Lion One drills high-grade feeder zone at Tuvatu; shares up
Lion One Metals Limited LIO-TSXV; LOMLF-OTCQX; LLO-ASX] announced that assays support that diamond drill hole TUDDH500 has intersected high-grade feeder style mineralization at its 100%-controlled Tuvatu alkaline gold project, Fiji.
Highlights:
Two high-grade intervals were encountered between down-hole depths of 558.0 and 583.4 metres, including 2 metres grading 35.28 g/t gold starting at 558.0 metres followed by 12.7 metres grading 46.14 g/t gold starting at 571.0 metres. The latter interval includes a sub-interval of 4.7 metres grading 120.16 g/t gold with an exceptionally high-grade core of 0.9 metres of 506.4 g/t gold. True widths have not been determined.
Hole TUDDH500 is at its current depth of 641.40 metres en route to its targeted depth of 1,000 metres. Completion of the hole is expected within the next couple weeks.
These high-grade intercepts occur above the targeted convergence of the main Tuvatu lode system projected to be encountered between down-hole depths of 650 and 900 metres. Current results combined with those yet to come as the hole deepens will put Lion One in a better position to interpret whether these high-grade intercepts represent new lodes or rather a more complicated structural regime in which the main Tuvatu lodes connect.
“We are pleased to see our hypothesis that a high-grade feeder underlies Tuvatu supported,” said Dr. Quinton Hennigh, technical advisor to Lion One. “Mineralization in hole TUDDH500 displays many diagnostic characteristics of feeder style mineralization from an alkaline gold system. Notably, textures of gold suggest rapid deposition from what was possibly a gold-saturated mineral-forming fluid. This is encouraging, because it suggests we are now in the right part of the system to find more such mineralization. Hole TUDDH500 continues to its targeted depth of 1,000 metres.”
The Tuvatu gold deposit is located on the island of Viti Levu, Fiji. Resources comprise 1,120,000 tonnes Indicated at 8.17 g/t gold (294,000 oz) and 1,300,000 tonnes Inferred at 10.60 g/t gold (445,000 oz).
In morning July 24 trading, shares of Lion One gained $0.23 to $1.92 on a volume of 989,400 shares traded.