Predictive Discovery Ltd (ASX:PDI) and joint venture partner Toro Gold will commence a 10,000-metre drilling program this quarter on its west African gold projects.
The joint venture has focused its Cote D’Ivoire exploration activity on its Boundiali and Ferkessedougou North Projects.
Boundiali has been assessed as the most likely to advance rapidly towards resource definition and drilling will commence there before moving to Ferkessedougo North.
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Predictive’s managing director Paul Roberts said: “At our most recent JV meeting, it was agreed that Boundiali and Ferkessedougou North represent the best opportunities for making a multi-million-ounce discovery.
“An initial 10,000-metre drill program is planned to target both the 6-kilometre-long Nyangboue gold-in-soil anomaly (on Boundiali) and the 14-kilometre-long Boundiali North soil anomaly.
“With excellent results so far including 30m at 8.3 g/t gold and 20 metres at 10.5 g/t gold and only 2 kilometres of the 20 kilometres of gold-in-soil anomalies drill tested, Boundiali remains underexplored and offers a strong opportunity to expand the known gold mineralised zones in 2019.
“Another key target is the recent gold discovery at Ferkessedougou North, which is currently being tested by trenching and likely to be followed up by drilling later in the field season.”
Predictive moves to 30% ownership in JV
Predictive has decided to reduce its equity in the JV to 30% from 35% via non-contribution of expenditure for the December half.
The decision resulted in the company holding $1.5 million in cash, which is more than it had at the end of the September quarter.
Roberts added: “Our decision to reduce equity in the Toro JV balanced retention of cash reserves in the light of the current unfavourable equity market against maximising our JV share.
“We believe that this decision is in the best interest of shareholders by minimising the need for a dilutive capital raising while holding our JV equity at our target level of 30%.”