In its first systematic exploration program at the El Rosillo project in Argentina, E2 Metals (ASX: E2M) reports sampling has identified a “large” gold mineralised system measuring 950m by 550m.
Rock chip sampling has produced, in composite samples, multiple gold assays including 80m at 1.2 grams per tonne, 60m at 5.7g/t, 80m at 1.6g/t, and 100m at 3g/t.
Composite samples are grab samples representative of 20m-long intervals.
“Visible gold was identified in several samples,” E2 Metals announced. “Mineralisation is open in all directions.”
El Rosillo is located in the western part of Argentina’s Rio Negro province.
‘Potential for large greenfield discoveries’
The company has set itself the target of unlocking value from its “significant” landholding in Rio Negro province where, it states, it sees potential for large greenfield discoveries.
The province is host to the northern portion of the Somuncura Massif, a large volcanic province that is geologically similar to the Deseado Massif in Santa Cruz (the province in which E2 Metals is exploring its Conserrat project), but which has been subject to far less modern exploration.
E2 Metals states that the Somuncura Massif is host to Pan American Silver’s Navidad deposit, the largest undeveloped silver deposit in the world with over 700 million ounces, and Patagonia Gold’s Calcatreu gold deposit with more than 1Moz of gold resources.
More similar targets expected
Mineralisation at El Rosillo is associated with quartz veins and stockworks of quartz veinlets.
At total of 630 composite rock chip samples were collected on 25 lines spaced 40m apart to test broad stockwork zones in granodiorite, an igneous rock similar to granite.
E2 Metals says this technique is considered effective for approximating the distribution and tenor of mineralisation at disseminated intrusive related gold targets.
The sampling took place at Target 37, which managing director Todd Williams says is the first of 12 intrusion related gold prospects identified in the El Rosillo tenure.
He says the company expects further targets like this.
‘Quantum leap’ for E2 Metals
“These results, while from initial composite rock samples, represent a quantum leap forward for E2 Metals in Rio Negro as it validates the company’s target models,” Mr Williams added.
E2 Metals has consolidated four districts in the western part of Rio Negro — Vista Alegre, Ofella, Paredes and El Rosillo.
The company has an option agreement with an Argentine company, Valcheta Exploration, to purchase the El Rosillo project.
Valcheta had previously identified three prospects, including Target 37, as prospective for intrusion related gold.