Tuesday, 22nd August 2006 (2424 views)

Continuum has announced promising results from the first phase of exploration at its site in Mexico.

The Natividad project is located in the southern state of Oaxaca. The company has recently undertaken an underground drilling program there and results from the first two holes have been returned.

The project is historically one of the most important gold-producing areas in Mexico, having borne millions of tonnes of both gold and silver over the years. Gold was hosted in high grade quartz veins at the site.

Gradings of between ten and 61 grams per tonne of gold (g/t Au) have historically been found at the Poder vein. Hole BCN-3 was constructed there, with the intention of intersecting this vein. The company drilled the hole 250 metres north of the Capulalpan fault so as to determine whether the mineralisation continues north of the fault.

The hole returned assays of 19.35 g/t Au and 1,240 g/t Ag, and mineralisations were held in fine-grained, grey quartz.

Hole BCN-2 intercepted the same vein at +35 degree angle and returned anomalous gold gradings. Several other anomalous sample readings were taken from other parts of the same vein and these findings correspond to other known mineralisations at the project. Although these findings are relatively low-value, they are significant as traditionally they encircle high-grade gold shoots.

A third hole has been completed and assay results will be reported when they are returned from analysis. The purpose of this third hole was again to determine the extent of the Ponder vein.

 

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