Zinc of Ireland progresses towards resource expansion at Kildare
Zinc of Ireland NL (ASX:ZMI) has released some promising drilling results that point to the immediate resource growth potential of its flagship Kildare Zinc Project.
The results from the base of Waulsortian Reef, part of the FC-3 zone that currently ranks as the highest priority fault compartment within the Allenwood Graben. Results from this area are likely to contribute significantly in growing the resource at ZMI’s Kildare Zinc Project.
This builds on other successful drilling, which combined with the buoyant lead price has underpinned a 40% increase in ZMI’s shares since July.
Looking specifically at today’s news, diamond drill hole HZDD005 has intersected high-grade zinc mineralisation, returning 5 metres at 15.1% zinc and lead (13.71% zinc, 1.36% lead) from 391 metres to 396 metres and 2 metres at 23.1% zinc and lead (17.63% zinc, 5.50% lead) from 400 metres to 402 metres (based on a strict 5.5% ZnEq cut-off), at the base of Waulsortian Reef position.
As Finfeed outlined was also the case in previous drill hole HZDD004, these two high grade intersections lie within a broader interval of 20 metres at 7.9% zinc and lead (6.9% Zn, 1.0% Pb) between 385 metres and 405 metres.
From a geological perspective this is based on the current standard intersection cut off algorithm of 5.5% zinc equivalent, four metre minimum intersection width and four metre maximum continuous internal dilution, which continues to confirm that a volumetrically significant mineralised system has been intersected.
These latest results are particularly impressive, as the high-grade mineralisation in the FC-3 region situated at the southern extremity as illustrated below is now extended over approximately 150 metres north-south, whilst remaining open in all directions.
There is also the potential that the zinc-lead mineralisation intersected in FC-3 connects the currently defined McGregor and Shamrock resources which lie to the north.
Diamond drilling continues at FC-3
Highlighting the significance of these developments in terms of expanding the Kildare Zinc Project, executive director Patrick Corr said, “The last two drill holes, both in our high-priority Fault Compartment 3 (FC-3) augur very well for the immediate resource growth potential of the Kildare Zinc Project.
“High-grade zinc-lead mineralisation in FC-3 occurs in the same stratigraphic and structural locations as encountered at McGregor and Shamrock.
“Volumetrically, FC-3 has the capacity to host significant zinc-lead mineralisation. This is our focus - adding to our already significant resource inventory. To this end, there are two diamond drill rigs on site, both testing for further extensions of the high-grade mineralisation in FC-3.”
FC-3 currently ranks as the highest priority fault compartment within the Allenwood Graben. Until now, there has only been a single rig in operation in FC-3, but with the success of the last two holes, the company is accelerating its drill testing of FC-3. Presently, two diamond drill rigs are operating in FC-3 and targeting extensions of the mineralisation seen in HZDD004 and HZDD005.
The overarching focus of the FC-3 drilling is to determine the lateral extent, and continuity, of the FC-3 mineralisation, such that it can be incorporated into any future resource upgrade.
When the experts at Next Investors have a stock pick, it may pay to listen.
The Next Investors have been investing in ASX small cap stocks for years, with their best small cap picks yielding returns of 1,200%, 1,120%, 900% and 678%.
They have just revealed their hand-picked, FY2021 stock portfolio of high conviction long-term investments.
Click the link below to see what they are currently investing in.
S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.
Conflict of Interest Notice
S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.
The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.