Nearology! E2 just found surface gold and silver 20km from AngloGold’s giant Argentina mine
The E2 Metals’ share price is at 10-month highs after the explorer found super high-grade surface samples from a gold and silver project in Argentina.
Rock chip sampling yielded grades of up to 7.46 grams per tonne gold and 7510 grams per tonne silver at E2’s (ASX:E2M) Veta Blanca prospect, just 20km from the mammoth Cerro Vanguardia mine owned by AngloGold Ashanti.
The stock was up 20 per cent to an intraday high of 12c.
E2 managing director Todd Williams said the results were “highly encouraging” and confirmed the prospectivity of the newly acquired project.
“These results provide the foundation of what will be a busy quarter as we prepare this project for drilling in the second half of the 2019,” he said.
The company has hired a geophysical contractor and will commence a gradient array and Induced Polarisation (IP) survey in the second half of February.
It’s been an eventful period for the micro-cap.
E2 tried to buy a cobalt and nickel project in New South Wales in the latter half of last year, but was forced to drop the deal because of the falling cobalt price and softening in sentiment.
By December the company had also decided to exit its flagship Neavesville gold and silver project in New Zealand because of “significant uncertainty” regarding exploration and mining in the region.
Then last week, two investors bought nearly 30 per cent of the explorer.
Substantial shareholder notices were released after market close last Friday, showing that Gregory Williams had bought 19.4 per cent, while Martin Donohue had taken a 9.2 per cent stake.
Collectively the two men sunk $1m into E2, which has a market cap of about $5.2m.