Gold Resource Corporation (NYSEAMERICAN:GORO) has reported further decent exploration results from its Scarlet target in Nevada, which will potentially provide feed for its nearby Isabella Pearl operating mine.
The firm reported assays from a phase two drill program, which was focused mainly on the southeast portion of Scarlet, which lies just 400 metres from Isabella Pearl.
Near surface gold intercepts included 12.19 meters grading 1.43 grams per tonne (g/t) gold, including 3.05 meters grading 4.02 g/t gold.
The assays have expanded on the first phase drill results, which were reported in January this year, which included an intersection of 24.38 meters grading 1.03 g/t gold, the precious metal producer noted.
"We are mobilizing a drill for the third campaign and are excited to continue to test the extent of this mineralization. Our near-term goal at Scarlet is to define the next source of ore for the Isabella Pearl project, while we continue to evaluate and prioritize additional drill targets along our 10-kilometer property trend at the project," Barry Devlin, GORO's vice president of Exploration said in a statement.
GORO chief executive Jason Reid added: "The additional gold ounces recently announced in the Proven and Probable Isabella Pearl Reserve, coupled with these successful first two Scarlet drill campaigns which both intercepted high-grade gold near-surface, speak to the growth potential of our Isabella Pearl project and this mineralized trend.
"We have completed preliminary engineering of and are working towards permitting a larger heap leach pad for the additional ounces from the Isabella Pearl mine and are optimistic the mineralization discovered at Scarlet will continue to grow and warrant pad space for longer life production.”
Gold Resource Corp has mines in Oaxaca, Mexico and Nevada, USA. It has returned $114 million back to its shareholders in consecutive monthly dividends since July 2010 and offers shareholders the option to convert their cash dividends into physical gold and silver and take delivery.
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