Sunridge shares ride Asmara results

Drill results from the Asmara project in Eritrea gave Sunridge Gold (SGC-V) a rest from the recent drubbing commodity stocks have taken on the venture market.

On Aug. 22 the White Rock, B.C.-based company shot up 20% or 25 to $1.55 on a volume of roughly 40,000 shares.

Its shares had been trading in the $2.20 range as recently as mid-July, but had fallen with the broader market to $1.30 by Aug. 21.

The good news comes from the Emba Derho deposit, one of four deposits at Asmara. The others are Debarwa, Adi Nefas and Gupo.

Emba Derho is shaping into a strong copper-zinc deposit, as shown by some results in a 20-hole drill program that extended copper and zinc mineralization northwards. Highlights include:

• Hole 156 – 54.70 metres grading 1.11% copper & 0.59% zinc
• Hole 157 – 58.84 metres grading 1.47% copper & 0.50% zinc
• Hole 160 – 146.33 metres grading 1.21% copper & 0.92% zinc
• Hole 161 – 60.60 metres grading 1.49% copper & 0.52% zinc
• Hole 158 – 52.54 metres grading 2.72% zinc & 0.40% copper
• Hole 162 – 61.85 metres grading 2.44% zinc
• Hole 164 – 19.55 metres grading 7.81% zinc

Drilling is being done to define the edges of the mineralized body, as well as to better define known mineralization. Two rigs continue to drill on-site.

All assay results come from an area that falls inside the companys preliminary pit outline, Sunridge says.

While it has already finished independent resource estimates on Debarwa and Adi Nefas, the company says estimate and engineering studies for the Emba Derho deposit will come in October.

It describes Debarwa and Adi Nefas as advanced, high-grade gold, copper, zinc, and silver volcanogenic massive sulphide deposits. Gupo is an advanced gold deposit while Emba Derho is described as a “very large volcanogenic massive sulphide deposit.”

Asmara covers 1,100 sq. km in the central part of Eritrea, which the company says, is well serviced by infrastructure.

While Sunridge has earned 100% of the project, the Eritrean government has a 10% free carried interest.