Cervantes Corporation Ltd (ASX:CVS) has completed drilling seven reverse circulation (RC) holes into the Albury Heath Prospect within the Albury Heath Project in Western Australia.
Drilling focused on testing the extent of previously discovered bonanza gold in two intersections – 2 metres at 67.2 g/t gold from 27 metres and 5 metres at 63.1 g/t from 32 metres.
Grades within these two intersections reached as high as 1 metre at 202.8 g/t gold.
Assay results from the RC drilling are pending while preliminary results confirmed quartz lodes up to 26 metres downhole width were intersected.
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Cervantes is also in the process of raising up to $700,000 by issuing 70 million shares priced at 1 cent and a free attaching option exercisable at 1.5 cents with every 2 shares subscribed for.
The prospectus offering will close on or before 18 January 2019.
Cervantes said it hopes to receive the drill results from this completed campaign before this closing date.
Funds raised will be used to pursue the RAB drilling of five new potential areas, not previously tested, and for follow-up drilling of the current RC drilling program.
Cervantes also intends to pursue a deep drilling program on the Primrose Project at Paynes Find targeting gold, nickel and cobalt.