- Zenith Minerals (ZNC) has confirmed a near surface, wide, mineralised gold zone at its Red Mountain Project in Queensland
- The company is conducting ongoing reverse circulation drilling which initially aimed to establish the orientation of gold mineralisation
- Latest results include grades of up to 2.6 grams per tonne and 3.1 grams per tonne of gold
- This supports previous exceptional grades of up to eight grams per tonne of gold and 109.4 grams per tonne of silver
- Work will now target a large target zone extending roughly 2.2 kilometres around the rim of the breccia pipe
- Despite this news, company shares have slumped 10.9 per cent and are trading for 9.8 cents
Zenith Minerals (ZNC) has received assay results from a further seven reverse circulation (RC) holes drilled at its Red Mountain Project in Queensland.
Pleasingly, the new results outline a zone of high-grade near surface gold mineralisation in a steep easterly dipping zone hosted by altered granitoid rocks.
Following a successful maiden drilling program, Zenith re-mobilised the drill rig to continue drilling and this program is ongoing for the next few months.
The initial aim of the RC drilling program was to establish the orientation of gold mineralisation. This has now been achieved with the new results outlining a 20 to 30 metre-wide steep easterly dipping zone of gold mineralisation at the southern end of the main Red Mountain soil anomaly.
Best results from the latest drill holes include 12 metres at 2.2g/t gold from surface including eight metres at 3.1g/t gold, five metres at 1.7g/t gold from 25 metres including three metres at 2.6g/t gold and eight metres at 1.4g/t gold from 35 metres including four metres at 2.4g/t gold.
These results support previous results including five metres at 3.5g/t gold and 54.3g/t silver from 64 metres, including two metres at 8g/t gold and 109.4g/t silver.
Of the seven new RC holes, three were drilled east of the main gold zone while another two were drilled sub-parallel and west of the gold zone. Future drill holes will now be drilled east to west on 50 metre-spaced sections, stepping out north and south to cover approximately 500 metres of strike.
This work will now target a much larger target zone extending roughly 2.2 kilometres around the rim of the breccia pipe. Zenith plans to recommence step-out RC drilling this week.
Company shares have slumped 10.9 per cent and are trading for 9.8 cents at 1:27 pm AEST.