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Alexander Nubia announced additional results from near-surface oxide gold drilling at its Hamama VMS project.
Drill Tracker Weekly is not exclusive to Resource Investing News and is published with permission from Mackie Research Capital Corporation. It highlights drilling results in context with our database of over 10,000 drilling and trenching results. The purpose of this report is to highlight drilling and trenching results that stand out from the pack and compare them to their peer group. This report does not constitute initiation of coverage or a recommendation.
Alexander Nubia International (TSXV:AAN)
Price: $0.105
Market cap:Â $4 million
Cash estimate: $0.4 million
Project: Hamama
Country: Egypt
Ownership: 50 percent
Resources:Â N/A
Project status:Â Exploration
- Alexander Nubia announced additional results from near surface oxide gold drilling on the Hamama West target on its Hamama Volcanogenic Massive Sulphide (VMS) project in Egypt. The project is located in the relatively underexplored northern extent of the Proterozoic age Nubian Shield that hosts a number of gold-rich VMS projects. The Company holds the right to explore the project over a period of five years (as well as two – 2 year extensions), subject to a 50/50 net revenue sharing agreement with the Egyptian government after completion of Cumulative Cost Recovery.
- The near surface mineralization at Hamama West is similar to other volcanogenic massive sulphide (VMS) deposits in the Nubian Shield that host a primary sulphide zone overlain by a near surface oxide gold deposit. As seen in Nevsun’s (TSX:NSU) Bisha mine in Eritrea, the near surface oxide deposit is capable of producing significant cash flow while pre-stripping and developing the infrastructure to mine the sulphide ore body at depth.
- Drilling in the near surface oxide zone returned 19 metres grading 1.46 g/t Au and 157 g/t Ag starting at 12 metres depth and 12.0 metres of 2.05 g/t Au and 168 g/t Ag. The oxide mineralization is primarily in the Western Zone, where oxidation goes down to approximately 35 metres and near surface supergene zones occur in the upper portions of the deposit. This enrichment may be a combination of supergene and physical concentration both due to weathering the oxide gold cap occurs as stacked mineralized sheets over a 400 metre strike length. Bottle roll tests in the oxide indicate 92.2% gold and 62.4 silver recoveries. As the mineralization occurs along a ridge, the deposit has the potential to have a low strip ratio.
- Drilling to date in the primary sulphide zone has intersected gold-silver enriched zinc exhalite but has only detected limited higher-grade copper mineralization in trenches, as compared to other Nubian VMS deposits such as Bihsa and Asmara.
Historical (2500 BC)Â gold-copper production
Current holes:Â 19 meters at 2.46 g/t gold, 157 g/t silver and 12 meters at 2.05 g/t gold, 168 g/t silver
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Risk Analysis
Data contained in DRILL TRACKER WEEKLY is based on early stage exploration activity. The results are obtained at the very early stages of exploration and therefore, individual results may not be reproducible with additional trenching or drilling, nor may the results ultimately lead to the discovery of an economic deposit. Delineation of a resource body requires an extensive data gathering exercise according to guidelines set out in National Instrument 43-101 before investors can be reliably assured of a competent body of mineralization that may be of economic interest. DRILL TRACKER WEEKLY is designed to highlight individual trench or drill results, which stand out as being materially anomalous and are particularly worth of note – a type of early warning flag for a particular property that warrants further attention. Hence, DRILL TRACKER WEEKLY does not provide a recommendation to buy, sell or hold a specific equity – it is an information reference source to help quantify the meaning and relevance of early stage exploration results.
Relevant Disclosures Applicable to: Drill Tracker Weekly
- The research analyst or a member of the research analyst’s household owns and/or has options to acquire shares of the subject issuer. At the date of this release the author, Wayne Hewgill, owns shares in the following company: Balmoral Resources Ltd. (TSX.BAR).
- Balmoral Resources (TSX.BAR) is currently covered at Mackie Research Capital Corp. by analyst Peter Campbell
Analyst Certification
I, Wayne Hewgill certify that the information in this report is sourced through public documents that are believed to be reliable but accuracy and completeness as represented in this report cannot be guaranteed. The author has not received payment from any of the companies covered in this report. This report makes no recommendations to buy, sell or hold. Each analyst of Mackie Research Capital Corporation whose name appears in this report hereby certifies that (i) the recommendations and opinions expressed in this research report accurately reflect the analyst’s personal views and (ii) no part of the research analyst’s compensation was or will be directly or indirectly related to the specific conclusions or recommendations expressed in this research report.