THE BOURSE WHISPERER: Testing by Orinoco Gold (ASX: OGX) on an initial one tonne bulk sample from the Cascavel Target at the company’s Curral de Pedra project in central Brazil has returned an average head grade of 22.1 grams per tonne gold.
Orinoco claims the result has confirmed the high‐grade nature and significant potential of the, what it considers to be, rapidly emerging project.
The company said it expects to receive metallurgical results from the bulk sample in the coming weeks.
Orinoco said ongoing drilling has continued to intersect the structure that hosts the mineralised zones from which the bulk sample was collected, with all holes hitting the targeted structure over 420 metres of strike and 620m down plunge.
In the company’s announcement to the Australian Securities Exchange Orinoco Gold managing director Mark Papendieck said confirmation of high-grade mineralisation in a bulk sample combined with the fact drilling continues to show continuity of the mineralised structure over an increasingly large area at Cascavel reinforces the potential of the project.
“It is significant that drilling continues to show the consistency of the structure hosting the sulphide rich zone – and clearly very pleasing that a 1 tonne bulk sample from different parts of this zone has returned an average grade of 22.1 grams per tonne gold,” Papendieck said.
“Over the next two months we are confident that drilling will continue to add to the known size of the Cascavel target which is currently open down plunge and along strike.”
The bulk sample was collected from the deepest point of two historic winzes approximately 400m along strike from each other.
Two 500 kilogram samples were collected; one from the Mestre winze at a vertical depth of 55m (approx. 130m down plunge) and another 400m to the northwest from the Cuca winze at a vertical depth of 25m (approx. 50m down plunge).
Drill program showing the Mestre and Cuca winzes. Source: Company announcement
Orinoco said it considers the two samples to be representative of the mineralisation displayed in the winzes and are visually and mineralogically consistent with the much wider intersections of the mineralised zones (up to 15m) that have been established by the drilling it has conducted to date.
The company noted the 500kg sample collected at the Mestre winze contained a greater degree of alteration and returned an average head grade of 39.9g/t gold, while the sample from the Cuca winze contained noticeably less alteration and had an average head grade of 4.34g/t gold.
Orinoca believes the combination of these two samples represents mineralisation both in the core and also at the margin of the mineralised zones.