Montezuma Mining Company (ASX:MZM) has received early results from its first ever drilling campaign at Yamarna in Western Australia, which confirms widespread gold over several square kilometres.
The assays received from recent soil sampling programme confirm three multiple priority gold targets at the emerging gold province.
Adding motivation for the campaign, geochemical work has teased at the potential of Yamarna, including the geostructural positioning and proximity to Gold Road Resources' (ASX:GOR) 5.5 million ounce Gruyere gold discovery along strike.
The cashed up Montezuma with $6.7 million is gearing up for an expanded work programme to follow up these encouraging initial results.
Exploration is still early days with only 25% of assays received to date from aircore drilling but with results up to 2.7 g/t gold plus pathfinder elements in basement rocks there is significant encouragement and optimism for Montezuma.
The widespread nature of the strong gold anomalism in quartz veining - over several square kilometres does support potential for a large gold system in the making.
Executive director Justin Brown said: "To intersect these grades and this level of anomalism on a regional scale so early in the first ever drilling programme on this ground is very exciting and suggests that we may be on to a significant gold system."
The remaining 75% of samples are in the laboratory with results pending.
Yamarna full of promise
The work represents the first exploration since 1997 when Western Mining Corporation found a number of large gold anomalies within Montezuma held ground. Current drilling will cast more light on the historical anomalies.
Phase 1 one aircore drilling is expected to comprise 8,000-10,000 metres testing multiple geochemical and structural targets.
Targets include three priority regional scale targets over geologically and structurally favourable positions.
Peak gold value of 20.8 ppb gold was recorded against a background of approximately 1 ppb gold. The largest anomaly outlines a plus 10 ppb gold target zone over 1 kilometre in strike coincident with an interpreted shear zone.
Follow up
Arrangements for heritage surveys to clear planned drill lines are advancing. Follow-up aircore drilling programme will commence as soon as heritage clearances are completed.
Analysis
The early results offer significant promise ahead in a region replete with major gold discoveries, Gold Road's 5.5 million ounce Gruyere to name one.
The ground is under-explored and represents the first exploration since 1997 when Western Mining Corporation found a number of gold anomalies
The widespread nature of the strong gold anomalism in quartz veining - over several square kilometres does support potential for a large gold system.
With over $6 million in cash, Montezuma is extremely well placed to lift a gear in its exploration at Yamarna.
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