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Red 5 discovers gold and copper at Mapawa Project

Red 5 (ASX: RED) has reported the inaugural deep drill hole at the Mapawa Gold Project in the Philippines has intersected 189 metres at 1.0g/t gold and 0.17% copper (within a 319 metres at 0.7 g/t gold and 0.13% copper interval).

The first hole, MDD001, at the LSY prospect at Mapawa, 20 km north of the Siana gold mine development in Surigao del Norte, intersected an altered diorite intrusive rock type - a typical host to porphyry systems in the Philippines and the Pacific Rim.

The hole was extended by 100 metres beyond the original plan to a final depth of 546 metres (down-hole depth) due to the continuing favourable geology.

At a 0.3 g/t gold equivalent cut-off grade, an intersection of 319 metres at 0.7 g/t gold, 1.6 g/t silver and 0.13% copper was recorded from 227 metres.

Within this was an intersection, at a 0.5g/t gold equivalent cut-off, of 189 metres at 1.0 g/t gold, 1.7 g/t silver and 0.17% copper.

The MDD001 gold-silver-copper intersection is located approximately 400 metres vertically below a continuous surface channel sample returning 83 metres at 1.8g/t gold (previously reported). MDD001 was terminated in diorite porphyry at grades above 0.3g/t gold.

The second hole, MDD002, located 380 metres to the southwest has also been completed at 560 metres (down-hole depth). The hole intersected a similar host rock but with an observed increase in sulphide content.

Sample preparation and despatch to the analytical laboratory is on-going. Observations from both holes would appear to confirm the dipole-dipole Induced Polarisation modelling which identified an anomaly averaging 0.9 km in diameter at chargeability levels typical of porphyry copper-gold deposits.

The third hole, MDD003, targeting 200 metres below the inaugural hole intersection, has commenced with a final depth of approx. 800 to 1,000 metres.

Greg Edwards, Managing Director, said the company is well funded to pursue an active exploration programme if warranted. Treasury funds currently stand at $63 million of which US$40 million is allocated to the Siana gold development.

Disclosure: The author holds no positions in the company