Mineral and Financial Investments Limited (LON:MAFL) said it has started a phase 2 drilling program at the South Zone of the Lagoa Salgada project in Portugal.
The AIM-listed firm said the program, run by its subsidiary Redcorp Empreedimentos Mineiros and funded by Ascendant Resources which owns 25% of Redcorp, will consist of 1,400 metres of drilling and downhole IP surveys and follows what the company said was a “very successful” phase 1.
M&F said the program is aiming to “significantly increase and upgrade resources at the copper-rich South Zone” as well as build on the existing 2.47mln tonnes of measured and indicated resource and 6.09mln tonnes of inferred resource delineated in the South and Central Zones which the company announced in November 2019. This is also in addition to the measured and indicated resource of 10.3mln tonnes grading at 9.06% Zinc equivalent (ZnEq) and 2.5mln tonnes of inferred resource with a ZnEq grade of 5.93% in the North Zone upon which a Preliminary Economic Assessment (PEA) was completed.
The company said the South Zone remains open along strike and at depth according to geological data collected during its previous exploration activities, adding that indications are that the mineralisation is expanding southward where its next drill targets are planned.
"We are excited to see Redcorp and Ascendant Resources continue and build on the successful phase 1 exploration activities in the South Zone where we hope to significantly grow copper and copper equivalent tonnage and grade”, the company’s chairman Jacques Vaillancourt said in a statement.
“The results of Phase 1 drilling in the South Zone suggests that Redcorp is approaching a more intense system of stockwork and massive sulfide mineralization, which was also predicted by their geophysics program.
The Phase 2 program should advance us a long way along the path of growing this copper rich resource", he added.
Shares in Mineral & Financial were up 9.9% at 10p in early afternoon trading on Wednesday.