Tesoro Resources (ASX: TSO) has reported drilling at its El Zorro gold project in Chile continues to expand the scale of the project and, in particular, the higher-grade zones.
The latest assays from the Ternera prospect include 220m at 0.86 grams per tonne gold from 76m down hole, including three higher grade zones — 39m at 2.73g/t, 15.5m at 5.49g/t and 10.8m at 1.44g/t.
This hole confirms the continuity of a wide, open gold zone in the northeast sector of Ternera between previously reported holes, Tesoro said.
The El Zorro project is located 140km by road from the city of Copiapo in northern Chile.
Gold mineralisation showing consistency
Tesoro managing director Zeff Reeves said drilling is continuing to expand the Ternera gold deposit.
“We are continually encouraged by the consistency and widespread nature of gold mineralisation in the Ternera system, with new gold zones now emerging in the south where we have not drilled previously,” he added.
Other assays just released include 71m at 0.8g/t gold from 25m down hole (including 8m at 4.18g/t) and 27m at 1.16g/t (including 2m at 8.06g/t.)
The latter hole is described by the company as identifying a new, near-surface mineralised zone to the south of Ternera, and one which remains open.
Mr Reeves said gold mineralisation has now been confirmed over an area of 800m by 850m, and from surface to a depth of more than 400m.
It is open in all directions.
Working toward maiden resource over next six months
Four drill rigs have new started on a new 30,000m program of extensional and infill drilling at Ternera, with drilling programs to continue through the first half of 2021.
This work is aimed at delineating a maiden resource at El Zorro.
Tesoro has also begun work on a scoping study, along with data collection.
Last month, the company said drilling so far had demonstrated the potential for Ternera to be continuously mineralised from surface to depth.
This followed Tesori locking in a $21 million capital raising with firm placement commitments of $18 million, with another $3 million to be raised through a share purchase plan.
Tesoro’s existing major shareholder, fund manager Tribeca Investment Partners, took $5 million of the placement.
Combined with existing cash reserves, that left Tesoro with more than $24 million in funds to advance El Zorro.
Tesoro has been focusing on the coastal Cordillera region in Chile, host to multiple large copper and gold mines.