Channel-sampling by
The 110-sq.-km property covers a large epithermal alteration system in the Yanacocha-Pierina belt.
St. Elias can earn a 49% interest in the property from Inca Pacific by paying US$50,000 in cash, issuing 500,000 shares and spending US$1.5 million on exploration by Nov. 1, 2001.
The newly discovered Zona Verde prospect, in the northern portion of the property, has been outlined over an area measuring 800 by 250 metres. To date, St. Elias has collected 22 chip samples from this area. The Discovery outcrop trench returned 11.1 grams gold over 6 metres, whereas the Discovery expansion trench returned 11.4 grams over 15 metres. The median average for all the samples, excluding the high-grade samples from the Discovery trenches, was 0.2 gram gold per tonne.
Some 300 metres north of the Discovery outcrop, continuous chip samples over a 65-metre length returned 0.5 gram gold. A further 300 metres north, chip samples returned an average of 0.25 gram gold over 100 metres. The mineralization remains open in all directions.
The gold mineralization is hosted in a friable rock unit consisting of limonite and clay-altered feldspar and is controlled by a north-northwesterly striking fault known as Quebrada Falla. The phaneritic texture of the mineralizing unit suggests that the original rock was a coarse-grained intrusive.
Chip sampling will continue to define the limits of the new zone.
St. Elias recently closed a $150,000 private placement by issuing 750,000 units at 20 per unit.
The company has also arranged for a non-brokered private placement of $60,000, issuing 200,000 units at 30 per unit. The $210,000 will be used to continue exploration on the Cueva Blanca property.
Be the first to comment on "St. Elias outlines zone"