Southern Arc Minerals Inc. is pleased to provide an update on its strategic investment in Tethyan Resources PLC. Tethyan has announced the results of the remaining 3 drill holes following the completion of its 4 diamond drill hole programme at the Rudnitza copper-gold porphyry prospect within the Suva Ruda exploration permit in Serbia.
These three additional drill holes have significantly expanded the footprint of copper-gold porphyry-style mineralisation at Tethyan’s Rudnitza prospect, which had previously been identified in RDD-001. This drill hole intersected 567 metres at 0.28 % copper and 0.45 g/t gold, as previously announced by Tethyan on January 16, 2017.
The latest drilling has expanded the size of mineralisation identified to an area of at least 300 metres by 200 metres horizontally and up to 500 metres vertically. This drilled zone of mineralisation is contained in a much larger intensively altered volcanic sequence with anomalous copper, gold and molybdenum in soils which extends for up to 1500 metres in a north-south direction and 500 metres east-west.
All drill holes intersected a thick package of dacitic volcanic rocks showing strong phyllic and propylitic alteration with extensive zones of thin quartz-pyrite±chalcopyrite±chalcocite veining and stockwork.
Supergene enrichment has produced a higher-grade chalcocite rich copper zone observed in three of the drill holes that is in excess of 1 % copper. Drill Hole RDD-004 intersected 30 metres at 1.45 % copper, 0.39 g/t gold from 102 metres. Copper grades are generally seen to be lower in the leached zone above this supergene zone however gold mineralisation was encountered from surface. Beneath the supergene zone gold and copper grades are generally consistent over large intervals exceeding 200 metres.
Tethyan holds an option to purchase 100% of the Suva Ruda permit from local Serbian company Deep Research d.o.o. who acquired the permit in late 2015, as announced on 27 September 2016.
Tethyan has completed a ground magnetics survey and is planning an extensive induced polarization geophysical survey over this area to target further drilling. A second program of drilling is planned for the second half of 2017 following processing and interpretation of the geophysical surveys.
Southern Arc owns 43,653,966 ordinary shares of Tethyan which it purchased at a price of C$0.036 per share. Southern Arc has a first right of refusal on any further fundraisings undertaken by Tethyan for a period of two years to enable the Company to maintain its interest at 29.9% of Tethyan’s issued share capital. John Proust and Dr. Mike Andrews are members of the Tethyan’s board of directors.