Dragon Mining (ASX: DRA) has reported results from a diamond core drilling program, which has
targeted the depth extensions of the Sarvisuo deposit at the Orivesi Gold Mine in southern Finland, below the current limit of underground mining.
The new intercepts include highlights 28.5m @ 6.03 g/t gold, 28.15m @ 6.81 g/t gold and 23.00m @ 12.32 g/t gold, which were all derived from the extension of Sarvisuo Pipe 2.
The campaign of sub-parallel drilling totalling ten holes was designed to target structures from 540m level to approximately 700m level, with the overall aim of obtaining information that would assist in determining if the Sarvisuo decline and mining should be extended below its current planned base position at 540m level.
The company said the results received are very encouraging highlighting the extension of known pipes, whilst intercepts such as 3.95m @ 4.61 g/t gold define new deeper mineralisation positions to the west of the existing Sarvisuo pipe cluster.
Dragon Mining will commence a detailed diamond drilling program to define a 60 metre panel of mineralisation below 540m level.
A decision to proceed with deeper development would provide new drill positions to further examine the Sarvisuo depth extensions from 600m to 700m levels and new deeper mineralisation positions to the west of the existing pipe cluster.
The company has confirmed that the ex-date for the forthcoming Convertible Note interest payment is 25 March 2010.