Earlier this quarter, GoldQuest Mining (GQC.TO) released the assay results of seven holes drilled on its Tireo concessions in the Dominican Republic. It had previously made an interesting discovery on this license which was named Cachimbo and still appears to be open in all directions.
The drill holes show some interesting features as the mineralization appears to be divided into two zones; a higher grade zone which (surprisingly) is close to surface, whilst a thicker but lower grade zone could be found under these higher grade zones. Hole 50 is perhaps the best example to highlight this. In a 148 meter long interval with an average grade of 0.8 g/t gold, it discovered a shorter interval of 5 meters at 8.40 g/t gold, followed by several longer, but lower grade zones such as 20 meters at 1.74 g/t gold and almost 18 meters at 1.24 g/t gold. There are also traces of copper and zinc in every hole but with grades of less than 0.05-0.10% and less than 0.5% respectively, it doesn’t look like these base metals will add a lot of value.
As of at the end of September, Goldquest had a net cash position of almost C$24M (or almost 9 cents per share) and this puts the company in a good position to continue its exploration (and initial development) activities in the Dominican Republic.