Zinc of Ireland drills towards resource expansion
Zinc of Ireland NL (ASX:ZMI) has started drilling at its flagship Kildare Zinc Project in Ireland with the focus being on the Allenwood Graben.
Kildare is situated within the Rathdowney Trend, approximately 80 kilometres from renowned profitable zinc mines such as Lisheen (Resource of approximately 22 million tonnes at 14.1% Zn+Pb; 17 year mine life) and Galmoy (Resource of 9.7 million tonnes at 16.2% Zn+Pb; 12 year mine life).
Within the greater Kildare Project the company’s immediate focus is on the Allenwood Graben which is approximately 8 square kilometres.
This area presents a well-constrained, highly prospective, exploration search area which has significant and immediate upside.
Prior to ZMI coming on the scene, no company has ever controlled the entire Kildare Project, which presents a unique opportunity to capitalise on extensive data and historical work undertaken over the greater project area.
Established resource provides strong foundation
Coupled with an existing resource with considerable scope for growth, and immediate exploration programs targeting additional resources, the Kildare Project is poised to create and deliver significant value.
The comprehensive and staged exploration diamond drilling programme is initially targeting prospective areas located outside of the currently defined mineral resources.
The major basin-bounding normal fault (the Kildare Inlier) on the eastern margin of the Allenwood Graben is the immediate focus of exploration drilling.
The company has cash of approximately $3.6 million which will be sufficient to conduct approximately 7500 metres of diamond drilling in 2019, the results of which could provide significant share price momentum in the near term, while also positioning the company to deliver on one of its key goals of upgrading the resource.