E2 Metals back in Argentina drilling for gold and silver

E2 Metals (ASX: E2M) has resumed drilling at its Conserrat project in Argentina, following up an earlier high-grade intercept at its Mia prospect.

Drilling began last Friday as the company, in order to regain time, has now mobilised two drilling rigs.

The program was delayed for two weeks due to COVID-19 restrictions and Argentina increasing quarantine requirements.

Drilling has also been increased to a total of 4,000m with diamond and reverse circulation rigs brought into action – the latter to be deployed to the Patricia prospect.

The diamond rig at Mia has completed its first hole.

This is following up a previous intercept of 16m at 3.91 grams per tonne gold and 123g/t silver from 68m, including 8m at 7.64g/t gold and 216g/t silver.

The RC rig will complete initial scout drilling testing at Patricia where rock chip sampling returned assays up to 40g/t gold and 262g/t silver.

First assays expected in four weeks

Drilling will continue until the end of October, with the first assays expected in about four weeks.

In July, E2 Metals raised $2.16 million via an oversubscribed share purchase plan.

The Conserrat project comprises a single title of 8,696 hectares within the Santa Cruz Province of Argentina.

It is centred 130km northwest of local service town Puerto San Julian and some 30km west-northwest of AngloGold Ashanti’s (ASX: AGG) large Cerro Vanguardia mine.

Cerro Vanguardia is the largest epithermal vein field in the Santa Cruz province with historical and current resources estimated to be 8.9 million ounces of gold and 137Moz of silver.

Other companies with projects in Santa Cruz province include Toronto-based Yamana Gold, Newmont Mining, Pan American Silver and Austral Gold (ASX: AGD) with its silver-gold Pinguine exploration project.

Five prospects have been defined at Conserrat

E2 Metals says that, while exploration at Conserrat is still considered early stage, systematic trenching and scout RC drill testing completed by the company since August 2019 has defined significant gold and silver mineralisation at five prospects, including the recent high-grade Mia discovery.

The original drilling program announced in August set the total at 2,000m, and was to cover five prospects.

Apart from Mia and Patricia, the company planned to drill deeper diamond holes at Ro beneath a high-grade silver intercept of 5m at 441g/t silver along with 0.58g/t gold on the first drill section.

Then there is the Veta Blanca prospect with untested targets that produced rock chip samples up to 2,040g/t silver and 1.4g/t gold.

At Emilia the company has defined a surface vein with 6.7g/t gold and 549g/t silver.