- Crater Gold Mining (CGN) has posted assay results from the company’s troubled drilling program at its Croydon project in North Queensland
- The company only drilled two holes out of a planned three at the project, as the looming wet season caused them to curtail the third hole before drilling began
- Even so, Crater did not detect mineralization in either of the two holes it did drill at the site
- The lack of results has caused the company to re-evaluate the exploration techniques it has been using on the site
- Crater Gold Mining shares are down 11.1 per cent on the market today, trading for 0.8 cents per share
Crater Gold Mining (CGN) has posted assay results from the company’s troubled drilling program at its Croydon project in North Queensland.
Two holes were drilled in November last year, to test priority anomaly targets the company spotted during a prior hydrocarbon soil sampling program.
Despite the activity, the program did not exactly go according to plan.
Crater had planned to drill a third hole, but ultimately decided against it as the approaching wet season in North Queensland increased chances of a rainout at the site.
Each of the two holes the company did drill at Croydon were scheduled to hit some 450 metres downhole, but both were terminated early after failing to find sulphide veins.
Crater said this was despite the drills intercepting dark grey shale and grey siltstone, which would normally suggest the presence of mineralization.
The company has dialled up a follow-up program for the dry season at Croydon, but that has been delayed due to coronavirus restrictions.
As a result, Crater says future drilling will focus on in-filling the existing areas where mineralisation has been identified. The company says it found a hydrothermal system at least 2000 metres long and up to 1250 metres wide at Croydon.
However, the significantly mineralised section of the system appears to be contained to the 1250-metre by 600-metre area the company drilled in 2006 and 2007.
The lack of results from the drill program has cast doubts within Crater about the suitability of the hydrocarbon soil sampling program conducted on the site.
Further to this, the company is re-evaluating the other exploration techniques used at the site, including aero magnetics, ground magnetics and IP surveys.
Crater Gold Mining shares are down 11.1 per cent on the market this morning, trading for 0.8 cents per share.