Red Mountain Mining's (ASX: RMX) aggressive drilling program at the Batangas gold project in the Philippines is paying dividends, with the latest gold hits extending the high-grade gold zone at the West Drift epithermal lode system, part of the Lobo prospect.
There are two drill rigs turning at Batangas which is paying dividends given the extension of the high grade zone.
The intersection of: 5.2 metres at 6.05g/t gold from 138.25 metres, including 1.05 metres at 16.97g/t gold, extended the high grade zone to the most southern cross section drilled to date.
Other highlights from the latest six holes are: 10 metres at 2.80g/t gold from 170.8 mertres, including 3 metres at 4.58g/t gold; and 3 metres at 3.49g/t gold; and 4 metres at 3.17g/t gold from 196 metres.
Neil Warburton, managing director, commented: "The latest intersections have extended the high-grade gold target zone and confirmed a potential shallow plunging corridor within which multiple high-grade gold shoots are expected to occur.
The high-grade shoot target at West Drift has now been delineated over a 200 metre strike length within a plus 400 metre strike length target zone, with Red Mountain having now commenced deeper drilling on 50 metre spaced centres.
Warburton added, "Deeper drilling with 2 rigs is underway to test the trend of increasing grade and thickness with depth with first results from this exciting phase due in coming weeks."
This drilling will test below LB-70, where the previously announced; 6.3 metres at 8.03g/t gold was intersected.
The Batangas Gold Resources at 0.85g/t gold cut-off total; 5,586,000 tonnes at 2.2g/t gold for
408,000 ounces, and 3.3 g/t silver for 606,000 ounces.
Red Mountain had $3.3 million in cash at the end of December 2012.
New drill intersections
These new intersections are part of a drilling program by Red Mountain at West Drift to target high grade gold and convert the mineralisation to JORC standards.
The program has so far covered a total of 11 holes for 2,158 metres, with the drilling ongoing.
Lobo is part of Red Mountain's Batangas gold project, which is located 100 kilometres south of Manila in the Philippines. Batangas covers around 270 square kilometres on Luzon Island.
Lobo is a series of epithermal lodes and breccias that have been mapped over a combined strike length of over 10 kilometres.
Previous drilling has only tested around a 500 metre strike length of the interpreted lode structures, to shallow depth of less than 150 metres.
High-grade gold shoots have been identified at South West Breccia (Indicated Resource of 178,000 t at 7.4g/t gold for 42,0000 ounces, and an Inferred Resource of 16,000 tonnes at 5.3g/t gold; 3,000 ounces) and the new West Drift gold discovery, which is the subject of on-going drilling.
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