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Drill Tracker Weekly: Pasinex Intersects New High-grade Zinc Zone at Pinargozu Mine
Feb. 23, 2015 04:00PM PST
Base Metals Investing Pasinex announced the discovery of a new zone of high-grade zinc adjacent to its Pinargozu mine in Turkey. The project is part of a 50/50 regional joint venture with the original owner and operator of the previously closed mine, Turkey-based Akmetal.
Pasinex Resources (CSE:PSE)
Price: $0.125
Market cap: $10 million
Cash estimate: $0.75 million
Project: Pinargozu
Country: Turkey
Ownership: 50 percent
Resources: N/A
Project status: Mine exploration, PEA by Q2 2015
- Pasinex announced the discovery of a new zone of high-grade zinc adjacent to its Pinargozu mine in Turkey. The project is part of a 50/50 regional joint venture with the original owner and operator of the previously closed mine, Turkey-based Akmetal. The objective of the small-scale mine is to produce low-capex, high-grade direct shipping ore (DSO), thereby yielding near-term cash flow. The joint venture sold its first shipment of high-grade (>30 percent zinc) DSO in December 2014 for greater than $1 million.
- Highlights of the newly discovered zone, which is located approximately 20 meters to the east of the current mining operation, include 29.15 meters grading 21.1 percent zinc and 8.7 meters of 24.6 percent zinc. The geometry of the new zone with respect to the zones currently being mined remains unclear at this point, and will be the focus of subsequent drilling.
- The Horzum Zinc District is dominated by carbonate replacement zinc deposits, including the past-producing Horzum zinc mine, which Akmetal operated between 1974 and 1996, producing an estimated 2 to 4 million tonnes of 30 percent zinc oxide.
- The joint venture is targeting an increase in production from 25 to 50 tonnes per day as well as aiming to complete a PEA by the first half of 2015. The low-cost operation expects to spend $1.3 million to complete a targeted 1-million-tonne resource at 30 percent zinc, in addition to a PEA.
- The company is utilizing ground-penetrating radar to “see” up to 80 meters into the host limestone to help explore for the cavities hosting the carbonate replacement bodies.
Past producer: 16.9 meters at 39 percent zinc, 85 g/t silver (initial 2014 drilling)
Current drilling: 29.15 meters at 2.1 percent zinc, including 15.2 meters at 31.4 percent zinc; 8.7 meters at 3.47 percent zinc, including 5 meters at 47.7 percent zinc
This report makes not recommendations to buy sell or hold.
Editorial Disclosure: Pasinex Resources is a client of the Investing News Network. This article is not paid-for content.
Wayne Hewgill is a geologist with extensive knowledge of the global mining industry gained through 30 years of diversified experience in mineral exploration and new business development in Canada, as well as 10 years living in Africa, New Zealand and Australia. He was previously senior research officer at BHP Billiton, an executive with an exploration company working in Argentina and a mining analyst at three Vancouver-based financial groups where he developed the Drill Tracker database in 2006. He holds a B.Sc. in Geology from the University of British Columbia and is registered as a Professional Geoscientist (P.Geo) with APEGBC.
