Latest drill results at Mithril Resources’ (ASX: MTH) El Refugio target in Mexico have confirmed the company’s geological model – revealing wider high-grade intervals at depth.
Drill hole 33 hit high-grade gold and silver at a deeper level in the structure that was previously intercepted in holes 15 and 20.
In drill hole 33, assays revealed 9.35m at 9.57 grams per tonne gold equivalent (7.84g/t gold and 138.1g/t silver) from 206.3m, including 4m at 20.03g/t gold equivalent (16.44g/t gold and 286.8g/t silver).
“The awaited assays for hole 33 at the El Refugio target have further supported the geological model and have return an excellent intercept,” Mithril managing director and chief executive officer John Skeet said.
“All indications from the mineralogy of the drill core support deeper drilling to intercept further high-grade vein.”
“There is also support for the existence of stacked boiling zones. El Refugio is shaping up as a very strong and important target in the Copalquin district,” Mr Skeet added.
Gold projects in Copalquin district
El Refugio forms part of Mithril’s Cometa project located in Mexico’s Copalquin district along with other priority projects – Reyes, Constancia and Apolonia.
Mithril’s strategy for El Refugio next year is to extend mineralisation along strike and at depth. A maiden resource for the project is scheduled to be published before the end of June.
“The several dozen historic mines and workings across the district, extensive rock chip sampling and the successful maiden drill program continue to indicate a large epithermal gold silver system in the district,” Mr Skeet said.
“The model and drill core are mirroring the geological observations from other notable epithermal gold-silver deposits, namely, Pinos Altos, Palmarejo and Tayoltita in Mexico, and Cerro Negro in Southern Argentina.”
Across its Copalquin projects, Mithril has firmed up “many strong targets” through extensive mapping and rock chip sampling.
“2021 will be an exciting year for Mithril as we continue to develop this large epithermal centre for gold and silver,” Mr Skeet noted.