Ferrum Crescent PLC (LON:FCR) has confirmed high lead-zinc concentrations near the surface at its Toral prospect in Spain.
Each of the six holes in the latest drill programme hit lead and zinc, confirming the visual inspections of the cores reported in July, while three were high grade intercepts.
All of the 1,046.9m drilled was within 200 metres of the surface, Ferrum added.
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Justin Tooth, executive chairman, described the results as ‘most positive’, especially the grades above 10% within 200 metres of surface.
They point to a near-surface zone approximately three hundred metres above the historically explored Toral deposit.
“Our initial objective was to determine the presence of lead-zinc towards the surface in order to progress our new geological model; however, these strong results may open up other avenues for the project's development.
“The highest grade intersections of up to 16.1% zinc and up to 18.4% combined lead-zinc are highly supportive of our exploration programme. “
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Zinc prices have risen strongly recently, which is also underpining the company's optimism.
These drill results will be combined with the historical drill results for a JORC-compliant resource. A second phase of drilling is also planned.
Shares were 12.6% lower at 0.1p in afternoon trade.
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