Scandinavian explorer Mawson Resources (TSE:MAW) saw its shares jump more than 32 per cent Thursday after announcing the first drill results from its Rompas gold project in Northern Finland.
The company said results from 14 holes are available so far, out of a planned 39 diamond drill hole program at the site.
The best result returned is 6 metres at a whopping 617 grams per tonne (g/t) gold from 7 metres depth in drill hole ROM0011.
wider intercept includes 1 metre at 3,540 g/t gold from 11 metres
depth, the best result from surface sampling or drilling at the Rompas
property to date.
Mawson shares were lately up more than 23 per cent to $1.33 late Thursday morning.
said it has drill defined a more than 100 metre wide gold anomalous
zone, characterized by hydrothermal calc-silicate veining and
alteration. Some veins host significant visible gold, the miner said.
drill testing of the Rompas project has only covered a small percentage
of the 6-kilometre-long mineralized trend at the project, the company
This means that securing permits to test the best
geological targets within the entire trend has now become "even more of a
priority", "in order to establish the potential of one of the world's
most exciting gold exploration properties," said president and CEO,
"With channel sampling over a 6 kilometre strike
returning hundreds of high-grade gold samples, the next target to
achieve at Rompas was a high-grade drill intersection over a significant
"We achieved this aim spectacularly in our first drill
program with the best result returned so far from Rompas, being 6
metres at 617g/t gold from 7 metres depth in drill hole ROM0011.
"These are early days at Rompas with only a few percent of the known mineralized area tested to date.
The drill program provided the company the first opportunity to sample continuously across the mineralized footprint.
So far, 37 holes for 3,910 metres have been drilled at south Rompas, with two holes remaining to complete the program.
was completed on 20 to 40 metres spaced sections with drill holes
averaging 100 metres in depth. Drill recoveries are "excellent", Mawson
noted, and average close to 100 per cent in fresh rock.
company said that drilling thus far has not defined the scale,
orientation or continuity of the high grade structures, with future
exploration work needed to test two different scales.
Mawson will need to drill the large known mineralized area over its 6
kilometre trend, and then drill and understand the controls of gold
mineralization within individual high grade structures.
Mawson holds 833 claims and claim applications for 75,340 hectares at the Rompas project.
total of 110 exploration claims that form the core claims at Rompas
were granted on October 31, 2010, but do not come into legal force
until after a standard appeal process, the company said.
decision point" on the appeal process is expected in the third quarter.
After this process is completed, roughly 30 per cent of the 6 kilometre
trend will be available to drill.
Regarding the remaining 70
per cent of the trend, drilling and trenching are not permitted. Mawson
must apply for a modification of a claim decision by conducting an
environmental program, which has already started and is expected to be
complete in the fourth quarter.
The miner then anticipates the modification decision over the area will be taken next year.
Rompas project is now at the centre of exploration efforts after the
company successfully spun-out its South American assets into Darwin
Mawson is a resource acquisition and
development company with precious and base metal interests in Finland
and Sweden. Its flagship property is Rompas, with sample assays up to
33,200 ppm gold and 56.6% uranium oxide.
Rompas was discovered by French nuclear giant AREVA in 2008 and purchased by Mawson in April 2010.
company, whose management has a combined in excess of 100 years of
experience, has been active in Scandinavia for well over a decade.
even maintains propertyfield bases in the Swedish town of Malå, where
many of the region's core samples are stored and processed and in
Lohijarvi in Northern Finland.
Recently, Mawson spun-off a
portfolio of early stage copper-gold Peruvian assets, which include the
Alto Quemado, Huatiapa, Carrizales, Vicunas and Luminaria projects to
Darwin Resources, allowing Mawson to focus on the development of Rompas.