Sam is a professional trader and the lead stock market news writer at AskTraders. After starting his career in the forex market, Sam now focuses on gold and stocks with a preference for fundamental and macroeconomic analysis.
Hummingbird Resources (LON: HUM) on Tuesday said that it was “encouraged” by the trench results received at the Tuzon Deposit at the Dugbe Gold Project in Liberia.
The AIM-listed gold oremining company released an update on the project following Pasofino Gold Ltd's results of trenching on strike from the Tuzon deposit.
Pasofino has an earn-in agreement for a 49% stake in the project, with Hummingbird maintaining a controlling interest of 51%.
The Pasofino release stated that a six-kilometre long gold in soil ‘trend' extending south-westwards ‘on-strike' from the two million ounce Tuzon deposit was recognised in January 2021.
Three ‘first pass' trenches were completed in February 2021 to test the trend, with all three returning abnormal gold results – up to 2 grammes per tonne gold in bedrock and an interval of 36 m grading 0.6 g/t.
Pasofino stated that at the west end of the trend, two trenches, dating from 2011, have not been drill-tested, despite including a best interval of 26 m grading 0.79 g/t.
The company believes the results highlight the potential for new discoveries within relative proximity to the existing deposits within a trucking distance of the planned processing plant at Tuzon.
Dan Betts, CEO of Hummingbird Resources, commented: “We are encouraged by the trench results received at the Tuzon deposit, where initial results show potential for additional discoveries close to the existing deposit.”
Hummingbird Resources share price is up 4.5% at 23.20p heading into the London close.
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