E2 Metals reports promising drill results from the Conserrat project

by Leena Thomas
Image: E2 Metals

E2 Metals (ASX: E2M) has announced encouraging results including 14m at 2.2gpt Au, and 11gpt Ag from 56m from the exploration activities at the Conserrat Project in the Santa Cruz province of Argentina.

The company announced that the scout drilling at Florencia prospect intercepted encouraging mineralisation on two separate vein trends, including 3m at 8.2gpt Au, 26gpt Ag from 60m; and 17m at 1.28gpt Au, 10gpt Ag from 87m. E2M said that the reported intersections are open along strike and down-dip.

E2 Metals reported that the follow up drilling at the new Mia discovery has commenced. The company said that the program will comprise 1000m of combined RC and diamond drilling to establish the plunge of previously reported high-grade mineralisation. E2M said that the results are expected to be announced before Christmas.

The company reported that the ongoing regional sampling has defined three new mineralised veins trends Emilia Este – up to 3.1gpt Au, 2468gpt Ag; Uma – up to 0.8gpt Au, 101gpt Ag; and Malena – up to 3.1gpt Au.

Conserrat project

The Conserrat project is located in the central part of the province 130km northwest of port town San Julian in Argentina.  The project is the western continuation of the prolific Cerro Vanguardia vein field.

E2 Metals Limited holds an 80% interest in the Conserrat Project through its ownership in local Argentine holding company Minera Los Domos SA.

The project is centred 25 kilometres northwest of AngloGold Ashanti’s world-class Cerro Vanguardia mine, where historical and current reserves exceed 8.9 million ounces of gold and 137 million ounces of silver, and hosts new greenfields gold and silver discoveries at a number of emerging prospects.

Conserrat boasts host to a recently discovered epithermal vein field that partially outcrops over an area of 25 square kilometers, within ‘erosional windows’ through younger volcanic and sediment cover.

Significant prospects within the Conserrat project include Florencia, Emilia, and Mia.  

Exploration program at Conserrat

The company had recently commenced exploration activities at Conserrat which included reverse circulation (RC) drilling and diamond drilling.

The drilling at the Mia prospect had intercepted bonanza mineralisation in hole DRC-MI20-012. Highlights included 27gpt Au, 160gpt Ag from 53m, including 18m at 47gpt Au, 208gpt Ag from 66m, including 1m at 424gpt Au, 1489gpt Ag from 68m.

The company reported that gold and silver assay results were received for the first four holes (three RC and one DD hole) at the Florencia prospect, and for outstanding holes DRC-MI-013 to 015 at the Mia prospect.

The drill program at Florencia prospect comprised one diamond hole (200m) and three RC holes (322m) totaling 522m to better understand the geological context of the mineralised structures defined last season.

Encouraging mineralisation intercepted at Florencia

The company announced that the preliminary interpretation of the drill results from Florencia (DDH-FL20-004, DRC-FL20-016, DRC-FL20-018, and DRC-FL20-019) is that gold and silver mineralisation at Florencia relates to two separate mineralised trends spaced 50m apart.

Key intercepts included DRC-FL20-016: 14m at 2.2gpt Au, 11gpt Ag from 56m including 3m at 8.2gpt Au, 26gpt Ag from 60m; and DRC-FL20-019: 17m at 1.28gpt Au, 10gpt Ag from 87m.

E2M said that the RC hole DRC-FL20-018 returned a shallow intercept of 1m at 3.36gpt Au from 14m and is interpreted as the up-dip expression of mineralisation in hole DRC-FL20-016. E2M noted that the mineralisation is geologically similar to Mia and is hosted in structures near the contact of the quartz eye tuff and ash tuffs.

The company said that the contact has been traced for over 2.5km southeast to Mia. A third northern mineralised structure (16m at 0.53gpt Au in trench COT-38) remains untested by scout RC drilling.

Results reported from outstanding holes at Mia prospect

The company announced that gold and silver assay results have been received for outstanding holes DRC-MI-013 to 015 at the Mia prospect.

E2M said that none of the holes intercepted significant mineralisation which was expected given the developing understanding of the structural and elevation controls on high-grade gold and silver mineralisation.

Intercepts included DRC-MI20-013: 7m at 0.71gpt Au, 9gpt Ag from 15m; DRC-MI20-014: 2m at 0.47gpt Au, 70gpt Ag from 67m; and DRC-MI20-015: 4m at 0.33gpt Au, 48gpt Ag from 47m

The company said that the current phase of drilling at Mia is expected to last for 4 weeks with results due prior to Christmas.

Follow-up program commenced

E2 Metals said that the follow up drilling at the Mia prospect has commenced and will comprise a combination of up to 1000m diamond and RC drilling to follow up bonanza mineralisation intercepted in hole DRC-MI20-012.

The company said that the drill program will test the east-west structure (newly named as the Lara Vein) over a 200m strike, seeking to resolve the plunge of mineralisation.

Three new mineralised veins identified

The company announced that the ongoing mapping and sampling have identified three new mineralised veins Emilia Este, Uma, and Malena. E2M said that all three new veins are located within areas of no or limited prior sampling.

The company said that the Uma and Malena veins are located in small ‘windows’ through younger Tertiary basalt cover and extend the footprint of the Conserrat gold and silver vein field, while the Emilia Este is located 800m east of previously reported high-grade rock chips samples (up to 15gpt Au, 2146gpt Ag) at the Emilia prospect.

The company noted that the mineralisation at Malena is associated with veins in volcaniclastic rocks similar to those seen at Ro 1km to the southeast. Both the Ro and Malena prospects sit within a single chargeability lineament in Gradient Array IP data and potentially make up a single mineralised trend, while the Uma prospect is the first mineralised vein trend identified between Emilia and Ro.

Gold and silver assay results from preliminary rock chip sampling included Emilia Este – up to 3.1gpt Au, 2468gpt Ag’; Uma – up to 0.8gpt Au, 101gpt Ag; and Malena – up to 3.1gpt Au.

The company noted that these vein discoveries are significant and extend the footprint of the Conserrat vein field.