Kincora Copper Ltd (CVE:KCC) revealed Tuesday encouraging assays from the first phase drilling at its Bronze Fox copper project in Mongolia, while the mining group also told investors that up to a maiden 6,200 metres testing three target zones had kicked off at its East TS project.
The company, based in Vancouver, is seeking to make the next Tier 1 discovery in the East Asian landlocked country.
Six holes were completed at two targets at the Bronze Fox project for 4,264 metres and results for 2,876 metres have been returned.
Highlights from the West West Kasulu target included 20 metres at 0.41% copper (0.64% copper equivalent - CuEq) from 140m and 120 metres at 0.31% copper, with 0.41% copper equivalent from 700m.
At the Western Trend target, one hole returned 42 metres at 0.32% copper equivalent (CuEq) from 146m, including 4 metres at 1% copper equivalent from 146m.
"First phase drilling and assay results for two thirds of drilling completed has confirmed and better defined the large lower grade porphyry system at Bronze Fox with localised higher grade zones in the western zone proximal to a key regional fault," noted Peter Leaman, the senior vice-president of exploration.
"A full review of first phase drilling will shortly occur focusing on the potential for further higher-grade zones and potential follow up activities," he added.
Leaman also said that Kincora's recently started maiden target testing drilling program at East TS will "for the first time test the potential for preserved higher grade porphyry mineralization within the Tsagaan Suvarga Intrusive Complex which already hosts one large open pit porphyry development project".
East TS project
The East TS project lies just 10-15km east of the Tsagaan Suvarga porphyry copper, gold mine, which has had more than US$370 million invested in it so far and is forecast to produce 316,000 tonnes of copper a year.
Notably, the Tsagaan Suvarga deposit is hosted in Devonian age rocks, which also host the Oyu Tolgoi cluster of deposits that include the high-grade Hugo Dummet and Heruga mineralization. This series of orebodies underpin Rio Tinto's (LON:RIO) Oyu Tolgoi's potential 100-year mine life being scheduled to be the world's third-largest copper mine
"Kincora's ability to secure the East TS project in a brownfield environment which in most other parts of the world would have experienced considerable drilling across the complex, and within 3 years commence such a drilling program supports the project generation strategy we continue to pursue for further globally significant new discoveries," said Leaman in today's statement.
In June this year, Kincora closed an oversubscribed C$6.25 million offering, funding a 12-month work program supporting high priority drilling for up to 18,000 metres and the company's ongoing expansion plans.
Kincora shares slipped 10.71% to C$0.12 in Toronto.
---Updates for share price---
Contact the author at firstname.lastname@example.org
Follow him on Twitter@Gile74