Arizona Gold & Silver Inc (TSX-V:AZS, OTCQB:AZASF) announced it had completed a satellite WV3 hyperspectral survey covering its entire Philadelphia property.
Historically, Arizona Gold & Silver has focused its drilling efforts on the western portion of the Philadelphia project area, where mining activity has been most prominent. However, the company has long recognized that this area represents only the westernmost edge of a much larger hydrothermal alteration footprint.
Current drilling activities are targeting both the down-dip extension of known mineralization and the western edge of the Red Hill feature, a prominent topographical feature that aligns with a hyperspectral anomaly identified in prior ASTER data and associated with a CSAMT geophysical anomaly, the firm said in a statement.
The new WV3 hyperspectral survey, which boasts a 3-meter resolution, significantly improves upon the previously available 30-meter ASTER data. The survey also has the capacity to map a wider range of minerals that make up the alteration suite characterizing the Philadelphia low sulfidation epithermal system.
Greg Hahn, vice president of exploration, highlighted the significant potential of the East Philadelphia alteration zone, a large area located on the eastern portion of the company’s claim block.
According to Hahn, the altered zone, as shown on the available ASTER data, spans approximately 2x3 kilometers. He noted that the size and characteristics of the area are comparable to the large altered region overlying the recently discovered Merlin deposit, owned by AngloGold Ashanti (ASX:AGG). Merlin is reported to contain an estimated nine million ounces of gold, Hahn said.
“The hyperspectral survey will also refine our understanding of the alteration over the Red Hills bulk tonnage target that we are currently drilling,” Hahn told investors.
Drilling at the Red Hills bulk tonnage target has returned intercepts of over 100 meters grading between 1.3 and 1.5 grams per ton of gold.
In addition to the survey, Arizona Gold & Silver has engaged a senior geologist with extensive experience in the western U.S. and Chile to interpret the mineral mapping data, conduct ground follow-up, and identify new exploration targets for further geochemical and geophysical surveys. Drill target identification and permitting will follow.
The company also announced that it has granted 2,644,000 incentive stock options to its officers, directors, and certain consultants. The options are exercisable at a price of $0.435 per share for a period of five years, as part of the company’s ongoing efforts to reward its dedicated team.