Vancouver – Viceroy Exploration’s (VYE-V) drill program on its wholly owned Gualcayamo gold project in west-central Argentina has returned positive results.
The company initiated the reverse circulation drill program to test five delineated exploration targets and to continue drilling the Quebrada del Diablo (QDD) deposits. Significant gold mineralization was encountered in drill holes on both the Target 11 and the Magdalena zones.
Target 11, located about 300 metres north of QDD, was tested with three RC holes. Hole QDR59 returned 30 metres, from surface, grading 2.31 grams gold per tonne, including 16 metres of 3.18 grams gold. Mineralization appears flat lying with at least 30-metres thickness and is open towards the main QDD resource.
The Magdalena zone was also was tested with three RC holes. Hole QDR63 returned 26 metres assayed at 2.09 grams gold, including 6 metres of 3.64 grams gold. Hole QDR64 intersected 28 metres grading 3.26 grams. Magdalena underwent extensive exploration in the 1980s, by Anglo American (AAUK-Q), with several surface holes, four adits and 14 underground holes. This latest drilling confirms and extends mineralization from surface to depths below previous programs.
The main QDD zone has an indicated mineral resource of 12.7 million tonnes grading 1.17 grams gold and an inferred resource of 22.4 million tonnes grading 1.02 grams gold at a cut-off grade of 0.6 grams. Mineralization is hosted in stockwork-fractured carbonates, carbonate breccias and intrusive breccias. The Amelia Innes zone, 600 metres to the northwest, contains a further inferred resource of 2.7 million tonnes at 2.63 grams gold in a high-grade skarn.
Viceroy Exploration was formed in late-2003 as a spin-off company holding the Argentinean mineral assets from the reorganization of Viceroy Resource Corp, now Quest Capital (QC.A-T).
The company has 28.7 million shares issued and outstanding.