Mirasol Resources (MRZ.V) has announced an exploration update on its 100% owned Titan gold project in Chile. The company drilled 15 holes, good for a total of in excess of 3,200 meters, aimed at testing a gold oxide zone which was discovered last year during a trenching program.
The rock condition at the Titan project isn’t extremely good, as Mirasol reports one cannot fully rely on the recovery rate of the hole, as in some cases this recovery might be higher than 100% due to possible erosion caused by RC drilling. This means the reported samples might not be 100% correct and should therefore be interpreted with extreme caution.
Fourteen of the fifteen holes have intersected anomalous gold values, of which the most interesting intercepts are 44 meters at 1.21g/t and 10 meters at 3.85g/t. As this was only the first drill program on the property, we think these results are extremely encouraging and further exploration work is definitely warranted.
Mirasol is extremely well-capitalized as it has more than $20M in the treasury as well as 1.31M shares in Coeur Mining (NYSE:CDE, CDM.TO) for a total value of in excess of $35M.
Disclosure: The author holds no position in Mirasol Resources but might initiate one as the company’s enterprise value is close to zero. Please see our disclaimer for current positions.