Herencia Resources advances on new potential at Chile mine

Herencia Resources shares soared 23 per cent Wednesday after the mining company said it identified three untested targets on its Paguanta silver, zinc and lead project in northern Chile.

Herencia Resources shares soared 23 per cent Wednesday after the mining company said it identified three untested targets on its Paguanta silver, zinc and lead project in northern Chile.

The group found the targets following a review of collated data and a pole dipole induced polarisation (IP) survey, a method of imaging what might lie beneath the surface.

The IP data from all previous surveys covering 11.5km2 was merged with existing geological data, to produce coverage across the La Rosa prospect and Patricia mineralisation.

The review showed a broad geophysical response that trends southwards in the La Rosa area and to the south-east in the Patricia area.

It unveiled potential for an extension of the Patricia deposit and for a deeper porphyry-style mineralising system.

The company is conducting a feasibility study, reviewing open pit and underground methods for the exploitation of Patricia.

Graeme Sloan, Managing Director of Herencia said: "The IP method has proved to be extremely successful at Paguanta with excellent correlation between geophysical signatures and the known mineralisation at Patricia.

"We believe that the three new untested target areas identified all have the potential to be mineralised and could add significantly to the existing Paguanta Resource."

RD

Recommended

Three sustainable stocks that are doing well by doing good
Share tips

Three sustainable stocks that are doing well by doing good

Professional investor Peter Michaelis of the Liontrust Sustainable Investment Team picks three stocks to buy that are helping to create a cleaner, saf…
26 Jul 2021
Share tips of the week – 23 July
Share tips

Share tips of the week – 23 July

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
23 Jul 2021
Will Zoom’s $15bn purchase help it expand?
Tech stocks

Will Zoom’s $15bn purchase help it expand?

The videoconferencing platform became a household name during the pandemic, but it now needs new sources of growth. Alex Rankine reports
23 Jul 2021
Philip Morris goes “beyond nicotine”
Stocks and shares

Philip Morris goes “beyond nicotine”

US tobacco giant Philip Morris International has agreed to pay £1bn for British inhaler specialist Vectura.
23 Jul 2021

Most Popular

The MoneyWeek Podcast: Asia, financial repression and the nature of capitalism
Economy

The MoneyWeek Podcast: Asia, financial repression and the nature of capitalism

Russell Napier talks to Merryn about financial repression – or "stealing money from old people slowly" – plus how Asian capitalism is taking over in t…
16 Jul 2021
Why the UK's 2.5% inflation is a big deal
Inflation

Why the UK's 2.5% inflation is a big deal

After years of inflation being a financial-assets problem, it is now an “ordinary things” problem too, says Merryn Somerset Webb. But central banks st…
16 Jul 2021
An absurdly cheap healthcare stock to buy now
Share tips

An absurdly cheap healthcare stock to buy now

The pandemic has vastly accelerated the shift towards telehealth, making Cigna a long-term buy
20 Jul 2021