Dec 15 2010
Extorre Gold Mines Limited (TSX:XG)(FRANKFURT:E1R)(OTCQX:EXGMF) has reported assay results from its ongoing drilling program at the Cerro Moro Project, in Santa Cruz Province, Argentina.
Recent drilling has focussed on a combination of discovery drilling on new targets and extensions to known mineralization, and infill drilling on existing resource areas. In addition, drilling for infrastructure purposes has also been conducted.
Results from the discovery diamond drilling program on the Gabriela, Escondida, Martina and Loma Escondida zones have been received. Twelve drill holes returned significant results of which 5 holes returned the following intercepts:
- MD1002 (Gabriela) intersected 0.39 metres ("m") at 200.9 grams per metric ton ("g/t") gold + 8,785 g/t silver (347.3 g/t gold equivalent)
- MD0940 (Escondida) intersected 4.40m at 5.4 g/t gold + 668 g/t silver (16.5 g/t gold equivalent)
- MD0947 (Escondida) intersected 3.25m at 10.4 g/t gold + 788 g/t silver (23.6 g/t gold equivalent)
- MD0951 (Escondida) intersected 1.10m at 6.2 g/t gold + 702 g/t silver (17.9 g/t gold equivalent)
- MD0980 (Martina) intersected 0.73m at 14.3 g/t gold + 10 g/t silver (14.4 g/t gold equivalent)
Results from 33 drill holes of the infill drilling program at the Gabriela and Loma Escondida zones have also been received, of which 25 have significant results. Highlights from the Loma Escondida zone include:
- MD1030 intersected 0.34m at 74.5 g/t gold + 4,685 g/t silver (88.1 g/t gold equivalent)
- MD1036 intersected 0.88m at 55.0 g/t gold + 2,408 g/t silver (95.1 g/t gold equivalent)
- MD1038 intersected 0.50m at 90.4 g/t gold + 6,344 g/t silver (196.1 g/t gold equivalent)
- MD1046 intersected 0.40m at 74.2 g/t gold + 5,963 g/t silver (173.6 g/t gold equivalent)
Eric Roth, Extorre´s President and CEO, stated, "Extorre's drilling programs have been designed to both expand Cerro Moro's high grade gold-silver resources and to infill the Inferred category resources that formed part of the Preliminary Economic Assessment ("PEA"). Infill drilling provides the assay data necessary for Inferred category resources to be upgraded, as results allow, to the Indicated category. Indicated resources can ultimately be reclassified as "mineable reserves" in the Pre-Feasibility Study ("PFS").
"Separately, infrastructure drilling for water resources and plant site engineering was completed over the past months as was necessary for the Environmental Impact Assessment ("EIA") and the PEA (currently under review by Santa Cruz authorities).
"With the infill drilling program largely complete, the discovery program is now our highest priority. Up to 4 drill rigs are working on a 24 hours basis to establish additional resources on the property. Drilling is focussing both on new targets such as the Martina and Lucia veins and extensions to existing resource areas at Escondida, Gabriela, and Loma Escondida. Separately, drilling to increase the resource on another vein named the Esperanza zone has now commenced.
"We still have an assay back log amounting to some 100 drill holes. To alleviate this problem we are building an onsite sample preparation facility that will be operated by Acme Laboratories. Construction is underway with startup scheduled for February 2011."
Gabriela Zone Drilling
Extorre's drill strategy at Gabriela has been to expand the existing resource through drilling both at depth and along strike to the southeast, and secondly, to complete infill drilling of the existing resource area for the PFS. New resource drilling continues to confirm continuity of the Gabriela vein to depth, especially beneath the eastern end of the current resource area.
New geological mapping and drilling data suggest that the step-out drill holes designed to extend near surface mineralization to the southeast have been too shallow. Current results suggest that mineralization in this sector has either been faulted downwards or may plunge towards the southeast. Follow-up drilling is a high priority. The infill drill program at Gabriela consisted of 5,383m in 48 holes and focussed on the conversion of the existing Inferred category mineral resource to the higher confidence categories.
Escondida Zone Drilling
Recent drilling at Escondida in the Far West and West sectors has focused on two main areas: a "Gap area", where an unmineralized dyke has been interpreted to cross-cut the highly mineralized Escondida structure, and secondly, step-out drilling to the west along the Fomicruz JV Extension. In the "Gap area", extensions to known high grade gold-silver mineralization were intersected and remain open at depth. Follow-up drilling is planned. On the Fomicruz JV extension, drilling has intersected quartz veining within the Escondida structure, but without the sulphide phase typically associated with high grade gold-silver mineralization. Further drilling in this sector will be undertaken when all the available geological and geochemical data have evaluated.
Martina Zone Drilling
Further high grade mineralization has been intersected at a depth of 220m. Significant results were received from drill hole MD0980, located 160m to the east of previously reported high grade mineralization. Drilling completed 70m below the MD0989 intercept did not intersect significant mineralization, suggesting that high grade mineralization in this zone occurs at 180m to 250m below surface. Follow-up drilling in this depth range is planned.
Loma Escondida Zone Drilling
Drilling has been limited to step-out holes to the west of the existing resource and a short infill program within the known resource. Hole MD0853 was drilled 160m west of the existing resource and approximately 150m to the east of the intersection of the Loma Escondida vein with the Escondida vein. The drill hole successfully intersected high grade gold-silver mineralization, demonstrating the upside potential of the Loma Escondida zone. Follow-up drilling in the MD0853 sector is planned.
The infill drill program at Loma Escondida consisted of 1,567m in 32 holes and focussed on upgrading the existing Inferred category mineral resource to the higher confidence categories. As ore from the Loma Escondida zone is scheduled to be mined early in the Cerro Moro mining schedule, the completion of this infill drill program was considered to be a priority.
Infrastructure Drilling
To complete the EIA and the PEA, 48 drill holes (mostly reverse circulation percussion holes) were completed. Twenty holes were dedicated to sterilization (or condemnation) drilling of the proposed processing plant site and 22 to further evaluate water sources.
Quality Control and Assurance
Gold assay results presented above are preliminary with no cutting of high grades. All diamond drill core samples are split on regular metre intervals or on geological contacts and represent sawn half HQ-size core. Reverse circulation drill samples are collected using a cyclone in one metre intervals. Samples were prepared at the Acme Analytical Laboratories ("AcmeLabs") preparation facility in Mendoza, Argentina and assayed by fire assay (50 gram charge) at the AcmeLabs laboratory in Chile, both ISO-9001:2000 certified laboratories.
Check assaying of all samples assaying greater than 1.0 g/t gold is completed by Acme Labs. Samples returning greater than 10 g/t gold and/or greater than 100 g/t silver are assayed using gravimetric analyses. Standard and blank samples are used throughout the sample sequence as checks for the diamond drilling reported in this release. Standard, blank and duplicate samples are used throughout the sample sequence as checks for the RC percussion drilling.
Assaying by the screen fire assay method has been implemented in conjunction with standard 50 gram fire assaying, for diamond drill cores that contain visible gold. The procedure for screen fire assaying involves crushing and sieving of a nominal 1,000 gram sample to a particle size of 100 microns. All material which does not pass through the 100 micron sieve is then assayed. Two fire assays are undertaken on the undersize material as a check on homogeneity. The total gold content is then calculated.
Matthew Williams, Extorre's Exploration Manager and a "qualified person" within the definition of that term in National Instrument 43-101, Standards of Disclosure for Mineral Projects, has supervised the preparation of the technical information contained in this news release.
Source: Extorre Gold Mines Limited