As Regulus Resources (REG.V) has now taken care of the community relations at its Antakori project in Peru, drill results are once again rolling in now. Of specific interest were the assay results from the new holes which were released at the end of November. Whilst a hole of almost 600 meters containing 0.35% copper, 0.24 g/t gld and almost 5.5 g/t silver is an excellent result, hole 161 was perhaps even more important.
Not only did the hole encounter thick copper-gold mineralization (323 meters at 0.52% copper and 0.15 g/t gold for a gross pre-recovery in situ value of approximately $40/t, the location of the mineralization is very intriguing as the hole was drilled almost half a kilometer away from other drill holes on the Antakori project. Needless to say this opens up an entirely new zone for resource expansion (another hole, hole 004 was drilled approximately 300 meters north of hole 161. The company is still waiting for the assay results and it should be pretty interesting to see what the company discovers theres). As a reminder, the current inferred resource estimate was completed in 2012 and contains almost 300 million tonnes in an inferred resource at an average grade of 0.48% copper and 0.36 g/t gold.
As Regulus was able to top up its cash position by almost C$4M after issuing 5.556M new shares due to the exercise of warrants priced at C$0.70, the company is in a good financial shape.