Mineral and Financial Investments Limited (LON:MAFL) saw its shares jump on Monday after the firm lauded “transformational results” from the first full drill programme completed on the Lagoa Salgada polymetallic volcanic massive sulphide project in Portugal.
In a statement, the mining investment group said the 20-hole programme at the project, has been “very successful at confirming and expanding high-grade mineralization in the Main Massive Sulphide Zone and in expanding and improving the continuity of the sulphide mineralization in the Stockwork Zone.”
The drill programme was completed by Redcorp Empreedimentos Mineiros Lda. (Redcorp), funded and guided by Ascendant Resources as part of Ascendant's previously announced earn-in agreement with TH Crestgate, Mineral and Financial's wholly-owned subsidiary.
Mineral and Financial Investments pointed out that, aside from the drill programme, which totalled 7,077 metres, an additional geophysics programme was also completed at Lagoa Salgada, which is located on the Iberian Pyrite Belt, home to some of the world's largest volcanogenic massive sulphide mines.
It noted that the drilling results indicate additional massive sulphide mineralization at grades in excess of 10% of zinc equivalent (ZnEq), while newly identified tin mineralization increases the ZnEq grade by 15% in the Main Zone.
Drill results have exceeded expectations
Jacques Vaillancourt, Mineral and Financial Investments chairman commented: "We are very pleased by the success of the latest exploration program at Lagoa Salgada.
“The drill results have more than exceeded our expectations in identifying similar high-grade massive sulphide and stockwork mineralization identified in previous drill campaigns at Lagoa Salgada.
“The addition of newly identified high-grade tin mineralization in the Main Zone provides further confidence in the potential to quickly increase high-grade tonnes to the known Mineral Resource. An update to the Mineral Resource Estimate is expected in January."
He continued: "In addition to the drill program the company has completed ground and downhole IP surveys. The results from these surveys have identified a 1.6 km IP anomaly coincident with the massive sulphide mineralization intersected by the drill program from the layered massive sulphides in the northwest (Massive Sulphide Zone) to the Stockwork Zone in the southeast.
"The IP anomaly is also coincident with a significant regional gravity anomaly which greatly expands exploration potential to the east."
In early afternoon trading, shares in Mineral and Financial Investments were 12.4% at 8.60p.