Apollo Minerals' Exploration Update: Visible Gold Found at Salanie
AON (AON) Share Update November 2024 Wednesday 20th
Apollo Minerals Identifies Visible Gold at Salanie Gold Project
Apollo Minerals Limited (ASX: AON) has announced a significant development in its exploration activities at the Salanie Gold Project in Gabon, with the discovery of visible gold at the A1 Prospect.
Instant Summary:
- Visible gold identified at 19m depth in A1 Prospect.
- Significant quartz veining and sulphides found at P6 Prospect.
- First round of drilling completed with assays pending.
- Non-renounceable entitlements offer to raise $3.25 million.
Exploration Progress at Salanie
Apollo Minerals has completed its first round of drilling at the Salanie Gold Project in Gabon, marking a significant milestone in its exploration efforts. The company reported the discovery of visible gold at the A1 Prospect, located at a depth of 19 meters. This discovery is part of a broader 13-meter zone of quartz veining and shearing, which is believed to extend the mineral system identified in previous trenching activities.
At the P6 Prospect, a substantial quartz veining and shear system was identified, which aligns with historical high-grade underground workings that previously produced gold at an average grade of 16g/t. These findings highlight the potential of the Salanie Gold Project, which is situated within a region known for its Archean greenstone belts.
Drilling and Future Plans
The initial drilling program at Salanie included five holes totaling 328 meters. Despite challenges such as late equipment arrival and the onset of the rainy season, which limited the number of completed holes, the results are promising. Assay results for several key holes are pending and expected within 3-5 weeks.
In response to drilling challenges, Apollo Minerals is in advanced discussions with a new drilling contractor to enhance future exploration efforts. The company plans to resume drilling in 2025, focusing on further unlocking the potential of both the A1 and P6 prospects.
Financial Strategy and Entitlements Offer
To support ongoing exploration activities, Apollo Minerals has announced a non-renounceable entitlements offer to raise approximately $3.25 million. This financial move will allow the company to continue its exploration in Gabon and Serbia, ensuring that it can capitalize on the promising results from the Salanie Gold Project.
The discovery of visible gold at the Salanie Gold Project is a positive development for Apollo Minerals, potentially increasing investor interest and confidence in the company's exploration strategy. The pending assay results will be critical in determining the full extent of the mineralization and its impact on the company's valuation.
Investor Reaction:
Analysts are likely to view the visible gold discovery as a promising sign of the project's potential. However, the market will be closely watching the upcoming assay results to gauge the project's true value.
Conclusion:
Investors should keep an eye on Apollo Minerals' upcoming assay results, which will provide further insights into the potential of the Salanie Gold Project. The company's strategic financial planning and exploration efforts indicate a strong commitment to unlocking the project's value.