Montero Mining and Exploration (CVE:MON) said Tuesday it has completed an infill drilling program at the Twiga Zone of its Wigu Hill rare earths project in Tanzania, with drill results so far indicating potential for higher grade mineralization in this area.
The drilling program was designed to upgrade the current inferred resource at the property, which now stands at 3.3 million tonnes at 2.6% light rare earth oxide (LREO5), with a higher grade portion of 510,000 tonnes averaging 4.4% LREO5.
The Twiga Zone lies on the far eastern extent of Wigu Hill, and trenching and drilling on this target so far have returned high-grade total rare earth oxide (TREO) values, especially from the EW dike.
The infill drilling campaign at Twiga involved 15 core drill holes at approximately 25 metre intervals to establish the grade and continuity of the EW dike zone, and closely associated dike structures. To date, assay results were returned from one drill hole, BH TW016, which intercepted 11.65 metres of 7.35% TREO, 4.00 metres of 11.08% TREO, 2.70 metres of 0.37% TREO, and 4.95 metres of 8.15% TREO.
“We have completed infill drilling in the Twiga Zone at 25m intervals to prove up a measured and indicated resource in order to carry out a feasibility study to fast track our mine to market strategy," said president and CEO, Dr. Tony Harwood.
"This first drill hole returned 11.7m grading at 7.35% TREO and confirms the high-grade dike style of the mineralization...We believe that further drilling will confirm the high grade continuity of this part of the rare earth mineralization at Wigu Hill."
The results for 14 additional diamond drill holes completed at the Twiga Zone are pending and are expected to be released in December, the company said. The drill holes will be used to upgrade the resources defined at the Twiga Zone.
Investors welcomed the news, with shares of the junior miner rising over nine percent, to trade at $0.30 as of 11:35am ET Tuesday.