Power Metal Resources PLC (LON:POW) and Red Rock Resources PLC (LON:RRR) have issued an update on the exploration efforts of Red Rock Australia Pty Ltd (RRAL), a joint venture (JV) in which the companies own 49.9% and 50.1% stakes respectively.
The update said that following the announcement of commencement of exploration on recently granted exploration licences on February 3, RRAL has undertaken a sampling and mapping programme to identify potential southern extensions to the main lode systems of Ballarat East in the province of Victoria through looking for low level gold anomalism and pathfinder elements and to evaluate the relative effectiveness of X-ray Fluorescence (XRF) and Mobile Metal Irons (MMI) testing in the region, as part of a programme of work to constrain the areas to be drill tested later in the year.
A total of 1,024 soil and rock chip samples were collected in EL007271 and EL007281 in the old Monmouth/Enfield and O’Laughlin/Scotsburn mining areas for XRF and MMI testing, with sample analysis results expected to be received in the coming weeks.
There is also preparation ongoing for a work plan and stakeholder engagement for trenching around the Monmouth mining area.
“Increasing evidence from previously unknown workings of east-west lines of mineralization at Monmouth, in an area where the main geological trend runs north-south, has been an interesting outcome of our work to date, and is being actively followed up. As early as 1903 it was recognised that this mineralisation may be different to the main Ballarat system, with reference to a pyrite lode and “gold shale”. The numerous reefs along both the Happy Thought line and at the Monmouth Mine were considered at the time to be strongly reminiscent of the Jubilee Mine project (mined 1887 – 1913). That mine produced approximately 130,000 ounces of gold at a recovered grade of around 12 [grams per tonne], showing the potential importance of east-west structures in this environment”, RRAL director Dave Holden said in a statement.
“The programme is going well and besides working on our technical presentations we continue to intensify our community engagement and to prepare our environmental programme including flora and fauna surveys. The pace of activity is intensifying as more of our licence applications start to be granted”, he added.
Shares in Power Metals were up 9.5% at 2.7p in early afternoon trading on Friday, while Red Rock Resources rose 2.4% to 0.95p.