The junior explorer’s project is located in southern Serbia and consists of two exploration licenses of around 100 square kilometres each.
Medgold shares were unchanged at C$0.11 in Toronto by midday Wednesday.
Initially, the focus of the 5,000 metre program will aim at extending the current gold and base metal mineralization southward. The mineralization was defined as part of the Barje prospect last year, where previous exploration work found a large hydrothermal breccia rock that likely hosts continuous gold.
The nearby area that houses Barje was previously drilled by the former Yugoslavia. Exploration work noted significant mineralization but no follow-up analysis, making the land highly prospective for further discoveries.
Around 5,000m of drilling was completed before 1980 at Liska by Yugoslav state agencies, which have reported a historic mineral resource estimate for this area as 4,863,000 tons at 0.54% lead and 1% zinc in B+C1 resource categories.
Additionally, the reported mineralization potentially indicates a similar structure and hydrothermal system to that at Barje. Medgold’s 2019 drilling program will test for further mineralization between the Yugoslav drilling records and the current Barje prospect.
Subsequent drilling will take place near well-defined exploration targets at Karamanica, where an existing anomaly may represent the continuation of a mineralized structure into Medgold’s project area.
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