Matador Mining Ltd (ASX:MZZ) is nearing completion of its maiden exploration drilling program at the Cape Ray Gold Project in Newfoundland, Canada.
The aim of the 4,000-metre program is to increase the initial JORC resource of 750,000 ounces of gold and 2.7 million ounces of silver by testing the deposit’s extensions along strike.
Initial assays from drilling are expected soon and a regional geochemical exploration program adjacent to the current project area has returned high-grade anomalies in soil sampling.
Samples indicated grades of 709 ppb and 1056 ppb, or 0.71 g/t and 1.06 g/t gold, respectively.
Matador managing director Paul Criddle said the company was pleased with the progress made with its inaugural drilling campaign, with more than three quarters completed slightly ahead of schedule.
He said: “The processing of and receiving assay results has been slower than originally anticipated, however, this is now in hand and results are due imminently.
“In addition to Matador’s inaugural drilling campaign, we also commenced a significant regional exploration program.
“This is the first significant greenfields exploration program at the property in 20 years.”
Results ‘something to be excited about’
The soil sampling program aimed to identify drill targets along prospective structures and collected a total of 1,084 samples.
Sampling grids focused on areas to the north and south of the bulk of the existing resource base.
The area covered by sampling represents about 9 square kilometres over a strike length of about 7 kilometres.
Criddle continued: “The geochemical program, in particular, has proven successful as a number of true high-grade soils have been identified along key structures of Cape Ray.
“Soils above 1 g/t gold in non-transported material is something to be excited about.
“Given the proximity to the existing resources, these true greenfields hits are a great sign of the prospectivity of the ground at Cape Ray and what is an evolving development story.”