Red Mountain Mining finds gold grading 110.9g/t at Batangas, Philippines
Red Mountain Mining's (ASX: RMX)
shares will again open higher after more bonanza grade gold discoveries
from its Lobo Prospect, which is part of the Batangas Gold Project in
the Philippines.
New results from vertical sampling at Trench 7
include: 1.8 metres at 55.9g/t gold at surface, including 0.9 metres at
110.9g/t gold.
This follows on from the discovery earlier in the week of 2.6 metres at 28.6g/t gold from trenching.
Additional
new results from Trench 13, 100 metres southwest of Trench 7, from
vertical sampling of a colluvium boulder of 1.2 metres at 17.2g/t gold
from 1.2 metre vertical depth, including 0.6 metres at 31.2g/t gold.
Jon
Dugdale, managing director, commented: “These additional high-grade
gold results indicate that the exceptionally high grades in bedrock are
also dispersed into the overlying colluvium rubble, from right at
surface.
"The company will continue to rigorously sample the
colluvium layer that may be wide spread down slope of the lodes and
represent an additional, at surface, mineral resource target in
conjunction with the primary target of the high-grade bedrock lode
occurrences.”
Other results along strike from both Trench 7 and
Trench 13 indicate a continuous layer of mineralised colluvium rubble
that remains open along strike and down slope in both locations.
Further
test pitting sampling is in progress at South West Breccia, immediately
to the southwest of the Indicated and Inferred Resource of 194,000
tonnes at 7.2g/t gold, where a a previous, horizontal, Trenching result
of 14.5 metres at 24.5g/t gold was produced.
The peak new
vertical test pit result at South West Breccia of 1.1 metres at 7.46g/t
gold, including 0.6 metres at 12.4g/t gold was from Test Pit 3, close to
the centre of the previous Trench.
Additional Trenching is in progress at this location.
The Lobo Prospect
Red Mountain has
conducted trench channel sampling and drilling at the Lobo Prospect and
has intersected high-grade epithermal gold mineralisation in five areas
on the Lobo Mineral Production Sharing Agreement - which is the
Philippines equivalent to a Mining Lease.
The areas are known as South West Breccia, Pica, Japanese Tunnel, West Drift and Ulupong.
Exploration
Targets have been defined for the Japanese Tunnel and Pica prospects
and a continuous program of soil sampling, mapping and surface trenching
continues.
The company is aiming to define targets for drilling to add additional high-grade Resources on the Lobo Prospect.
Resources
have been defined for the South West Breccia shoot, with an Indicated
and Inferred Resources of 194,000 tonnes at 7.2g/t gold for 45,000
ounces.
This includes an Indicated Resource of 178,000 tonnes at
7.4g/t gold for 42,000 ounces and an Inferred Resource of 16,000 tonnes
at 5.3g/t gold for 3,000 ounces.
Analysis
Exploration will continue at speed, with Red Mountain to follow-up
the trenching with drilling - which will target high-grade gold
resources.
Key catalysts in the near term include:
- Metallurgical results in around a fortnight.
- Scoping Study by the end of January 2014.
Clearly, Batangas is shaping up as a potentially large system which further work will seek to unlock.
