Sunstone Metals Ltd (ASX:STM) has obtained $4.6 million net of fees for the recent underwriting and exercise of options at 3 cents and 3.2 cents per share to support an accelerated exploration program at the Bramaderos Project in southern Ecuador, South America.
Drilling is progressing well with a second hole at Limon targeting the large porphyry system interpreted from hole LMDD002.
A second drill rig has also been contracted and is now drilling at the high-grade West Zone gold target recording up to 6.9 metres at 12.7 g/t gold within a broader interval of 30 metres at 3.6 g/t gold.
“Significant grades and widths”
Managing director Malcolm Norris said: “Our ability to secure these funds reflects the strong potential of Bramaderos.
“Drilling at the Bramaderos Main prospect has delivered significant grades and widths of mineralisation in an outcropping gold-copper porphyry deposit and demonstrates the potential to deliver a sizeable gold-copper system.
“We now also have a parallel program drilling the high-grade West Zone epithermal gold target.”
Bramaderos Main has delivered intersections such as 172 metres at 0.52 g/t gold and 0.16% copper as well as 242 metres at 0.42 g/t gold and 0.14% copper with mineralisation extending to depths of at least 300 metres below surface.
Drilling at Limon
Norris added: “Drilling at the Limon prospect is also progressing well.
“Hole LMDD004 is at a depth of 520 metres and has intersected a sequence of altered rock consistent with the exploration model.
“LMDD004 is approaching the target zone and it is expected that the hole will be drill to about 1,000 metres.”
The Limon target is part of the package of multiple outcropping and near-surface gold-copper porphyry systems identified at the Bramaderos Project with only two holes drilled to date.
Drilling has also started at the high-grade West Zone gold target with a second rig.
Hole WZDD0001 is testing underneath trenching results in the epithermal breccia of 6.9 metres at 12.7 g/t gold within a broader interval of 30 metres at 3.6 g/t gold in trench TR-LB06.