Oriole Resources (LON: ORR) shares are rallying after it revealed that its joint venture partner, IAMGOLD, has commenced its Year 4 exploration programme at the Senala Project in Senegal.
Oriole Resources share price is currently trading over 15.6% above Tuesday's close at 0.95p.
IAMGOLD's programme will comprise 11,000 metres of reverse circulation and diamond drilling at the Faré and Madina Bafé prospects. The results from the first phase of the exploration programme, focusing on the Faré prospect, are expected in Q3 2021.
Oriole believes the Faré prospect has the potential to be a standalone deposit. Drilling has been completed for 609 metres in two holes with a planned 5,000 m of reverse circulation drilling for 42 holes is now underway to focus on the strongest anomalies.
Completion of both programmes is anticipated by the end of Q2 2021.
IAMGOLD has the option to spend up to US$8 million to earn a 70% interest in the Senala Project.
Oriole Resources CEO, Tim Livesey, said: “We are very pleased to see the drill programme underway at Faré, where we had previously had our own successful intersections including 20 m grading 31.13 g/t Au and 59.60 m grading 2.20 g/t Au. We look forward to seeing the results in due course on this potential standalone mine target area.
“In addition to Faré, we take IAMGOLD's confirmation of advanced preparation for the drilling programme at Madina Bafé as a positive sign. This programme will follow on from earlier work carried out there by IAMGOLD in 2018/19.”
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