Golden Minerals Company (NYSE-A:AUMN, TSX:AUMN, ETR:7GB) unveiled encouraging results from the first ever drill program at the 830 hectare (Ha) Sarita Este gold-silver-copper project in Salta Province, Argentina.
The company said over 2,500 metres (m) were sunk in ten diamond drill holes, which had identified shallow, oxide-gold, epithermal-style mineralization at the Sico target and oxide and supergene enriched copper-porphyry style mineralization at the Kachi prospect.
At the epithermal target, highlights included an intercept of 9.9m at a grade of 1.91 grams per tonne (g/t) gold and 5 g/t silver.
At the porphyry copper target, highlights included 130.5m at 0.13% copper, including 6m at 1.17% of the red metal, the firm said.
"The gold results at the Sico epithermal target are very encouraging, as this is the first ever drilling on the property and the discovery of the shallow oxide gold shows widths and grades that are potentially economic," said Warren Rehn, Golden Minerals’ CEO in a statement.
READ: Golden Minerals Company beats annual output guidance at its Rodeo gold-silver mine in 2021
"We are additionally encouraged by the results at the Kachi porphyry target which indicate the potential for a newly identified copper porphyry system that may be similar to the adjacent Taca Taca world class copper deposit," he added.
The Sarita Este project sits in the Argentina porphyry belt, next to the Taca Taca copper porphyry deposit owned by major First Quantum Minerals (TSX:FQM).
Golden Minerals holds an option agreement to acquire rights to 51% of the 830 Ha property from Cascadero Minerals Corp, a company controlled by Cascadero Copper Corp, by spending $2.5 million over four years.
The company has spent around $1.4 million since entering into the agreement in December, 2019.
Golden Minerals is focused on producing gold and silver from its Rodeo mine and advancing its Velardeña properties in Mexico and, through partner funded exploration, its El Quevar silver property in Argentina, and acquiring and advancing selected mining properties in Mexico, Nevada and Argentina.
Contact the author at giles@proactiveinvestors.com