Lundin Gold Inc. (TSX: LUG) (Nasdaq Stockholm: LUG) (OTCQX: LUDGF) discovered three new interest targets during exploration drilling at its Fruta del Norte property in Ecuador.
On Friday, the company announced the results of its near-mine and conversion drilling programs, including the exploration program focused on exploring areas along the trend of the FDN deposit.
In January, Lundin Gold published its initial drill result, which identified some areas that showed potential for further exploration. The company carried out further drilling at the beginning of 2023 to provide a a better understanding of these areas, and led to the discovery of new mineralized zones, including FDNS, Bonza Sur, and Castillo.
Recently, Lundin Gold drilled several exploration holes near the mine, and reported some notable findings. However, it’s important to note that the reported values are not true widths. The first hole, FDNS-2023-019, intersected 5.16 g/t gold (Au) over 41.8 meters from a depth of 397.3 meters. This included a section with a higher concentration of gold: 8.56 g/t Au over 18.0 m from 421.3 m, specifically located at FDNS.
The second hole, BLP-2022-016, intersected 8.27 g/t Au over 39.0 m from a depth of 58 meters, with a particularly high concentration of 277.0 g/t Au over 1.0 m from 70.0 meters, found at Bonza Sur. Lastly, drillhole BLP-2023-022 intersected 46.98 g/t Au over 3.5 meters from a depth of 126.6 meters, including 87.58 g/t Au over 1.8 meters from 128.3 meters, also located at Bonza Sur. These findings may hold promise for further exploration and mining in the area.
Image from Lundin Gold.
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Lundin Gold has finished 4,110 meters across eight holes since April
Since mid-April, the company from completed a total of 4,110 metres across eight holes from both surface and underground sources.
Although the results for some of the reported drill holes are still pending, the exploration has made significant progress in discovering new areas with potential for further mining.
The current drill program at FDNS has a specific focus on delineating new buried epithermal mineralization located to the west of the East Fault. The aim is to identify potential areas for further mining. Three drill holes were recently completed, and they have intercepted wide hydrothermal alteration zones that have a similar composition to those found at FDN.
The results from hole FDNS-2023-019 are particularly promising, indicating significant potential for further exploration along the strike, both to the north and south, as well as along the downdip continuity below the Suarez Basin cover. To carry out the exploration effectively, two rigs are currently in operation at FDNS.
Positive results have been obtained from the first drill hole completed at Castillo, designated as BLPW-2022-017. This particular area of interest is located underneath the Suarez Basin, and it is situated to the west of the East Fault and south of FDNS.
The geological setting of this target area is similar to that of FDN and FDNS. Lundin intends to explore this target area further in 2023, focusing on identifying wider mineralized zones at greater depths.
Underground exploration drilling intercepted a mineralized zone west of West Fault. The new zone is hosted in an unexplored geological setting that will merit future investigation.
Lundin Gold shares rose 1.4 per cent on Friday and are trading at $18.55 on the Toronto Stock Exchange.
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