Ivanhoe Mines has drilled what it's calling an "unprecedented" intersection in a shallow, flat lying deposit at the Kamoa North exploration area on its 397 sq. km Kamoa-Kakula mining license.
The company cut 13.05% copper over 22.25 metres from 219 metres downhole at a 2% copper cut off grade in a deposit that begins 190 metres below surface. At a 5% copper cut off grade, the intersection cut 15.92% copper over 17 metres and at a 1% copper cut off grade it cut 10.29% copper over 29 metres.
Ivanhoe drilled that hole 18 km north of the Kamoa-Kakula's planned initial mine at its Kakula deposit.
The hole was one of 22 holes the company recently drilled at Kamoa North. Other highlights include: 5.87% copper over 7 metres from 234 metres downhole and 6.17% copper over 3.47 metres from 217 metres downhole.
The company is currently drilling close-spaced holes at the new discovery to better understand its controls and orientation. Ivanhoe is also nearly finished a pre-feasibility study for its 6 million tonne per year Kakula copper mine as well as an updated resource estimate for the project.
The combined Kamoa-Kakula copper project contains 1.34 billion indicated tonnes grading 2.72% copper for 80.7 billion lb. copper as well as 315 million inferred tonnes at 1.87% copper for 13 billion lb. copper.
Shares of Ivanhoe (TSX: IVN; US-OTC: IVPAF) are currently trading at $2.50 with a 52-week range of $2 to $4.05. The company has a $2.5 billion market capitalization.
(This story first appeared at The Northern Miner.)