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.
Oracle Power (LON: ORCP) shares are down on Wednesday despite the positive update on its Northern Zone Gold Project in Western Australia.
Oracle said it has now completed the processing and interpretation of the available magnetic and induced polarisation (IP) geophysical datasets and the gold mineralisation identified to date are associated with felsic intrusive bodies.
“Interpretation of IP geophysics has determined there is a strong correlation between previous drilling and IP chargeability anomalies,” Oracle stated.
“Targeting based on the IP inversion conducted has revealed undrilled targets and potential for mineralisation down-dip of drill defined targets,” the company added.
The northern Zone Gold Projected is located approximately 25km east of Kalgoorlie, the location of the second largest gold mine in Austalia.
“The processing of magnetics and IP geophysical data across the Northern Zone has provided us with a direct target model for further drilling to be undertaken. We are strongly encouraged by the IP chargeability anomalies, which are yet to be drill tested,” commented Naheed Memon, CEO of Oracle.
“In addition, down-dip extensions to known mineralisation have been identified and remain as high priority drill targets. Our next phase of activities will involve detailed modelling of previous drilling results, with the aim of defining a comprehensive geological model to target further drilling,” Memon continued.
Despite the seemingly positive update, Oracle Power shares are down 4.35% at 0.55p after initially climbing to highs of 0.63p.
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