Saville Resources Inc. [SRE-TSXV; SOJ-FSE] was an active trader Monday June 3 after the company released drilling results from its Niobium Claim Group property in Quebec.
Results released Monday are from the first of four holes sampled from an area known as the Mallard Target. Saville said the first hole [EC19-171] of its maiden drill program returned the widest high-grade niobium intercept to date on the property at 0.70% Nb2O5 over 38.3 metres, including 1.10% Nb2O5 over 5.4 metres, starting from a depth of 71 metres.
In addition, another wide intercept of strong niobium mineralization was intersected further downhole, returning 0.63% Nb2O5 over 34.0 metres, as well as another intercept of 0.76% Nb2O5 over 7.5 metres higher up the hole.
Saville said the drill hole achieved its primary objective and was successful in extending the strike of the high-grade niobium mineralization by approximately 60 metres to the southeast of historic drill hole EC10-033, which returned 0.82% Nb2O5 over 21.9 metres.
Investors reacted to the news by sending Saville shares up 12.50% or $0.005 to 4.5 cents on volume of almost 4.1 million, making Saville the most actively traded stock on the TSX Venture Exchange Monday. The shares are trading in a 52-week range of $0.035 and $0.075.
Niobium is a light grey, crystalline, and ductile transition metal. Brazil is the leading producer of niobium, which is mostly used in alloys, which helps to enhance the strength of steel, allowing for lighter structures and vehicles. Niobium is also used in the production of superconductive magnets.
Under an agreement with Commerce Resources Corp. [CCE-TSXV; CMRZF-OTC; D7H-FSE], Saville can earn a 75% interest in the Niobium Claim Group property, which consists of 26 contiguous mineral claims and covers an area of approximately 1,223 hectares.
Saville said the property includes portions of the high-priority, and drill ready, Miranna Target, where previous boulder sampling in the area has returned 5.9% Nb2O5 and 1,220 ppm. Ta2O5, as well as the Northwest and Southeast areas [Mallard Prospect] where previous drilling has returned wide intercepts of mineralization, including 0.61% Nb2O5 over 12 metres [EC08-008] and 0.82% Nb2O5 over 21.9 metres [EC10-033, respectively.
Saville said the company’s Phase 1 drill program included a total of 1,049 metres completed over five holes. It focused on the Mallard Target in the southeast area of the property. The primary objective of the drill program was to test the southeastern extension of the high-grade and near surface niobium mineralized intercepts returned historically from drill hole EC10-033.
In addition, a single drill hole [EC19-173] was also completed to test the strike extension of the main mineralized zone to the northwest.
The Mallard Target is the most advanced prospect on the property, with 2,490 metres over nine drill holes completed historically in 2008 and 2010 and the five holes now completed by Saville.