Reservoir Minerals Inc. has released an initial resource estimate for a high sulphidation epithermal (HSE) zone of mineralization within the Cukaru Peki copper-gold deposit at its Timok project in eastern Serbia.
The Cukaru Peki deposit is located on the Brestovac-Metovnica permit which is held by a Serbian company owned 45% by Reservoir Minerals and 55% by a subsidiary of U.S. mining giant Freeport-McMoran Copper & Gold Inc.
The National Instrument 43-101-compliant inferred resource for the HSE zone is 65.3 million tonnes at an average grade of 2.6% copper and 1.5 grams per tonne gold or 3.5% copper-equivalent, containing 3.8 billion pounds of copper and 3.1 million ounces of gold or 5.1 billion pounds of copper .
The estimate was produced by SRK Consulting (UK) Ltd., an independent mining and geological consulting company.
“The initial mineral resource estimate marks a milestone on the discovery history of the Cukaru Peki copper-gold deposit,’’ said Reservoir President and CEO Dr. Simon Ingram. “We believe that the discovery at Cukaru Peki demonstrates the potential for additional blind discoveries within the Timok Magmatic Complex,’’ he said .
The Timok project exploration permits cover an area of 245 square kilometers and are located near the world class Bor and Majdenpek high-sulphidation and porphyry copper mines.
Freeport did not participate in completion of this resource estimate and is subject to disclosure requirements that are different from Reservoir’s disclosure requirements, Reservoir said in its press release.
Reservoir shares eased 1% to $5.62 on Monday, leaving a market cap of $234.7 million, based on 41.8 million shares outstanding. The 52-week range is $5.99 and $2.14.