Golden Arrow Resources (GRG.V) has recently started a Phase IV drill program at its Chinchillas silver project in Argentina. The company plans to conduct roughly 16,000 meters in diamond drilling which is aimed at both increasing and upgrading the current resource estimate. As the Chinchillas project was open in all directions, VP Exploration McEwen is planning to drill some serious step-out holes to define the limits of the project.
The drill bit encountered some serious high-grade intercepts such as 15 meters of 409 g/t silver and 2% lead (no zinc was detected in this hole). As this drill hole was aimed at expanding the resources, the impact of this kind of grade can’t be underestimated. Other holes also returned quite impressive assays with for instance 32 meters of 281 g/t AgEq and 12 meters of 331 g/t AgEq.
These six holes account for less than 10% of the total planned amount of drilling but it goes without saying the Phase IV drill program is off to an excellent start as the known mineralization is still expanding and we would start to dare using the term ‘elephant deposit’ as the true size of Chinchillas remains unknown at this stage.
Disclosure: The author holds a long position in Golden Arrow Resources. Golden Arrow is a sponsor of the website. Please see our disclaimer for current positions.