Orsu Metals Corporation (CVE:OSU) has hailed latest drill results from the Sergeevskoe gold project in Russia, which has extended the area of gold minerlization and shown good grades ahead of a potential maiden resource by the fourth quarter this year.
The assays from three further drill sections extend the gold mineralization of zone 23 for 240 metres to the east of the previously reported section.
The firm's target is a maiden resource of between 1.8mln and 2.5mln ounces gold in hypogene and oxide material, which is contained in between 30mln tonnes and 36mln tonnes grading between 1.5 and 2.0 g/t (grams per ton) gold.
"Orsu successfully extended the gold mineralization eastward in three drill sections spaced 80 m in addition to the previously reported Section 9300E," noted director of exploration Dr Alexander Yakubchuk.
"The main and southern stockworks can be consistently traced across four sections from the west to the east for a total of 240 m along the strike.
"Mineralization was drill confirmed to a depth of 200 to 250 m. Its eastern extents limited by mineralized zones of adit 5, and such relationships are being tested as part of the program.
"At zone 23, the mineralized zones remain open downdip and to the west, where mineralization becomes wider and can be seen in historical trenches for additional 300 m westward," he said.
Orsu noted that it was currently drilling follow-up holes at the western continuation of zone 23. If successful, this would extend the strike of zone 23 to more than 600 metres.
Orsu's executive chairman Sergey Kurzin said the firm had made a "great deal" of progress quickly.
"Zone 23 is only one of the three drill zones that we are working on this year. I count that we meet a similarly exciting mineralization in the other two zones: adit 5 and Kluchi west, bringing us to an anticipated combined maiden resource of 1.8 [million ounces] to 2.5 million ounces of gold in our first maiden 43-101 resource statement.
"The results so far exceeded expectations in terms of both thickness and grades."
The Sergeevskoe gold licence lies mmediately east from the Alexandrovskoe open pit and gold plant owned by Zapadnaya Gold Mining and west of the Klyuchevskoe gold licence owned by Sun Gold Mining.
The Klyuchevskoe (Klyuchi) gold deposit represents a plus 6mln ounce gold endowment. Significantly, Orsu owns 90% interest in the project.
Orsu identified gold mineralization at zone 23 in four sections to the south of the Shirotnyi fault.
Orsu Metals shares were unchanged at C$0.19.