaken to confirm the presence of gold mineralisation based on the Company’s technical work which had indicated potential for an extensive mineralised system.
For clarity the paramount objective of this drill programme was to identify the presence of gold, ratifying the internal exploration model and enabling further work to ascertain the mineralised structure and identify the potential for commercial development.
- The assay results received provide evidence of a significant near surface mineralised system, with large mineralised gold intercepts up to 39.5 metres (apparent width) just 24.2 metres from surface in hole BBM003 in a host rock sandstone that outcrops at the surface;
- All three holes intercepted gold mineralisation and the results support MGA’s hypothesis that Blue Moon is a disseminated gold system comparable to some of the mineralisation exploited at the 1Moz+ Fosterville mine;
- Given the deep weathering at Blue Moon and potential for gold depletion in the oxidised sulphides, higher grades may be encountered at depth in fresh rock;
- The Company has requested multi-element assay data to complement the gold results received and we will provide a further update to market when this additional assay data is been received;
- The ECR technical team are undertaking additional work to move the Blue Moon target forward as rapidly as possible, reflecting the findings announced today.
Craig Brown, Chief Executive Officer of ECR Minerals commented: “Australia in general and Central Victoria region continues to experience a gold exploration boom and ECR are building a material presence in that region.
The results today provide an exciting opportunity for the Company and we are keen to push ahead with our work to ascertain the size and nature of the mineralised system we have identified.
I expect to be able to release further updates to the market in the near term.”
Further Information – Blue Moon & Drill Results
The drilling formed part of a larger diamond drilling programme across three prospects in Central Victoria: Bung Bong, Monte Christo and Blue Moon, all of which are 100% owned by the Company’s wholly owned subsidiary Mercator Gold Australia Pty Ltd (“MGA”). The Blue Moon prospect is part of the Bailieston project area (EL5433).
Drill hole data and significant intercepts from the three holes drilled at Blue Moon (BBM001 to BBM 003) are disclosed in Table A below. Intercepts are apparent width.
BBM001 and BBM002 were designed to establish the dip of the host sandstones and assess the potential for gold mineralisation. Intercepts of 5.45m at 0.12 g/t Au from 33.95m and 10.0m at 0.16 g/t Au from 43.8m were obtained in BBM001 and BBM002, respectively. Upon drilling faulted, stockworked sandstone in the first two holes, BBM003 was drilled down dip to test the nature of the cross-cutting faults and veins and to obtain a large number of samples for analysis. An intercept of 39.5m at 0.3 g/t Au from 24.2m, including 2.7m at 1.12 g/t Au from 60m, was obtained in BBM003.
The gold mineralisation intercepted is hosted in a 5.5m wide medium-grained sandstone within a thick bioturbated shale (see figure 1, for BBM003 which may be viewed at the following link: https://bit.ly/2lXAWv9). Diorite sills have intruded along the margins of the sandstone. The sandstone is metamorphosed to quartzite and the brittle host showed stockwork vein development in each of the three holes. Small iron-oxide pseudomorphs thought to be of arsenopyrite and pyrite are disseminated throughout the quartzite. Deep weathering of the sandstone has meant that no fresh samples have been seen to verify the minerals.
The high repeatability of the assay results, evident from MGA’s QA/QC procedures (which include the repetition of a certain number of assays), support MGA’s hypothesis that the Blue Moon prospect is a disseminated gold system comparable to some of the mineralisation exploited at the Fosterville mine approximately 50 km away. Given the deep weathering and the potential for gold depletion in the oxidised sulphides, it is possible that higher grades may be encountered at depth in the fresh rock.
ECR is a mineral exploration and development company. ECR’s wholly owned Australian subsidiary Mercator Gold Australia has 100% ownership of the Avoca, Bailieston, Creswick, Moormbool and Timor gold exploration licences in central Victoria, Australia.
ECR has earned a 25% interest in the Danglay epithermal gold project, an advanced exploration project located in a prolific gold and copper mining district in the north of the Philippines. An NI43-101 technical report was completed in respect of the Danglay project in December 2015 and is available for download from ECR’s website.
ECR’s wholly owned Argentine subsidiary Ochre Mining has 100% ownership of the SLM gold project in La Rioja, Argentina. Exploration at SLM has focused on identifying small tonnage mesothermal gold deposits which may be suitable for relatively near-term production.
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