Altoro buoyed by drill results in NE Brazil

The first five holes of an 18-hole drill program at the Pedra Branca platinum-palladium project in northeastern Brazil have returned encouraging values for Altoro Gold (ATG-V).

Four of the holes were drilled in the Trapia West zone, which hosts an ultramafic outcrop that has been traced for 700 metres along a north-south strike length with a width of up to 150 metres. Generally, the stratigraphy strikes toward the northeast; however, chromitite layers strike east-west, suggesting local folding.

Early trenching by previous operator Gencor identified broad zones of mineralization along an east-west trend. Results averaged 1.85 grams combined platinum and palladium (Pt+Pd) over 122.7 metres. Altoro excavated a north-south trench perpendicular to the chromite layers, with assays averaging 2.8 grams Pt+Pd over 84 metres, including 51 metres of 4.4 grams.

Prior to this program, Trapia West had never been drilled. Altoro says these first results demonstrate the continuity of the primary mineralization beneath the surface. Highlights are as follows:

– Hole 1 cut 14.2 metres averaging 1.2 grams platinum and 0.9 gram palladium per tonne starting at a down-hole depth of 11.7 metres.

– Hole 2 cut 7.7 metres averaging 0.6 gram platinum and 0.6 gram palladium starting at a down-hole depth of 20.3 metres. Farther down-hole, at a depth of 40.5 metres, a 23.1-metre section averaged 0.3 gram platinum and 1 gram palladium.

– Hole 3 cut 39.2 metres grading 0.5 gram platinum and 0.9 gram palladium starting from 17.8 metres down-hole plus 21.1 metres averaging 0.3 gram platinum and 1 gram palladium starting at 35.8 metres down-hole.

– Hole 4 cut 14.8 metres grading 0.5 gram platinum and 0.7 gram palladium from surface plus 5.4 metres averaging 1.4 grams platinum and 2 grams palladium from 48.1 metres down-hole.

Altoro has also been exploring the Trapia One zone, where previous channel sampling yielded up to 1.72 grams Pt+Pd over 44 metres. The previous operator had drilled one hole at the zone; it intersected 11.3 metres averaging 4.37 grams Pt+Pd, as well as 3.29 metres of 9.78 grams.

Altoro’s hole, situated downdip of the previous hole, cut 20.2 metres grading 0.2 gram platinum and 0.7 gram palladium from 32.8 metres down-hole.

All Altoro intercepts include anomalous values of gold (up to 0.11 gram), copper (up to 0.1%) and nickel (up to 0.25%). Although no high-grade mineralization was encountered, Altoro says the wide surface extent of the platinum- palladium mineralization suggests that the resource is minable by open-pit methods.

Altoro can earn up to a 70% interest in Pedra Branca from Eldorado Gold (ELD-T) by spending US$2 million over three years, including US$50,000 in the first year. It can then earn an additional 20% by spending an extra US$1 million.

The property is 250 km southwest of the port city of Fortaleza in central-western Ceara state.