Galway drills 89 metres of 3.2 grams gold in Colombia

Early drill results from Galway Resources’ (GWY-V) Pie de Gallo property in the California district of northeastern Colombia appear to confirm that thick intercepts of near-surface mineralization as well as narrower intervals of high-grade mineralization exist on the property.

Drill hole 10 cut 89 metres grading 3.2 grams gold per tonne including 9 metres of 23.1 grams gold, 3 metres of 50 grams gold, plus 383 grams silver per tonne, 1.4% copper and 8% zinc. Galway has received assay results for the first 130 metres of hole 10; results for the remaining 120 metres are pending.

Hole 9 returned 22.5 metres grading 2 grams gold, including 3 metres of 7 grams gold. (Hole 10 was drilled at a 65-degree angle and undercut hole 9, which was drilled at a 50-degree angle from the same drill pad and with the same azimuth as hole 10.)

Mineralization in holes 9, 10 and 7 is close to previously reported high-grade channel and chip sample results in the Pie de Gallo open pit, such as 28 metres of 16.6 grams gold, including 2 metres of 118.3 grams gold. True widths are unknown.

Highlights from Galway’s first 10 holes included 3 metres grading 32.8 grams gold and 246 grams silver in hole 1, 31 metres grading 2.9 grams gold, including 1.5 metres of 29.1 grams gold in hole 2, and 3 metres grading 30 grams gold in hole 7.

Since then, Galway has completed drill holes 11 and 12, which are 260 metres on trend to the northeast of hole 10, and assays are pending.

Currently Galway is drilling hole 13 from the same drill pad as hole 12 at the project.

Another hole is being drilled beyond the southwestern edge of Pie de Gallo to test high-grade structures identified in the San Celestino or El Dorado mine. This drill hole is testing structures 200 metres to the southwest of, and on trend with, the open pit.

Previously reported channel sample highlights from the San Celestino mine included 19 metres grading 40.7 grams gold and 752.4 grams silver over a true thickness of 7.1 metres.

Galway has two drill rigs on its California properties, and a third is scheduled to arrive within the next month.

The Pie de Gallo is a 300-metre open pit that was first mined by the Spaniards and explored again in the mid-1940s by Anaconda Mining.

The strong drill results sent Galway’s shares up 5¢ or 5.1% to close at $1.03 per share.

At presstime, the junior explorer had a 52-week trading range of 8¢- $1.87 and 73.1 million shares outstanding.

The property is 1.5 km southwest along strike of Ventana Gold’s (VEN-T) La Bodega gold project and 3 km northeast of Greystar Resources’ (GSL-T) Angostura project.

Angostura is a gold-silver project in the mountains of the eastern Cordillera of South America, roughly 400 km northeast of the Colombian capital Bogota.

Angostura contains a National Instrument 43-101 compliant measured and indicated resource of 330,907 tonnes grading 109 grams gold and 6 grams silver for contained gold of 11.5 million oz.

In the inferred category, the Angostura project hosts 90.77 million tonnes grading 1.19 grams gold and 6 grams silver for contained gold of 3.5 million oz.

Both estimates were based on a cutoff grade of 0.3 gram gold for oxides and 0.45 gram gold for sulphides.

In addition to gold, Galway is exploring for coal as part of a joint venture exploration project with Prodeco, Xstrata’s (XTA-L) subsidiary for coal operations in Colombia.