Federal City High Grade DiscoveryFederal City adjacent to its open pit was first driled by MMY in 2014 ( reported in 2015 ).
They had some excellent intercepts including 11 meters at 14.7 gms per ton along with frequent lower grade intercepts almost all of which were 60 m or less.
In chart below, the red circles represent drill holes with > than 0.5 gms per ton.
This chart makes obvious that there is widespread desiminated and high grade gold around Federal City pit.
MMY driled a few holes there in 2018 and also found high grades at shallow depths.
What they had discovered were veins cross cutting the fault at sub vertical angles, surrounded with lower grade halos.
At that point, they had no clear understanding of how this was occurring.
Since then, they have a new 3D geologic model which presumably can provide a clear understanding of the placing and orientatin of the source rock.
Federal City I presume will be part of the phase 2 drilling.
Its posssible that the source rock for Federal pit may have been dispalced by ancient rivers or by earthquake upheavals.
What it does provide is the higher probability that further drilling, now more focussed, could delineate a signiifcant new oxide discovery tethered to its high grade basement rock
