Mount Burgess Mining NL (ASX:MTB) has commissioned an exploration drilling program across the Kihabe Zinc Project in Botswana near the Namibian Border.
The 1200 metres drilling program will focus on additional zinc anomalies within the vicinity of the Kihabe and Nxuu zinc/lead deposits.
The Kihabe and Nxuu deposits have a combined resource of 25 million tonnes grading 3% zinc equivalent.
The new program will primarily focus on Target 52, a geochemical soil anomaly identified 2 kilometres southeast of the Nxuu deposit.
Significantly, the geochemical results suggest a possible mineralised strike length of 5+ kilometres, which is more than double that of the combined strike lengths of the Kihabe and Nxuu deposits.
Mount Burgess’ Kihabe Zinc Project has mineralisation occurring from 5 metres to 175 metres below the surface and, as such, could potentially be mined by means of open pit mining methods.
Metallurgical test work has generated zinc recoveries of greater than 90% and zinc and lead concentrates of good marketable grade.
Importantly, zinc is the best performing base metal so far this year and measured from its six-year low struck mid-January, zinc price has increased 58% to $2,336 a tonne earlier this month.
The new drilling program is anticipated to commence in mid-October 2016.
Mount Burgess’ share price has doubled since the beginning of 2016, last trading at $0.01.
Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX emerging companies with distribution in Australia, UK, North America and Hong Kong / China.