Strategic Minerals Corporation (ASX:SMC) has raised funds in a recent rights offer to fund ongoing development of its Woolgar gold property in Queensland after drilling returned broad intersections.
The fundraiser generated $744,410 after targeting as much as $866,432 with shares priced at $0.021.
Strategic Minerals stock last traded at $0.027.
Driving interest in Strategic is that 11 of the holes drilled recently successfully infilled and united the two adjacent resources at Big Vein South and Big Vein Central (BVS), in the Lower Camp.
Previously, it was thought that the BVS and BVC structures were two discrete, subparallel structures that partially overlapped and that the intervening area had little potential for significant mineralisation.
Hence 2015 drilling has successfully defined a significant volume of mineralisation between BVS and BVC, which has positive ramifications for an updated resource estimate.
Recent drilling returned bumper widths that included: 52 metres at 1.8 g/t gold from 130 metres, 84 metres at 1.9 g/t gold from 132 metres and 58 metres at 1.3 g/t gold from 124 metres..
While another hole recorded 24 metres at 2.9 g/t gold from 256 metres, including 7 metres at 8.1 g/t gold from 259 metres.
Follow-up exploration is being planned in order to improve drill targeting for the 2016 field program at the site.
Resources at Woolgar have been estimated at higher cut-off grades to total 10.8 million tonnes at 1.4 g/t gold for 474,900 ounces of gold metal.
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