Mindoro Resources (TSXV: MIO; ASX: MDO) has made a thick mineralised intersection of gold and copper from drilling at its Pan de Azucar Project in Iloilo Province, Philippines.
A step out hole testing for the eastern boundary of the Valderama massive pyritic sulphide mineralisation intersected 76 metres of 0.64 grams per tonne (g/t) gold and 0.38% copper from 11.1 metres.
This intersection includes a gold-silver zone of 8.8m of 1.65 g/t gold, 23.5 g/t silver from 11.1m; including a copper zone of 16.9m of 1.01% copper, 0.59 g/t gold from 23.1m.
The company said the hole was drilled on the eastern side of the Valderama Zone to test potential extensions in this direction and intersected "nine metres of unaltered flow-dome andesitic volcanic rocks from surface before entering the highly altered and mineralized sequence below."
Significantly, this indicates mineralization is continuous below the younger flow-dome, and remains open to the east and northeast.
These results are from the latest holes completed from a drill program that has now been extended to at least 1,500 meters. Two holes are in progress and will complete the current program.
The objective of the current program is to establish an inferred resource estimate and locate extensions of the mineralization.
A preliminary options study is in progress at the Pan de Azucar Project, examining the suitability of the Valderama massive pyritic sulphide as feedstock for sulphuric acid production for processing of the Agata nickel laterite resource.
Mindoro also plans to undertake bench-scale metallurgical testing to ascertain recoveries of copper, gold and other base and precious metals within the Pan de Azucar massive sulphide.
The company will complete the current program and assess results prior to planning further drilling for un-tested extensions.
Mindoro has NI 43-101 Mineral Resource estimates on its Agata nickel-cobalt project in the Surigao District, Mindanao, that include a measured and indicated resource of 32.6 million tonnes at 1.04% nickel for 340,000 tonnes contained nickel.
Mindoro recently released an integrated preliminary economic assessment (PEA) on the Agata Nickel Project where the company controls major nickel laterite resources and is drill testing regional targets.
The company has commenced a Prefeasibility Study into an integrated on site nickel processing project based on the PEA. The company is also assessing the potential to develop a thermally processed (upgraded) nickel ore operation to generate early cash flow.