June 18 (SeeNews) - Canadian mineral exploration and development company Velocity Minerals said on Tuesday that drill results from a further 12 holes at the Rozino gold deposit in southeast Bulgaria have continued to intersect multiple broad intervals of near surface gold mineralization.
"The current infill and expansion drill program continues to expand and extend potentially open-pittable mineralization as currently defined in the Company’s NI 43-101 September 2018 Preliminary Economic Assessment (PEA)," Velocity Minerals said in a statement.
Expansion drilling returned good results and continuity beyond PEA base case pit design, the company noted.
Due to the ongoing positive drill results Velocity is mobilising a third drill rig to site, which is expected to arrive before the end of June.
Last month, Velocity said that it has received positive results from this year's initial 11 drill holes at the Rozino gold deposit.
Velocity's 2019 drill programme at Rozino envisages a total of 12,000 m to 14,000 m of drilling, which will include exploration drilling to expand the resource base, as well as resource definition and infill drilling. The programme also envisages an additional 1,000 m of drilling regionally to begin testing structural targets located close to the Rozino deposit.
In March, Velocity Minerals closed a 9 million Canadian dollars ($6.8 million/6.0 million euro) strategic investment with Atlantic Gold Corporation and its unit 1193490 B.C. Ltd, with the proceeds to be used to fund the advancement of the Rozino gold project.
Velocity Minerals completed the acquisition of 70% interest in Bulgaria's Tintyava Property, which holds the Rozino gold deposit, from Gorubso-Kardzhali earlier this year, through delivery of a PEA. Velocity Minerals also has option agreements with Gorubso-Kardzhali to earn 70% stakes in the 388-hectare Momchil property in southeast Bulgaria, which includes the Obichnik gold project, and the 194-hectare Nadezhda property, which holds the Makendontsi gold project.
(1 euro = 1.51 Canadian dollars)