Palamina (TSXV: PA; US-OTC: PLMNF) is continuing to expand the Veta gold zone at its Coasa gold project in south eastern Peru.
The company discovered high-grade gold at surface at Veta when it channel sampled 19.6 grams gold per tonne over 1.8 metres and 103 grams gold over 0.9 metre. Follow-up rock-chip sampling graded as high as 620 grams gold. The work expanded the zone of surface gold mineralization to 400,000 sq. metres.
A larger, 0.9 sq. km prospective area hosts the Veta anomaly. That area consists of folded shear zones containing less folded fault-shear structures that introduce sub-parallel aligned, as well as transversally aligned, swarms of gray-white quartz veins, veinlets and micro-veinlets. The company has identified four native gold hosting structures.
The latest results come from the company's August field campaign, where it collected 176 geochemical samples featuring 155 continuous channel samples between 0.9 and 4.5 metres. The company says 15% of its samples graded at least 1 gram gold and 3% graded at least 10 grams gold, while 64% graded 0.1 gram gold.
Palamina is halfway through an airborne geophysical survey at Coasa. It will also fly the survey over its Gaban and Cori gold projects, part of the same Puno Orogenic gold belt in southeastern Peru. Both projects sit within 100 km of Coasa.
The company has five district scale exploration projects in the gold belt. It's focussed on Gaban and Coasa.
Shares of Palamina are currently trading at 34 ? with a 52-week range of 16 ? to 47 ?. The company has a $9 million market capitalization.