Arc Minerals PLC (LON:ARC) has recorded more eye-catching grades of copper from its maiden drill programme at Cheyeza in Zambia.
Assay results from the latest hole again exceeded all initial expectations, said Nick von Schirnding, Arc’s executive chairman.
The hole showed significant, relatively shallow, high-grade intersections of copper as well as good continuity of mineralisation.
One section showed copper at a grade of 2.31% over a width of 13m.
“Whilst we continue to explore this target, we are also continuing our soil sampling and geological interpretation of the other large targets on our tenements and look forward to releasing results of our next hole shortly," said von Schirnding.
Previous holes at Cheyeza had already indicated copper near the surface in good quantities.
This latest hole was the fifth in the programme.
Drilling at hole 4 shows significantly higher copper grades which are being verified before being released.
The first hole had already indicated 3.94m at 0.72% copper while the second hole showed 1.05% over 25m, which included some bonanza grades.
Cheyeza target is estimated to be around 3,000m by 800m in size.
Drilling so far has been relatively shallow at 70-100m deep, which leaves plenty of scope for further mineralisation to be discovered at greater depth said house broker SP Angel.
The broker is a big fan of Arc and believes it might have stumbled upon a major copper discovery at Cheyeza.
“The potential value of a significant copper discovery is likely to be a multiple of the current market capitalisation with the market recognising the value of the discovery on further drill results and resource estimation.
Discoveries that have led to producing mines in the locality include Sentinel, and Lumwana.
At 4.65p, the company is worth £33mln.
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