General Minerals (GNM-T) has encountered a previously unknown zone of high-grade massive sulphide mineralization while drifting at the Huang Shui Gou copper-gold project in China.
The dipping structure strikes parallel to the adit, between 206 and 218 metres from the entrance. The true width of the zone is between 1.5 and 2 metres.
A series of channel samples from faces and adit walls returned an average grade of 4.97% copper, 8.74 grams gold and 206.9 grams silver per tonne.
The company started two new adits in old workings in order to improve access to the Main zone and explore other crosscutting structures.
An underground drill rig, due to arrive this month, will attempt to locate the downdip and strike extensions of the known mineralization. Surface drilling southwest and northeast of the Main zone indicates that mineralization extends along strike for more than 3,000 metres.
General Minerals can earn 51% of the Huang Shui Gou joint venture by spending at least US$4 million on exploration, including a mine development feasibility study.
The 10-sq.-km property is in southwestern Sichuan province.
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