Antofagasta Gold (AN-V), which changed its name from Windamere Ventures this week, says initial drilling at its Capricornio property in Chile confirms it has made a new, regional scale, low-sulphidation epithermal gold discovery.
Its 100%-owned Capricornio property is about 80 km northwest of Yamana Gold’s (YRI-T, AUY-N) El Penon gold mine and about 20 km west of Xstrat ’s (XTA-L) producing Lomas Bayas mine.
Highlights from initial drilling at the project, which Antofagasta Gold has optioned from Sociedad Quimica y Mineral de Chile (SQM-N), returned intercepts such as 12 metres of 2.65 grams gold per tonne and 6.38 grams silver per tonne in drill hole CAD-12-001;17 metres of 3.60 grams gold and 20.70 grams silver including 5 metres of 6.20 grams gold and 57.78 grams silver in drill hole CAD-12-002; and 4 metres of 5.28 grams gold and 4.92 grams silver in hole CAD-12-008A.
The nine-hole drill program covered more than 400 metres of the cumulative 20 kilometres of known, gold-bearing vein strike and eight of the holes returned a weighted average grade of 4.54 grams gold equivalent per tonne over 4.13 metres with an intercept range of between 2 and 17 metres.
The initial drill program was designed to test near-surface mineralization and verify historical results to a maximum depth of 150 metres from surface.
The junior also reported that a ground magnetic survey to the north of the exposed vein system suggests there is another 3-6 kilometres of potential host vein structure strike below a shallow alluvial cover.
At presstime Antofagasta Gold was trading at 80¢ per share within a 52-week range of 30¢-85¢. The junior has about 48 million shares, fully diluted.
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