Serengeti Resources Inc. [SIR-TSXV; 34S-FSE] was an active trader Tuesday November 13 after the company released drilling results from the Kwanika Project in north-central British Columbia.
The company said the assay results are from a 2018 drilling campaign that is part of an ongoing pre-feasibility study that is scheduled for completion in mid-2019.
Highlights include drill hole K-182, which returned 500 metres of 0.66% copper, 0.80 g/t gold (2.19 g/t gold equivalent), including 113 metres of 1.31% copper, 1.31 g/t gold (4.09 g/t gold equivalent) from near surface at Kwanika.
Investors reacted by sending Serengeti down 41.67% or 20 cents to 28 cents on volume of 3.78 million. The 52-week range is 60 cents and 12 cents.
Kwanika Copper Corp. is a private company held jointly by Serengeti Resources, which has a 65% interest, and POSCO Daewood, which owns the other 35%.
POSCO Daewoo is one of South Korea’s leading trading companies. POSCO’s commitment provides financial stability and significant value to both the Kwanika Project and Serengeti as a company, Serengeti President and CEO David Moore said recently.
“These most recent results continue to demonstrate the terrific potential of the Kwanika Project,” said Moore, who is also President of Kwanika Copper.
“The current holes encountered generally higher grades than we would have predicted from our prior PEA resource model and further demonstrate that our strategic objective of increasing both the resource grade and tonnage of the Central Zone at Kwanika is a reasonable objective of the current program,” Moore said.
“Furthermore, the holes in the current release demonstrate the potential to expand the open pitable portion of the deposit,” he said.
In a press release on September 11, 2018, Kwanika said it completed a total of 7,411 metres in 21 holes to support detailed mine design and the resource upgrade drilling program at the Kwanika Central Zone. Drill core was oriented and retrieved with triple-tube core barrels to allow for comprehensive geotechnical data capture for detailed underground and open-pit mine engineering design.
Included in the program were three drill holes to test foundation characteristics for potential tailings storage facility options.
Additionally, down-hole hydraulic testing was completed, and vibrating wire piezometers and monitoring wells were installed in nine of the 21 drill holes to gather hydrogeological data on an ongoing basis as the project advances.
In addition to the drilling program, Kwanika Copper Corp. also installed four hydrology stations in West Kwanika and Kwanika Creeks to capture data on surface water flow cycles and enable early development of the site-wide water balance hydrology model. Water quality monitoring for environmental baseline purposes was also completed and is ongoing at six stations in the local area.
Besides currently advancing its Kwanika copper-gold project in partnership with POSCO DAEWOOD, Serengeti is exploring its extensive portfolio of properties in north-central B.C.