Xanadu Mines (ASX:XAM) - CEO, Dr Andrew Stewart
CEO, Dr Andrew Stewart
Source: The Sydney Morning Herald
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  • Xanadu Mines (XAM) has received the final assay results from a drillhole at its Kharmagtai project in the South Gobi region of Mongolia
  • The results follow partial results released last month and confirm extensions to the target zone of chalcopyrite and bornite mineralisation
  • However, minor structures pushed the drillhole slightly offline, passing through the outside halo of mineralisation rather than directly through the target zone
  • Consequently, follow up scissor holes are underway to test the zone
  • Xanadu is also gearing up to add a third diamond drill rig next month
  • Shares have dropped 16.7 per cent to 5 cents apiece

Xanadu Mines (XAM) has received the final assay results from a drillhole at its Kharmagtai project in the South Gobi region of Mongolia.

The company announced partial results from drillhole KHDDH565 in April and has now confirmed extensions to the targeted zone of chalcopyrite and bornite mineralisation, both in width and significantly along strike.

A small offsetting fault was located on the eastern margin of the mineralised zone, and this structure is being modelled in 3D to determine the location of the eastern extensions to mineralisation.

Further, mineralisation in the bornite zone was extended some 200 metres to the west and Xanadu plans to conduct follow-up drilling to test these extensions.

Xanadu said minor structures pushed the drillhole slightly offline, which caused the hole to pass through the outside halo of mineralisation rather than directly through the target zone.

Consequently, the company has started follow-up drilling with two scissor holes to target the high-grade bornite zone.

Moving ahead, the company said a third diamond drill rig will be mobilised to site next month, and an upcoming announcement is expected to outline the phase two exploration strategy, including anticipated near-term drill targets.

Shares have dropped 16.7 per cent to 5 cents apiece at 12:25pm AEST.

XAM by the numbers
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