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Elementos advances phase II drilling at Manantiales gold silver project in Argentina

Elementos (ASX: ELT) is making steady progress with Phase II diamond drilling at the Manantiales gold-silver project in San Juan Province, Argentina, with 4,000 metres completed in 25 holes.

Drilling is ongoing to test the Manantial Norte, Manantial Este and La Puerta Este targets and one diamond drill rig will continue to operate until the end of winter.

Drilling progress includes 3,184 metres in 18 holes at the Manantial vein and 816 metres in 7 holes at La Puerta, but has been slower than anticipated due to the bad weather conditions.

The company expects that assay results and interpretation of the data will be completed in the next six weeks.

The drilling program will test new targets generated by the recent geophysical survey and fieldwork, as well as previous targets that have not been tested.

At Manantial drilling will aim to continue to expand the size of the known mineralisation identified in the previous drilling, and is testing for parallel blind vein structures around the main vein system. This system is open to the north and south along strike, and at depth.

At Julieta Norte drilling is testing at depth for extensions of the vein system where low-grade gold and silver mineralisation was intersected at shallow levels in the Phase I drilling program.

Interestingly, a new vein structure has been identified through surface mapping, geophysical survey and geochemical anomalies at Manantial Este and at Manantial Norte two main vein systems and coincident geophysical anomalies recently have been identified through the geophysics program.

The San Juan Province remains highly prospective with several major mines in the area.

Barrick Gold's (NYSE: ABX) 12 million gold ounce Veladero mine is located to the north, with the Yamana Gold (NYSE: AUY) 2.9 million gold ounce Gualcamayo to the north-east, and the Antofagasta (LON: ANTO) 69.9 billion pound copper Los Pelambres mine to the west.

Adjacent to Manantiales is the Troy Resources (ASX: TRY) Casposo mine, which has a resource of 0.4 million gold ounces and 17 million silver ounces.

Manantiales covers 97 square kilometres, with supporting regional infrastructure.