Alba Mineral Resources (LSE:ALBA) released an update on progress with its mining projects on Monday. The firm has mining assets in Wales, Ireland and Greenland, as well as interests in the Horse Hill and Brockholm oil and gas projects
In Wales, Alba is focussed on developing its 90pc owned Clogau Gold Project. The project is located in the Dolgellau Gold Belt, the most prolific gold producing region of the United Kingdom. Despite this accolade, the area is considered underexplored in terms of using modern methods of exploration.
Last year, the company carried out a geochemical soil sampling programme of the Clogau Gold Project. Alba plans to extend the programme in 2019 to cover selected areas of the Dolgellau Gold Belt not yet explored with modern techniques. The company says it will collect an initial 1200 soil samples in phase one - increasing to 3,000 samples later in the year – in the hope of identifying additional significant gold deposits within the license area. Phase one is expected to take 12 weeks to complete, after which samples will be sent to an accredited laboratory for assaying.
Alongside it’s exploration efforts, Alba is looking to bring an inactive mine situated in its license area back into production. Much of the gold extracted historically in the region was from the Clogau St David’s Gold Mine. Alba is currently undergoing environmental baseline studies ahead of submitting a planning application for the re-opening of the Mine. The firm is also in the process of finalising a detailed exploration work programme at the mine in order to identify unworked gold veins and gold-bearing structures.
Alba's Executive Chairman, George Frangeskides, commented: “[The extensive regional exploration programme] will involve the collection of up to 3000 samples covering about 50 per cent of the total extent of the Gold Belt, which runs to some 30 km in a straight line. By the use of systematic, modern exploration techniques, our objective is to unearth one or more gold deposits to rival the Clogau-St Davids Mine."
In Ireland, Alba owns a base metals project in the Limerick Basin with identified Zinc-Lead targets. The area is highly prospective for zinc, lead and silver and is only 10 km away from, and part of, the same target unit as the Pallas Green zinc discovery. The company is poised to commence a drilling campaign at the Limerick Base Metals Project just before summer. The firm is waiting on a water discharge permit which is the final approval required.
Alba holds a number of licences in Greenland. Analysis of samples taken in the 2018 drilling campaign at the Thule Black Sands project is underway. The company is developing a geological model for the project and is planning further mapping and drilling in 2019. Meanwhile, the company reports its 90% owned Amitsoq Graphite project in southern Greenland is drill-ready. Alba is currently discussing the potential of a strategic or joint venture with interested parties.
Frangeskides, commenting on Greenland, said: “Our ongoing work [in Greenland], both out in the field and in the close season, has enabled us to hone our licences to cover the key targets and deposit areas, so that our exploration spend is directed in a way that we feel will add the most value to Alba and to our shareholders. We remain very positive about all of our Greenland projects, and intend to continue to be one of the prime movers and explorers in that vast, minerals-rich country."
"I look forward to providing shareholders with further updates as our work progresses."
Author: Stuart Langelaan
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