Erdene Resource Development (TSX:ERD, StockForum), a Halifax-based company engaged in the exploration and development of mineral deposits such as gold, copper, molybdenum, coal and industrial minerals, announced today that the company had made a new gold discovery at Altan Nar gold-polymetallic project in southwest Mongolia.
After the second phase of trenching finished in the fourth quarter, Erdene had results for an additional 11 of the 28 trenches with results from the first four being reported on November 18, 2013.
This round of trenching returned with 38 metres of 1.6 g/t over 4 metres and resulted in multiple new gold zones being verified.
According to the news release, “Samples from the final thirteen trenches over the central Altan Nar prospect area have been submitted to SGS laboratories with results anticipated during first quarter 2014.”
It went on to explain, “The objective of the trenching program is to further define the near-surface mineralization identified to date, improve the understanding of the gold mineralized system and prioritize new areas for the next phase of resource drilling.”
Then detailed further, “The exploration data generated by this program will also be used to develop conceptual plans for initial open pit development.”
And concluded, “These trench results, in conjunction with previous drill results, indicate the presence of a potential shallow, large, bulk-tonnage, gold-silver-lead-zinc mineralized system.”
Erdene was in the news recently when the company initially finished second phase trenching at Altan Nar.
Shares were down 21.05% on the news to $0.075 per share.
Currently there are 68,621,503 shares outstanding with a market cap of $5.15 million.