Until recently, the southwestern zone of Petaquilla Minerals’ (PTQ-T, PTQMF-O) Molejon gold project in Panama was thought to be low-grade, but the company’s latest drill results have changed that.
The most recent 10 drill holes from a 40,000-metre program to expand resources included a 9-metre near-surface intersection that graded 17.24 grams gold per tonne.
The company also found deep mineralization that confirms its structural model and shows potential for significant extension of mineralized breccias outside the current designed open-pit limits. The deposit is a low-sulphidation, epithermal deposit.
Other highlights include a 10.5-metre intersection that averaged 3.12 grams gold per tonne and a 9.9-metre interval of 3.51 grams gold.
Petaquilla is building a 2,200-tonne-per-day carbon-in-leach plant for the gold mine and expects it to be complete by the third quarter. The company estimates it will produce 120,000 oz. gold per year at a cash cost of nearly US$200 per oz. If Petaquilla is able to expand resources enough, the company may increase the plant size to 5,000 tonnes per day.
As of April, measured and indicated resources stood at 620,000 oz. gold, with inferred resources at 500,000 oz. gold. The company’s goal is to expand resources to 1.5 million oz. gold.
Petaquilla will have drilled a total of 70,000 metres on the property by the end of the year, at which time it will update its resource calculation.
Be the first to comment on "Petaquilla drills high-grade gold at Molejon"