Sunstone Metals (ASX: STM) reports that it has made a ‘significant’ gold-copper porphyry discovery at the El Palmar project in Ecuador, with first assays from drilling revealing ‘extremely wide’ intersections up to 480m from surface.
Assays from the first hole EPDD001 included 163.55m @ 0.71g/t Au and 0.20% Cu from 52.35m, within 480.85m @ 0.41g/t Au and 0.15% Cu from 11.3m, high gold-grade sections that the company states are characteristic of gold-rich porphyry systems.
Partial assays from the second hole EPDD002 included 167.50m @ 0.58g/t Au and 0.26% Cu from 250m.
Cross section at El Palmar displaying 480.85m intersection of porphyry gold and copper mineralisationThe company reports that assays are pending from the remaining sections of the second hole plus EPDD003, with results expected in approximately six weeks. Meanwhile, the fourth drill hole EPDD004 is nearing completion, and has intersected porphyry mineralisation with visible chalcopyrite and bornite.
Sunstone says that the preliminary results from EPDD004, together with EPDD001 on the same section, deliver a mineralised porphyry system of at least 500m diameter, providing an early indication of the potential scale of this discovery.
“the copper and gold grades in drilling are aligning very well with the magnetic target, which gives us immense confidence in the size of the prize”
Commenting on the results, Sunstone Managing Director Malcolm Norris said: “We are very excited about these results. These grades and widths, combined with the size of the magnetic target we are drilling and the fact that mineralisation starts from surface, show that El Palmar is an outstanding discovery with huge potential. And it is early days, to have drilled mineralisation in all 4 holes drilled to date is an incredible start to this drilling program. Importantly, the copper and gold grades in drilling are aligning very well with the magnetic target, which gives us immense confidence in the size of the prize. We are now drilling hole four and we expect to have assays from the rest of hole two and all of hole three in about six weeks.”
Sunstone is in the process of acquiring 100% of the El Palmar project under a Stage Acquisition Agreement signed on 12 August 2020. The company reports that it has now met all obligations under the agreement to move to 51% ownership, with the process to transfer shares currently underway.
Images: Sunstone Metals Ltd
