A second drillhole at the VC1 target within Aldoro Resources’ (ASX: ARN) flagship Narndee Igneous Complex project in Western Australia has intersected zones of massive, semi-massive, blebby and veined nickel-copper sulphides.
The zones are believed to be significantly thicker and stronger than those encountered in the campaign’s first drillhole and appear to be thickening to the south.
Approximately 3.6 metres of massive sulphide was intersected across two zones, 0.5m of semi-massive sulphide across one zone and 6.9m of veined, blebby, and breccia sulphide across two zones, representing what Aldoro believes is a “very encouraging vector to pursue”.
Portable x-ray fluorescent (XRF) analyses have confirmed nickel and copper are present in the sulphides.
Aldoro said the zones will be sampled and assayed for potential gold mineralisation.
A third hole will now be drilled 85m to the south of the second hole to track the thicker sulphide accumulation further up plunge to the south.
Downhole electromagnetics will be conducted on all holes completed at VC1 to aid and refine drill targeting.
Aldoro has launched a $2.4 million capital raising to fund an expansion of drilling activities at the Narndee Igneous Complex.
The company will conduct a placement of 6 million shares priced at $0.40 each to ensure it is adequately funded to continue drilling on an uninterrupted basis beyond 10,000m.
Three Aldoro directors including chairman Joshua Letcher, have committed a combined $130,000 to the placement, which will be subject to shareholder approval at a general meeting.
“Given the competitive drilling services landscape and initial results from our first diamond hole at Narndee, [Aldoro has] taken a proactive approach in moving to secure a second drill rig to increase the current program to 10,000m,” Mr Letcher said.
“On completion of the placement, [our] cash reserves will increase to around $6.2 million with an additional $1.2 million to come from the Aurum Resources gold spin-off.”
Xcel Capital is acting as lead manager to the raising and has elected to take its fee in shares issued at the placement price.
It will also be issued 1.75 million unlisted broker options with a $0.50 strike and an expiry date of September 2023.