KMC Serbia project is interpreted as a large magmatic-hydrothermal system with multiple zones of gold, copper, and base-metal mineralisation.
The emphasis on organic growth within Europe is in keeping with its recent move away from a previous production stronghold in China, in preference for operations in central and eastern Europe, namely Greece, Romania and Turkey.
The first 11 holes for the 2016 KMC programme targeted three areas – Shanac, Copper Canyon and Gradina – within the holding, which sits along a trend recognised as highly prospective for porphyry deposits, largely copper-gold.
Standout intercepts across the three prospects were 298m grading 0.74g/t Au and 0.14% Cu (including 46.5m grading 2.16g/t Au and 0.29% Cu) associated with polymetallic magnetite skarn at Shanac; 41m grading 1.35g/t Au and 0.87% Cu, and 52.3m grading 2.95g/t Au at Copper Canyon; and 45.5m grading 1.48g/t Au at Gradina.
Eldorado vice president of exploration, Peter Lewis, said results so far confirmed the “outstanding potential” at KMC.
“After a systematic analysis of historic exploration data including relogging of all previous drill core, reprocessing geophysical data, and geological modelling we have commenced testing extensions to previous high-grade intercepts and have defined new drill targets,” he said.
“Based on initial results, we have budgeted an additional 7,500m of drilling for 2016, and have added a fourth drill rig to the programme.”
KMC is interpreted as a large magmatic-hydrothermal system with multiple zones of gold, copper, and base-metal mineralisation.
There is also prograde and retrograde skarn in limestones across the region, seemingly altered by Tertiary-age dykes and plugs. An epithermal-style alteration and mineralisation overprints skarn and in many cases extends upward into an overlying volcanics.
Work completed before Eldorado got its hands on the ground included 30,000m of drilling to test geochemical and geophysical anomalies, and has identified both narrow, high-grade gold zones and broader areas of lower-grade mineralisation.
Eldorado’s work on the project started with a comprehensive re-interpretation and integration of historical exploration data, which defined stand-alone drill targets previously unknown, as well as potential extensions to known mineralised zones.
Drilling this year has focused exclusively on Shanac, Copper Canyon and Gradina zones as well as multiple holes to see if the Copper Canyon and Gradina mineralised zones are actually one mineralised deposit.
Epithermal targets between Copper Canyon and Shanac offered hope those two deposits were also linked but so far nothing of significance has been returned.