LONDON (ShareCast) - (Sharecast News) - SolGold updated the market on the work programme and recent drilling at its Cascabel Project in Northern Ecuador on Friday, reporting that large additional tonnage was targeted to be brought into the indicated category at the Alpala Deposit, due to an additional 68,354 metres of drilling now completed since the release of the second mineral resource update.
The AIM-traded firm said over 201,930 metres of resource drilling had now been assayed ahead of the upcoming third mineral resource update this year.

It said resource extension drilling at Alpala continued to target extensions to high-grade outliers, peripheral to the main deposit.

Ongoing growth to the existing mineralised system and targeted increases to the resource base at Alpala continued at Alpala Northwest, Trivinio, Alpala North, and Alpala Southeast.

The company explained that a "greater geological and structural understanding" was identifying targets adjacent to the main orebody, with drilling now targeting mineralisation at the newly-identified Alpala Southwest area.

It also said the Cascabel drilling fleet was expanding, with a total of 15 drill rigs expected to be active on the project by September as the firm bolstered its fleet, expediting the planned Alpala Deposit pre-feasibility study.

The board explained that drilling was focussed on continued resource extension and infill drilling along the Alpala trend, as well as extensive geotechnical, hydrological, hydrogeological, metallurgical and petrophysical work.

"The Alpala Deposit is located in Northern Ecuador, lying upon the gold rich section of the northern section of the prolific Andean Copper belt, renowned as the base for nearly half of the world's copper production," the SolGold board said in its statement.

"The project area hosts mineralisation of Eocene age, the same age as numerous Tier 1 deposits along the Andean Copper Belt in Chile and Peru to the south.

"The project is a three-hour drive north of Quito, close to water, power supply and Pacific ports."

SolGold holds an 85% registered and beneficial interest in Exploraciones Novomining SA (ENSA), which holds 100% of the Cascabel tenement.

SolGold said it was "encouraged" by recent resource upgrade drilling, which was targeted to include the vast majority of medium and high grade tonnage within the criteria for indicated resources for the upcoming third mineral resource update.

"The company is also pleased with the progress of new drilling taking place at Alpala Northwest, Trivinio, and Alpala Southeast, as well as drilling at the newly identified Alpala Southwest area, all of which target further growth to the existing Alpala Deposit."

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