Meteoric Resources NL (ASX:MEI) has provided a positive operation update and remains in a strong financial position amidst the current turbulent economic environment due to the global COVID-19 pandemic.
The company is closely monitoring guidance from the World Health Organisation and the Brazilian Government with the aim of ensuring the safety of all employees and stakeholders.
The Brazilian team on the Juruena Gold Project has enacted a continuity plan with staff members now working very productively from home and conducting meetings online.
Managing director Andrew Tunks said: “I am very pleased to report that the Meteoric team is working to the best of its ability within the current environment in preparation for the 2020 drilling program so that we are ready to commence as soon as it is possible, taking into consideration the global pandemic.”
Dona Maria drilling
The upcoming drilling will test down the extensions of a high-grade steeply plunging shoot intercepted in the 2019 program beneath the current resource at the Dona Maria prospect.
The initial 2020 program will only target the Southern shoot in two separate zones; zone one within the existing resource with an aim to improve estimation confident and zone two below the existing resource with the aim to further grow the resource.
Meteoric is also planning to test down dip of a hole drilled in 2019 which intercepted a strong zone of copper-gold porphyry-style mineralisation returning assays of 53.3 metres at 1.33 g/t gold and 0.23% copper.
Highlights from 2019 drilling include:
- 20.6 metres at 94.9 g/t gold from 96.8 metres, including 3.65 metres at 508.4 g/t from 107.5 metres, and
- 14 metres at 81.7 g/t from 142 metres, including 2 metres at 71.6 g/t from 144.5 metres and 2.5 metres at 287.4 g/t from 149 metres.
Long section through the Dona Maria deposit looking south
“Healthy cash balance”
As of March 31, 2020, the company has a cash balance of more than $7 million.
Meteoric has heavily streamlined corporate and operational expenditures with senior personnel taking substantial pay cuts so it can maintain its strong financial position during this period.
Tunks said: “We are focused on continuing to unlock the full potential of the exciting high-grade Juruena Gold Project in addition to seeking opportunities to add further value to our portfolio and shareholders.”
The company is reviewing several highly prospective gold and copper/gold projects to add to its existing portfolio.
Tunks said: “Given we are maintaining a very healthy cash balance, we are ideally positioned to take advantage of these opportunities as they present themselves.”