Join our daily newsletter At The Bell to receive exclusive market insights
- Sunstone Metals (STM) confirms a “significant” copper-gold porphyry discovery at its El Palmar project in Ecuador following the latest assay results from the area
- The company says the latest assays extend the known continuous mineralisation at the project from surface
- Meanwhile, the company says early-stage deep drilling struck peripheral mineralisation in wallrock, which could provide further exploration targets at depth
- Sunstone holds around $30 million in cash and equities, allowing for expanded exploration at both El Palmar in northern Ecuador and Bramaderos in southern Ecuador
- STM shares last traded at 5.5 cents on May 24
Sunstone Metals (STM) has confirmed a “significant” copper-gold porphyry discovery at its El Palmar project in Ecuador following the latest assay results from the area.
The company said the assays, which come from the four holes in the upper 500 metres at the project, extend the known mineralisation to an area of at least 500-metres by 300-metres by 500-metres vertical extent, from surface.
Further, early-stage deep drilling has struck peripheral mineralisation in wallrock interpreted to be close to higher-grade mineralisation. Sunstone said this provided further exploration targets at depth.
Some of the best assay results include a 167-metre intersection at 0.57 grams per tonnes (g/t) gold and 0.14 per cent copper from 112 metres in hole EPDD008 and a 243.9-metre intersection at 0.43 g/t gold and 0.12 per cent copper from 13.1 metres in hole EPDD011. This second hit included a 58-metre zone at 0.64 g/t gold and 0.13 per cent copper from 95 metres.
Sunstone Managing Director Malcolm Norris said El Palmer was a substantial project of “immense scale” with grades in line with the world’s high-profile porphyry deposits.
“There is huge scope to continue growing the discovery, with the strong result from hole EPDD011 opening up the eastern and north-eastern sectors for further drilling,” Mr Norris said.
“This area will be explored initially with an undercut hole, with further drilling targeting untested magnetic anomalies and surface gold-copper soil anomalies in this area.”
The company said it was clear that mineralisation at El Palmar occurred in a variety of rock types, including in higher-grade syn-mineral intrusions, in lower-grade syn-mineral intrusions, and in their immediate wallrocks.
Sunstone said it held around $30 million in cash and equities, allowing for expanded exploration activities at both El Palmar in northern Ecuador and Bramaderos in southern Ecuador.
STM shares last traded at 5.5 cents on May 24.
