Blencowe Resources PLC (LSE:BRES) told investors it has encountered wide graphite mineralisation from three deep drill holes at the Beehive deposit, part of the Orom-Cross graphite project.
"We are delighted with the new deep drilling results from Beehive, which confirm wide graphite zones extending well below the previous 30 metres horizon, and it is significant that we are still finishing in mineralisation below 100 metres on all holes,” said executive chair Cameron Pearce.
“This speaks to the scale and depth potential of the Orom-Cross deposit.”
The deep drilling campaign is part of Stage 7 work to support an upgraded JORC Resource and a Definitive Feasibility Study.
The Beehive deposit lies outside the existing 24.5 million tonne JORC Resource and has shown potential to expand the resource base and project value.
Blencowe has now begun drilling three additional deep holes at the Northern Syncline deposit, located three kilometres north of Beehive.
“Importantly, we still do not know how deep this orebody goes, and that is an exciting position to be in,” Pearce said.
“Independent geologists Minrom have previously suggested Orom-Cross could host over two billion tonnes of graphite, and success within both the recent step out drilling at Beehive and these deep holes go a long way to validating that view."
Pearce added: "We are now drilling the Northern Syncline deposit where three more deep holes are underway, and if we can replicate these Beehive results across such a broad footprint, Orom-Cross will continue to establish itself as one of the largest and most robust graphite projects globally.”
The Blencowe chair highlighted that ‘the stage is set’ for a “news-rich period ahead that can deliver substantial value accretion for shareholders."
Blencowe noted that, so far, over 230 holes have been completed as part of the DFS, with a significant number of assays pending.
Completion of the infill drilling campaign unlocks the next tranche of US$0.75 million from the US International Development Finance Corporation.