One hole, one high-grade hit – Conico’s onto orogenic gold in Greenland
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Conico’s final assay from its 2021 drilling at the Sortekap prospect in Greenland has returned multiple gold intercepts including a high-grade hit of 1m at 42.81g/t.
Importantly, the gold is contained in quartz veins located within amphibolite of the local Archean basement, which is interpreted to represent an orogenic style of gold mineralisation – the first time that it has been identified on the east coast of Greenland.
Similar orogenic occurrences are well known on the south coast with the historical Nalunaq Gold Mine producing over 350,000oz of gold grading an average over 15 grams per tonne.
This has given Conico Limited (ASX:CNJ) the impetus to increase its licence area on the east coast – where little to no historical exploration activities for orogenic gold have been carried out – through the application of additional adjacent ground.
Orogenic deposits are the most common source of gold in the world, responsible for more than 75% of the precious metal recovered to date.
“To obtain high-grade results in the one and only hole targeting gold from our 2021 drilling is very pleasing,” chief executive officer Thomas Abraham-James said.
“Drill-hole SODD003 was designed to target known surface occurrences of gold at depth, without the aid of geophysics.
“The result opens up the east coast of Greenland as being a prospective location for the discovery of orogenic gold, and Conico has first mover advantage.”
Besides the top gold hit that was intersected at a depth of 63m, SODD003 also hit six other significant gold intervals including 1m at 1.8g/t gold from just 12m and 1m at 2.58g/t gold from 41m.
The other two holes at the Sortekap prospect within the company’s Ryberg project targeted induced polarisation (IP) anomalies with SODD001 intersecting nickel sulphides.
Recently interpreted regional magnetic-radiometric survey has identified the presence of a significant geological structure to the south of SODD003.
This deep-seated fault with a lateral displacement of 3km to 4km and a vertical displacement of about 1km may have provided the conduit for ascending hydrothermal fluids and will be an important guide for future exploration.
This article was developed in collaboration with Conico, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.