Torex Gold Resources Inc. [TSX-TXG] provided an update on the continuing drilling program at ELG underground, southwest Mexico. The ELG underground exploration strategy is focused on expanding resources, as well as extending and optimizing the life of ELG underground well beyond 2026.
Jody Kuzenko, president and CEO, stated: “We are excited about the latest assays from the drilling program at ELG underground as the high-grade intercepts continue to validate the long-term potential of this evolving orebody. Importantly, as our understanding of the structural controls matures, so does our confidence in our ability to continue to replace reserves and resources and to significantly grow the overall mineral endowment of the ELG cluster. Our approach is to systematically drill and demonstrate the expansion of known ore shoots and target new mineralization through future exploration, all with a view to extending and enhancing the mine plan and further unlocking the significant cash generation capability of the Morelos asset.”
Highlights: Infill drilling within ELG underground continues to deliver outstanding results, which support upgrading inferred resources to the indicated category. Additionally, advanced exploration drilling following up on high-grade intercepts previously identified yielded impressive results that highlight the potential to expand resources. The results reported confirm the associated structural corridors of the ELG underground, including north-northwest trends referred to as Sub-Sill, El Limon Sur and El Limon West, as well as a northeast trend referred to as El Limon Deep.
El Limon Sur trend: Drill hole LS-293 returned 20.74 g/t AuEq (gold equivalent) over 4.6 metres, being the first subsequent hole of a program at El Limon Sur Deep zone following the previously reported high-grade intercept from drill hole LS-220 (88.92 g/t AuEq over 14.5 m). LS-293 confirms the continuity and extension of the high-grade gold mineralization at El Limon Sur Deep for another 100 m at depth.
Advanced exploration drilling where El Limon Sur trend intersects La Flaca fault returned multiple economic intercepts, including 11.75 g/t AuEq over 22.9 m in LDUG-239, 11.55 g/t AuEq over 14.9 m in LDUG-290, 10.03 g/t AuEq over 14.4 m in LDUG-296, 11.71 g/t AuEq over 8.9 m in LDUG-277, 11.36 g/t AuEq over 8.7 m in LDUG-308 and 8.13 g/t AuEq over 12.4 m in LDUG-280. Given the results to date, this area represents a potential new mining front within ELG underground.
Resource delineation drilling below the northern wall of El Limon Sur open pit was successful in confirming and extending high-grade mineralization outside of the current resource block model. Several holes returned notable intercepts, including 44.93 g/t AuEq over 8.2 m in LS-152, 28.50 g/t AuEq over 4.5 m in LS-149, 14.45 g/t AuEq over 14.0 m in LS-234, 11.38 g/t AuEq over 12.4 m in LS-272 and 11.37 g/t AuEq over 10.5 m in LS-276.
El Limon Deep trend: Infill and step-out drilling continues to extend mineralization at depth, with notable high-grade intercepts including 33.91 g/t AuEq over 9.1 m in LDUG-256 and 35.81 g/t AuEq over 4.8 m in LDUG-268. High-grade mineralization appears to be related to the intersection of La Flaca fault with the Sub-Sill trend, highlighting the possibility to encounter higher-grade mineralization where La Flaca fault intersects the other north-northwest-trending structural corridors.
Sub-Sill trend: Infill drilling returned high-grade intercepts within the extension of the Sub-Sill zone including 19.45 g/t AuEq over 12.1 m and 21.32 g/t AuEq over 4.0 m in SST-312, and 23.32 g/t AuEq over 4.7 m in SST-313. Additionally, two holes drilled 250 m north of La Flaca fault encountered mineralization, opening the exploration potential for additional mineralization to the north.
El Limon West trend: Three drill intercepts encountered mineralization along El Limon West trend, indicating the potential for another new mining front within ELG underground. Notable results included LS-287 with 17.74 g/t AuEq over 5.4 m and 10.04 g/t AuEq over 13.4 m, as well as LS-229 with 6.90 g/t AuEq over 3.4 m. These drill holes have extended the continuity of mineralization 100 m to the south, as well as 100 m below the deepest hole drilled to date within this zone.
As of the end of September, approximately 54,600 m across 235 holes had been drilled as part of the 2023 ELG brownfield and near-mine exploration and drilling programs, representing 96% of the planned metres for the year. Year to date, assay results have been received for 55% of the total holes drilled.
During fourth quarter, the priority will be to systematically drill El Limon Sur trend, where the greatest contribution of new ounces is expected. A geometric delineation program will be carried out, aimed at defining the full extent of the mineralization, which will be subject to resource categorization at the end of 2024.