Ecuadorian plans further drilling on Gaby joint venture

A second stage of prefeasibility drilling is under way on the Gaby joint venture in Ecuador.

Ecuadorian Minerals (ASE) is earning a 35% interest in any oxide resource outlined and a half interest in any underlying sulphide resource. The Gaby property contains a large porphyry body hosting a well-developed system of stockworks and breccias.

Ecuadorian drilled an initial 30,000 ft. earlier this year, outlining the western portion of a donut-shaped deposit more than 2,800 ft. long, averaging 500 ft. in width and extending to depths of up to 650 ft.

Gold values ranged from 0.02 oz. per ton over 40 ft. up to 0.088 oz. over 112 ft.

A program consisting of 23,000 ft. of large-diameter diamond drilling and 6,500 ft. of reverse-circulation drilling will test mineralization to vertical depths of 1,000 ft. and explore the open portion of the “donut” to the east.

Ecuadorian also plans to follow up the discovery of a new zone of gold mineralization about 1,600 ft. northeast of the recent drilling. Initial surface rock samples from the area returned up to 0.026 oz. in rock similar to that of the Main Gaby zone.

To earn its interests in the Gaby property, the company must complete a feasibility on the oxide reserves by mid-1994 and perform a prefeasibility study on the sulphides by mid-1995.

The agreement also includes a US$1-million work commitment in the first year and staged property payments totaling US$3.5 million.

Meanwhile, about 15 miles east of Gaby, at its Tres Chorreras gold project, Ecuadorian expects to begin diamond drilling 8,200 ft. this summer. Sampling last year, in an area measuring about 1,700 by 800 ft., returned an average grade of 0.047 oz. gold, 0.63 oz. silver, 0.45% copper and 0.19% molybdenum.