Drilling on Line 7, in the Northeast High Grade Zone, returned best intersections of 22 metres at 1,318 grams per tonne (g/t) silver from 73 metres, including 9 metres at 2,799g/t. 

Managing director John Anderson said this new intersection is another example of the prospect’s strong attribute of shallow and high grade mineralisation.

“Another intersection into the Western Deep Sheet by PPDH 4 supports the likelihood for deeper mineralisation,” he said.

The Western Deep Sheet on Line 7 intersected 3.4 metres at 1,564g/t silver from 129.6 metres, while the Western Upper Sheet on Line 7 intersected 6 metres at 191g/t silver from 51 metres. 

“The intersection of the Western Sheet on Lines 8 and 9 up to 200 metres north of Line 7, including another very high grade silver intersection in PPRC 8, continues to provide encouragement for our initial geological model and the potential for the wider Paris target,” Anderson said.

Notable intersections on the Western Deep Sheet of Line 8 include 5 metres at greater than 2,294g/t silver from 101 metres, while the Western Deep Sheet on Line 9 intersected 16 metres at 331g/t silver from 70 metres. 

Importantly, these new assays underpin the previously announced highlight intersections of 11.6 metres at 3,847g/t silver from 63.5 metres, including the stunning intercept of 1 metre at 22,500g/t from 66 metres. 

Six diamond holes and 43 reverse circulation percussion holes were completed by the end of February over the initial 1 kilometre strike length of the Paris target. Assays have been received for most of the first nine reverse circulation percussion holes.

Drilling has been suspended at Paris temporarily to enable consolidation of pending assays and geological interpretations.

Investigator plans to begin drilling again in late April to undertake large diameter coring to obtain metallurgical samples.

The company is undergoing an aggressive 23,000 metre drilling campaign in 2012, with 10,000 metres of that to be carried out at Paris alone. The remaining 13,000 metres will be carried out on three other locations. 

Meanwhile, a geophysical induced polarisation survey is underway at Paris to refine and extend drill targeting. 

Investigator is aiming to deliver a maiden JORC Resource to the market around mid-2012. 

The Paris prospect is the most advanced of five priority targets within the Peterlumbo epithermal field, located about 400 kilometres northwest of Adelaide. 

The 583 square kilometre tenement area is subject to the Peterlumbo Joint Venture between Investigator Resources (75% interest and manager) and Mega Hindmarsh (25% interest).

Eyre Peninsula – Emerging Mining Province 

The Paris prospect lies adjacent to a new mining operation about 50 kilometres away on the Eyre Peninsula in South Australia.

“The Eyre Peninsula has got a lot of potential and that’s starting to be realised,” Anderson told Proactive Investors previously. “It’s in an emerging mining province in South Australia.”

Paris is situated around 17 kilometres from the township of Kimba and the Eyre Highway, and about 200 kilometres from heavy engineering facilities in Whyalla and Port Augusta.

Interestingly, the prospect is also located around 250 kilometres southwest of BHP Billiton's (ASX: BHP) Olympic Dam operation and about 350 kilometres south of OZ Minerals' (ASX: OZL) Prominent Hill mine. 

Strong Investor Backing

Investigator is capturing market attention and has been on an upwards share trajectory since announcing further high grade silver intersections, including the impressive 1 metre at 22,500g/t from 66 metres, in February.

Shares were trading at around A$0.19 in early February and hit highs of $0.42 at the beginning of March, marking a 121% increase. 

They are currently trading at around $0.35, up 7.58% today on the back of the new high grade intersections.

The Paris prospect is the most advanced of five priority targets within the Peterlumbo epithermal field, located about 400 kilometres northwest of Adelaide. 

The 583 square kilometre tenement area is subject to the Peterlumbo Joint Venture between Investigator Resources (holding 75% and Manager) and Mega Hindmarsh Pty Ltd (25% interest).

New Diamond Drilling

The new drilling is testing lateral and depth extensions to high grade silver intersections in prior shallow vertical drilling along Drill Line 7.

The diamond holes are being inclined at 60 degrees angle and have nominal completion depths of 250 metres.

The holes will also evaluate preliminary interpretations of the geological geometry and mineralisation vectors made from the earlier limited drilling.

The first hole was drilled as a shakedown hole on the western end of Line 7 and completed to 260 metres downhole depth.

The second hole was designed to drill adjacent to the best intersection of 4 metres at 1,052 grams per tonne silver at the bottom of a prior hole on the eastern end of the line.

Both holes intersected shallow sulphide mineralisation comprising pyrite (iron sulphide), galena (lead sulphide) and sphalerite (zinc sulphide).

Line 7 is one of nine lines of drill holes that encountered silver mineralisation over an area of 800 metres by 400 metres and open at depth and possibly in all directions.

The similar sulphide assemblage for the three intervals of sulphides intersected to date by the new diamond drilling and their location on extensions to prior silver intersections raises the likelihood these will also carry silver values.

Near surface discovery

All Investigator's drilling and intersections are within 120 metres of the surface. As the high grade intersections get deeper to the east, the soil signature at the surface that defined the company's original target envelope becomes weaker.

This means Investigator's target envelope has expanded with both its primary targets being open to the east as well as at depth along a combine strike length of at least 600 metres.

The project area is subject to the Peterlumbo Joint Venture between IVR (holding 75% and Manager) and Mega Hindmarsh Pty Ltd (25% interest).

The Paris Prospect has advanced at every stage of exploration with the latest drill assays providing the most significant upgrade thus far.

Abundant drilling opportunities are identified around and beneath the prospect to build on the outstanding early results.

The Paris Northeast and Southeast targets are open at depth and to the east with a combine strike length of at least 600m, with the targets also open to the north and south respectively.

A larger drill rig is being sought to test the deeper extensions with early diamond coring also proposed to obtain quantitative structural data.

Further drilling of the lateral extensions with aircore/slimline hammer is also warranted.

The shallow depths of the secondary mineralisation and high-grade primary intersections to date provide potential advantages for open-pit and bulk mining if further drilling establishes a resource at the Paris Prospect.

John Anderson, managing director, told Proactive Investors today "the Paris discovery opens up the potential of the Eyre Peninsula where IVR has backed its ideas and approach with a dominant tenement position.

"Recognising a large epithermal field at Peterlumbo and the application of regional soil geochemistry led us to the Paris discovery with another four similar targets waiting to be tested within 10km of Paris.

"IVR has at least another three target areas defined by the regional soil geochemistry across a 150km belt as possible mineralisation centres like Peterlumbo – not only for silver but copper and gold as well."

Analysis

The results to date from Paris Prospect are an extraordinary start for Investigator given the high grade, and the widespread silver intersections.  The potential to define a resource and fast track and potentially develop an open pittable mine must be considered very good.

The assay results are from the first 40 holes of the recent 69 hole drill program at the Paris prospect, one of five priority targets at the Peterlumbo Joint Venture.

The company is now eagerly awaiting assays from drilling along a further 500 metre extensions to the target. The other 29 holes of the drill program that also intersected prospective geology are anticipated to extend the mineralised target zone to 900 metres in length.

John Anderson, Investigator's managing director, said “the Paris silver lead prospect continues to advance at every stage of exploration, so we are looking forward to the rest of the drill assays and getting back in with the drill rig to follow up the exciting intersections."

The prospect is the most advanced of five priority silver-in-soil geochemical targets and it is the first time that lead intersections have been encountered in the Peterlumbo field where silver was intersected by initial scout drilling in January 2011.

The intersected mineralisation is interpreted by Investigator Resources’ geologists as the weathered representation of deeper sulphide mineralisation.

There is potential within a 150 metre wide and at least 400 metre long target zone for both shallow supergene silver lead deposits extending away from the discovery holes and primary sulphide deposits of silver lead.

There is also a possibility of zinc and copper beneath the drilling that averaged 68 metre depth and rarely reached fresh bedrock.

The project area is held by the Peterlumbo Joint Venture between Investigator, holding 75% interest and is manager, and Mega Hindmarsh Pty Ltd with a 25% interest.

Commonwealth Bank spent $750,000 on buying just over 14.7 million shares in Investigator, at an entry price of around $0.051.

Commonwealth Bank currently holds 8.3% of Investigator.

The big banks interest in Investigator might be due to the explorers recent success, after delivering encouraging magnetite intersections at the Jungle Dam iron project in South Australia.

The highlight is that Investigator has now identified a consistent magnetite mineralisation assaying 25% to 31% iron along a 600 metre length of the Central Zone.

Potential still remains for a further extension, as the strike remains open to the south.

Importantly, there is also a higher-grade oxidised blanket of secondary iron above the primary magnetite iron formation in the Central Zone, with grades reaching 54%.

This provides the potential for direct shipping ore from starter pits, providing early cashflow, before going on to access the underlying magnetite.

What adds to Jungle Dam is the favourable location on the Eyre Peninsula, close to the coast and rail, about 150 kilometres by road west of the proposed loading facility at Port Bonython and the railhead at Port Augusta.

Complete assays are anticipated but are still pending for the holes 200 metres and 400 metres further along the prospective trend.

Investigator said many other widely spaced holes over the 15 square kilometre area are anomalous in silver, gold, zinc, lead, copper or uranium, and show another mineralised trend at least 5 kilometres long.

John Anderson, managing director, has welcomed these initial results, and said, “The results show we are 'first comers' to a large and genuine epithermal field.

"With exploration just commencing, Investigator Resources considers there is abundant opportunity to locate optimum structural settings for potential high-grade silver and gold deposits.”

The market has applauded the result, with Investigator shares up 21% to $0.115 in intra-day trading.

Investigator Resources (previously known as Southern Uranium) (ASX: IVR) now has a majority stake in the Yalanda Hill uranium, copper-gold joint venture with Adelaide Resources (ASX: ADN) by achieving farm-in targets.

The joint venture covers three contiguous tenements for 756 square kilometres, about 30 kilometres south-east of the Kimba township on Eyre Peninsula in South Australia.

John Anderson, managing director, commented on the joint venture saying "The opportunity in this revitalised part of the Gawler Craton is to directly detect uranium, copper, gold and silver deposits under thin cover using modern soil geochemistry.

“We are very pleased to be able to increase our stake at Yalanda Hill, particularly given the encouraging results obtained to date.”

Adelaide Resources proposes to place its 40% equity in the Yalanda Hill joint venture into an IPO to form a separate ASX listed company, Peninsula Resources.

Lead Manager to the issue, stockbroker Taylor Collison has been requested by the company to underwrite up to 75% of the issue.

Shareholders will be provided with the opportunity to further increase their shareholding in the company by applying for shares in excess of their pro rata entitlement.

The funding will enable the company to drill test the high priority targets on the Gawler Craton of South Australia and the Calvert Hills area of the Northern Territory.

The Directors have advised their intention to apply for their pro rata entitlement for new shares.