SolGold has said that its CSD-13-005 drilling hole at the Cascabel project in northern Ecuador continues to intersect strong copper sulphide porphyry mineralisation at depth.
The exploration company found a strongly mineralised potassic zone from 682m depth, reinforcing the potential for a large porphyry copper-gold system in the Alpala region.
They decided to extend the CSD-13-005 hole beyond 1,000m depth to further test the deposits.
SolGold said that the selection of contractors for an electrical survey of the sites is well advanced and the planning of their stage two drilling programme is underway, with a view to start in the first quarter of 2014.
Final assay results from SolGold's CSD-13-003 drilling hole confirmed the expected peripheral, lower grade, halo-style mineralisation.
Managing director Alan Martin said the presence of strong copper sulphide mineralisation correlating with the higher magnetite content in a potassic zone in hole CSD-13-005 is validating the 4km² batholith and the apophyses above it as a classic copper porphyry fertile magmatic complex.
"Intersecting a mineralised potassic alteration zone and clearly seeing the magnetic signature opens a vast target area to us," Martin said.
Exploraciones Novomining is the Ecuadorean registered firm which holds 100% of the Cascabel concession. SolGold plans to proceed with its option to increase its holding in Exploraciones Novomining from 50% to 85%, based on the positive assay results.
As well as Ecudaor, SolGold has exploration projects in Australia and the Solomon Islands.
In Australia, the company holds 100% of the Rannes, Mt Perry, Cracow West and Normanby Projects, which are all in south-east Queensland.
Their developments in the Solomon Islands include the Fauro project, located on Fauro Island, and the Lower Koloula, Malukuna and Kuma licenses, which are situated on Guadalcanal.