Oremex Gold has started the first underground drilling campaign at the Cerro del Oro gold project.
The company will drill around 500 m, totaling 8 to 10 holes, as part of the proposed drill program. Structurally-controlled and skarn mineralized zones will be targeted by the holes. The company has planned to commence a phase I surface diamond drill campaign in the summer season of 2012.
Minera Tres Diamantes, Oremex’s Mexican subsidiary owns the Cerro del Oro property. The project lies in the Melchor Ocampo mining district in Mexico, and around 22 km towards northern part of Goldcorp’s Peñasquito mine located at the Zacatecas’s north end. This property includes several trenches, historical pits, underground workings and has a mixed skarn or intrusive domain with gold-silver mineralization and also base metals. Mineralization show structural controls and is present in skarn and intrusive lithologies. Extensive dominant mineralization of gold was shown through sampling results. The company encountered 0.47 g/t gold from 460 samples and returned 8.3 g/t gold over 3.2 m, 2.85 g/t gold over 13.8 m, 0.53 g/t gold over 25.2 m and 0.45 g/t gold over 64.1 m from surface chip sampling program.
The company is conducting an ongoing underground drill program with the help of a pneumatic Wolverine drill, which has the potential of recovering core for up to 120 m.