Golden Minerals says new drill results from Rodeo expansion program show good potential to increase the life of mine

Golden Minerals Company (NYSEAMERICAN:AUMN) (TSE:AUMN) (FRA:7GB) reported initial results from its ongoing drill program at the Rodeo open pit mine in Mexico showing good grades and potential for expansion. 

Expansion drilling at the operating mine, located in Durango State, revealed positive results including 3.94 grams per ton (g/t) gold and 8 g/t silver at 14.7 metres (m), including 5.38 g/t gold and 9.8 g/t silver at 9.3m, according to a statement. 

Colorado-based Golden Minerals is drilling nearly 2,000m at near-surface targets located adjacent to Rodeo’s open pit, as well as additional near-site surface targets, in a bid to extend the mine life beyond the current two-and-a-half-year timeframe. 

READ: Golden Minerals 1Q revenue rises 25% to US$1.8M on Rodeo mine production

Other highlights from the recently released results include 2.64 g/t gold and 10.5 g/t silver at 13.75m, including 9.17 g/t gold and 18.5 g/t silver at 9.17m and 2.69 g/t gold and 26 g/t silver at 3.8m, including 3.31 g/t gold and 32.2 g/t silver at 2.35m. 

Golden Minerals CEO Warren Rehn told investors that the company was pleased with the first results, which Rehn said indicate that the company should be able to expand the currently-modelled high-grade zone to the north.

“The intercept in hole 10 is a newly discovered zone that is open up and down dip and to the northwest,” Rehn said in a statement. “These encouraging results demonstrate that the current pit can likely be expanded with additional drilling, which could lead to an increase in the life of mine.”

Golden Minerals has drilled 606m through ten holes of its expansion drilling program.

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Story by ProactiveInvestors