Torex Gold Resources Inc. [TXG-TSX; TORXF-OTC], an intermediate gold producer, reported results from the 2020 infill drilling program at the 100%-owned Media Luna Project 200 km south-southwest of Mexico City.
The primary purpose of the infill program was to upgrade inferred mineral resources to the indicated category within Media Luna Upper (MLU). The program follows on the 2017 to 2019 infill program carried out in Media Luna Lower (MLL), which resulted in a maiden indicated resource of 2.24 million gold equivalent ounces.
Jody Kuzenko, President and CEO, stated: “Results of the 2020 infill drilling program have enhanced our understanding of the Media Luna deposit, specifically in MLU, where the 2020 program was focused. Assay results received to date validate the lateral and horizontal continuity of the mineralized skarn zone in MLU and confirm the presence of higher-grade mineralized zones within the broader resource envelope. The results also indicate that, while grade is relatively consistent, there is more pronounced variability in the thickness of the mineralized skarn zone in MLU, as compared to MLL.
“Given the government-mandated COVID-19 suspension of business activities in April, 2020, the infill drill program was suspended for close to three months. While our exploration team did a commendable job resuming and accelerating the program post-suspension, the planned 128-drill hole program was not fully completed by year-end, with the remaining 20 holes finished in late February. Upon receipt of final assays, results from the remaining 20 drill holes will be incorporated within the geological and block models, with the release of an updated mineral resource estimate to follow in Q2 2021.
“With completion of the 2020 drill program, we have now started a 44,000-metre infill program targeting to upgrade inferred resources between MLL and MLU. The resulting updated resource estimate will form the basis for the Media Luna feasibility study, which is on track to be concluded in Q1 2022.”
Drilling highlights include 13.66 metres of 12.73 g/t AuEq (gold equivalent), 22.47 metres of 9.94 g/t AuEq, 5.24 metres of 48.33 g/t AuEq, 14.59 metres of 22.05 g/t AuEq, 16.57 metres of 10.60 g/t AuEq, 8.92 metres of 33.86 g/t AuEq, and 22.46 metres of 27.21 g/t AuEq. Other holes yielded equally favourable assays.
In mid-morning trading, shares of Torex gained $0.17 to $15.97 on a volume of 210,000 shares traded.