Nov 19 2010
Cayden Resources Inc. (TSX VENTURE:CYD) has announced that it has commenced drilling its Morelos Sur property with two core rigs.
The Morelos Sur property is located in the Nukay mining district of central Guerrero State in southern Mexico, approximately 230 kilometers south of Mexico City. The Morelos property surrounds the Los Filos Gold property, Mexico's largest gold producer currently operated by Goldcorp and bounds Goldcorp's La Bermejal property on two sides. Gold mineralization in the district is hosted near the contact of early Tertiary intrusions with the carbonate sequence of the upper Cretaceous Morelos Formation. Mineralization occurs both within the early Tertiary intrusions as well as in skarn deposits, which are hydrothermally altered limestone at or near the intrusive contacts.
The first phase of drilling on the Morelos Sur property will be testing four significantly underexplored intrusive-limestone contacts: the Mina Verde target has a 43-101 compliant inferred resource of 1.7 m tonnes at 1.49 g/t applying a cutoff of 0.2 g/t Au for a total of approximately 80,000 ounces. The inferred resource was drilled over a 300 meter by 400 meter area and is open in three directions. A combination of high magnetic signature (magnetite is an important gold-associative mineral), favorable stratigraphy (Morelos Formation limestone intruded by granodiorite) and favorable geochemistry (1.5 g/t Au rock samples over 1500 meters from the closest drill hole) suggest a much larger area that is prospective for similar mineralization. Cayden intends to drill test over a 3 km by 1 km area.
The La Hormiga and La Joya prospects contain small historic workings in areas with coincident mapped intrusions, magnetic anomalies, and gold anomalous rock samples. Previous assays from iron and silica-and Fe-oxide rich limestone core at the La Joya project are as high as 87 g/t Au and average 0.5 g/t. The La Hormiga prospect has yet to be drilled.
To La Magnetita prospect lies to the west of the La Hormiga prospect and is one of the largest untested magnetic and alteration anomalies in the district, with very strong intrusive and hydrothermal activity hosted in prospective limestone beds. As befitting such a raw and untested anomaly, Cayden will perform geochemical, geological, and geophysical studies in order to better delineate drill targets.
Cayden plans to spend a minimum of US$1.5 M to complete its first phase exploration program.
Cayden CEO Ivan Bebek states; "Cayden is very excited to begin its drill program at the Morelos Sur property. We have an experienced technical team overseeing an aggressive drill program on three targets in a very prolific gold district."
Benjamin Gelber, B.Sc., P Geo. is the Qualified Person responsible for this news release.