Empire Resources’ (ASX:ERL) Dec quarter records strong drill assays for Penny’s Gold Project

Empire Resources’ (ASX:ERL) Dec quarter records strong drill assays for Penny’s Gold Project

Empire Resources Limited (ASX:ERL) continued to carry out exploration work at its highly prospective projects during the December 2022 quarter. The main highlights of the period were strong tests of air core (AC) drilling at Penny’s Gold Project. In addition, the company raised AU$520,000 through a well-supported non-forfeitable rights issue during the period.

Let’s walk you through the updates for the quarter ended December 31, 2022, as Empire advances exploration activities across its projects, particularly Penny’s Gold Project.

Strong tests of AC drilling at Penny’s Gold Project

The company commenced a drilling campaign of approximately 5,000m AC at the project site in late August 2022 which was completed without incident in September 2022 for a total of 5,289m drilled. Abnormal and high-grade gold±arsenic outcomes were highlighted by tests of the campaign on the prospects tested.

The company emphasizes that gold mineralization at its project is interpreted to be similar to that at the Garibaldi deposit and the Penny’s Find Gold Mine.

Also, 1m redistributed samples were collected from selected composite AC intervals >0.40g/t Au. The results of the 1m redistributed sampling were received after the December quarter which enabled subsequent drilling, which was also completed after the December quarter.

During the quarter, ERL received results from AC drilling at PF09 prospect. The results suggested:

PAC22-29 – 7m @ 1.66g/t gold from 48m (EOH) including 2m @ 2.42g/t gold from 52m PAC22-33 – 3m @ 0.55g/t gold from 92m

Drilling at PF09 intersected basalt with a local fine spinifex texture along with zones of black shale (locally carbonaceous).

PAC22-27, and PAC22-29 to PAC22-33 – these drill holes strike anomalous gold at the fresh rock interface associated with quartz earthing, +/-pyrite <2% and foliated basalt. Meanwhile, drill hole PAC22-26 hit residual gold in saprolite.

The results received include:

PAC22-50 – 4m @ 2.41g/t gold from 56m PAC22-47 – 4m @ 0.54g/t gold from 36m

Drilling encountered basalt with a local fine spinifex texture similar to that cut at PF09 along with domains of mafic schist. Anomalous gold was struck in saprolite/sarock associated with quartz grounding, as well as at the fresh rock interface associated with quartz grounding and foliated basalt.

During the quarter, ERL also received results for the aircore program at PF07 prospect. The results reflected:

PAC22-14 – 8m @ 2.89g/t gold from 64m in including 4m @ 5.33g/t gold from 64m PAC22-06 – 12m @ 0.76g/t gold from 92m in including 4m @ 1.22g/t gold from 12m PAC22 19 – 4m @ 0.89g/t gold from 124m PAC22-08 – 9m @ 0.56g/t gold from 72m (EOH) PAC22-09 – 4m @ 0.65g/t gold from 84m

Drill cut basaltic rocks with domains of mafic schist. Gold was struck in the regolith and in the end of hole lithology associated with quartzite and pyrite <2%.

The results received from the campaign at PF04 Prospect include 6m @ 0.92g/t Au from 48m in PAC22-63, including 4m @ 1.21g/t Au from 48m.

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Data Source: Company Update, Image Source: Company Update © 2023 Krish Capital Pty. Ltd.

Empire emphasizes that the company remains well-funded with sufficient resources to continue to execute on its exploration and corporate objectives.

ERL shares traded at AU$0.007 on January 25, 2023.

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