Leading Colombian gold explorer and developer Metminco Limited (ASX: MNC), which is soon to be renamed as Los Cerros Limited, is primarily focused on the exploration of Quinchia Gold Portfolio, which is located in Colombia’s Mid- Cauca Gold Belt, with a JORC compliant estimated Mineral Resource of 0.84 million ounces of gold and Reserve of 0.547 million ounces of gold.
The Quinchia Gold Project encompasses significant gold porphyry system targets of Tesorito, Dosquebradas, Miraflores and Chuscal.
Maiden drilling program at Chuscal Gold Target
In October 2019, Metminco completed the first ever diamond drill hole (CHDDH001) of the maiden drilling program on the Chuscal Gold Target at a depth of 452.5m, after passing through ~274m of hydrothermal alteration and breccias.
The hole was designed to test the NE flank of the Guyacanes diorite which hosts artisanal underground workings; and to test a magnetic low geophysical anomaly flanking this to the north.
Chuscal was prioritised for drilling as a result of its expansive 900m by 530m surface gold anomaly averaging 1.76 g/t Au (uncut), channel sampling of epithermal veins exposed in the Guayacanes artisanal workings which averaged 8g/t Au including a continuous along strike zone of 83m @ 7.3g/t Au4 , and favourable geology - suggesting potential for Chuscal to be a very significant deposit for the company.
It is to be noted that Metminco, manager of the Joint Venture, is earning a 51% interest in the Chuscal Gold Prospect from Anglo Gold Ashanti Colombia SA; and otherwise has a 100% interest in the balance of the Quinchia Gold Project.
Impressive Gold mineralisation Intersected at First Drill Hole at Chuscal
Recently on 25 November 2019, the company announced that it has intersected an impressive 350m wide zone of gold mineralisation, from surface, in first hole (CHDDH001), confirming that Chuscal is a porphyry related system.
Interestingly, the hole has reported a 350m wide intersection, from surface, grading 0.57 g/t gold. The highest gold interval is 6.44 g/t over 2m, while isolated silver intervals of up to 30 g/t over 8m were also
Significant intersections in CHDDH001:
Notably, the interval from 324m to 350m in CHDDH001, which includes the intervals of 2m @ 6.44g/t Au and 87.40g/t Ag from 324m to 326m depth and 8m @ 2.82g/t Au and 29.96g/t Ag from 342m to 350m depth, are both logged as a magmatic breccia.
Further, the geochemistry has suggested that this interval is dominantly of monzonitic composition but with the mineralised zones having a strong overprinting of both the porphyry and epithermal signatures.
This, together with the presence of two dioritic breccias cutting and altering the magmatic monzonitic breccia, suggests this to be a potentially significant dilational zone experiencing repeated pulses of mineralisation, which is a favourable situation for the accumulation of gold associated with the multiple events.
Consistent with the company’s exploration model and expectations, the drill core has also confirmed two types of gold mineralisation:
- a higher temperature, broad disseminated Au event (associated with elevated Cu, Mo, Re values) suggesting a proximal porphyry source; as well as
- more localised, late stage Au, Ag epithermal mineralisation (associated with elevated Te, Sb, W, Zn, Pb), associated with thin epithermal veins overprinting many of the rock units.
Second drill hole successfully completed at Chuscal
The company has also completed a second hole (CHDDH002) at 412.4m cut across the Guyacanes diorite to investigate the core of the diorite zone as mapped on surface. Post crossing through the diorite, the hole intersected additional breccia zones mapped in the first hole. The company also noted porphyry style potassic variation around 260m.
The company places considerable interest in the second half of CHDDH002 as it passes under old workings and is expected to demonstrate numerous horsetail structures. Assays from the second hole are expected within two-three weeks.
Both the results from CHDDH001 and the geological logging of the CHDDH002 have materially increased the company’s understanding of the regional system and unit relationships. Notably, the vein gold mineralisation event appears to be possibly related to structures that are part of a “horsetail” fault splay within the Chuscal project.
Drilling at third hole commenced at Chuscal
The rig has now started drilling the third hole (CHDDH003) which lies some 500m north-northwest of CHDDH002. Orientated to intercept several of the inferred “horsetail” structures, the CHDDH003 hole will test the Corporacion diorite on the NW end of the gold soil anomaly.
The company expects the 350m hole to take the rest of this month, with results expected by mid-December.
As per the company’s MD, the deeper half of hole CHDDH002, which tested the Guayacanes veins (assays pending) as well as CHDDH003 will provide much more information about the role of the structures and source of the gold in the project.
When compared to recent discoveries and other global porphyry systems, the early result confirms Metminco’s belief that its Quinchia portfolio has great potential. The company eagerly anticipates further assay results from the drilling at Chuscal Prospect.
MNC traded at a price of $0.097 with a market cap of around $16.15 million. Notably, the stock price has increased by 31.08% in the last one month.
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