Orinoco Gold confirms Brazilian mineralisation

THE DRILL SERGEANT: Orinoco Gold (ASX: OGX) has received the first assay results from a maiden diamond drilling program currently underway at the company’s Curral de Pedra gold project in central Brazil, which it claims have confirmed the continuity of mineralisation over 620 metres down dip.

Orinoco indicated the assays it has received to date from the first three holes cover only one of three known mineralised zones at Curral de Pedra’s Cascavel target, which is known as the First Mineralised Level.

 

Section showing reported channel and drill results. Source: Company announcement

 

Assays from the other zones are pending.

Intersections from this zone include 3.41 metres at 21.76 grams per tonne gold, including 0.66 metres at 193.69 grams per tonne gold.

Previous channel samples from historic workings on this level returned samples of 0.65m at 72.7g/t gold.

“While we are delighted to have an intersection of more than three metres grading over 21 grams per tonne gold in one of our first ever holes at the project, the key message from these results is that the scale of the mineralisation at Cascavel is shaping up to be very substantial,” Orinoco Gold managing director Mark Papendieck said in the company’s announcement to the Australian Securities Exchange.

“It is early days in this exploration program, but all the results received to date support our over‐arching belief that Cascavel has the potential to be an extremely large gold system characterised by structurally controlled quartz veins hosting high‐grade mineralisation.”

Orinoco explained its primary objective for the ongoing drilling program has been to establish the continuity of the mineralisation over the 620m down dip extent of the structure, which it claims has now been achieved, and along its 500m strike length.

The company said it intends its next report of assay results will occur once it has received a more representative number of results, which it anticipates happening by late January 2013.

The ongoing drilling program aims to achieve three objectives:

–     First, to ‘infill’ drill within the currently known 500m by 620m zone encompassing the First and Second Mineralised Levels;

–     Second, to establish the continuity of mineralisation within additional sulphide zones intersected in recent drilling above the First Mineralised Level; and

–    Third, to test the interpreted 1.5 kilometre strike extension to all three structures.