Join our daily newsletter At The Bell to receive exclusive market insights
- Challenger Exploration (CEL) strikes grades of up to 20.6 grams per tonne of gold equivalent within a broader mineralised interval from a diamond drill hole at its El Guayabo gold-copper project in the El Oro Province, Ecuador
- The company says the hole delivered an “exceptional” wide and high-grade intercept that defines a continuous zone of higher-grade, gold-copper-silver mineralisation
- Drilling results included 6.8 metres at 20.6 g/t, which the company says leaves it confident of a high-grade zone of starter mineralisation
- Challenger plans to complete five further holes to follow up on the current discovery in the El Guayabo concession
- CEL shares up 3.03 per cent to 34 cents
Challenger Exploration (CEL) has returned grades of up to 20.6 grams per tonne of gold equivalent within a broader mineralised interval from a diamond drill hole at its El Guayabo gold-copper project in the El Oro Province, Ecuador.
The company said the hole, GYDD-21-008, delivered an “exceptional” wide and high-grade intercept that points to a continuous zone of higher-grade, gold-copper-silver mineralisation when coupled with a review of historical drilling data.
New assay results were highlighted by a 257.8-metre intersection grading 1.4 g/t gold equivalent from 5.3 metres that contained higher-grade cores of 79 metres at 3.8 g/t from 184.1 metres including 53.7 metres at 5.3 g/t from 209.4 metres, which in turn included 6.8 metres at 20.6 g/t from 248.8 metres.
Challenger said the zone of higher-grade mineralisation at El Guayabo occurs in intrusive breccia containing extensive sheeted veining.
The mineralisation was intersected to 275 metres below surface in drilling.
It has a true width of up to 150 metres, dips steeply to the north-west, extends over at least 150 metres of strike and remains open in both directions along strike and at depth, according to Challenger.
The company said its first six diamond holes define a continuous zone of intrusion-hosted gold mineralisation with lesser copper-silver molybdenum 300 metres wide extending over 500 metres of strike, to a maximum depth of 550 metres below surface.
“Drill hole GYDD-21-008 could be a watershed for our El Guayabo gold-copper project. One of the most important factors in determining the success of any bulk style deposit is the
presence, or not, of a high-grade zone of starter mineralisation,” Challenger Managing Director Kris Knauer said.
“The intersection of 53.7m at 5.3 g/t within a wider zone of 257.8m at 1.4 g/t coupled with historical intersections such as 111.7m at 1.9 g/t and 116.2m at 1.4 g/t, both from near surface, and now recognised as intersecting the same continuous zone as GYDD-21-008, leave us confident we have this high-grade zone of starter mineralisation at El Guayabo.”
Challenger said it plans to drill five follow-up diamond holes at El Guayabo.
CEL shares were trading 3.03 per cent higher at 34 cents at 10:30 am AEDT.
