GBM Resources (ASX: GBZ) is on track for a re-estimation of the Inferred Resource at the company's Milo iron oxide copper gold and rare earth rare earth elements deposit, with an extension to the mineralised zone.
Results from two recent drill holes at Milo have confirmed the southern extension of the mineralised system beyond the resource outline.
GBM is targeting an increase in the maiden rare earth Inferred Resource at Milo, which stands at 103 million tonnes at 760 parts per million (ppm) total rare earth elements and yttrium (TREEYO).
Both drill holes intercepted copper and rare earth elements (NYSEMKT:REE). Rare earth intercepts from the drill holes returned:
- 77 metres at 1,664ppm REE, including 9 metres at 3,505ppm REE and 6 metres at 2,749ppm REE;
- 55 metres at 2,164ppm REE; and
- 35 metres at 2,028ppm REE.
Meanwhile, the drill holes also returned broad and high grade copper intercepts of:
- 141 metres at 0.3% copper equivalent, including 11 metres at 1.2% copper equivalent; and
- 2 metres at 6.2% copper.
Results from a third drill hole are pending.
The mineralised system at Milo is up to 200 metres wide and continues over more than 800 metres of strike, while remaining open in all directions.
Importantly, these latest results highlight the potential for mineralisation at Milo to be part of a much larger mineralising system.
A Preliminary Scoping Study that is nearing completion will help GBM to demonstrate the economic potential of the resource, while the company continues work to expand this resource to the north and south.
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