On a morning when markets are down across the board, smart money is moving into GoldQuest Mining (GQC, TSX-V) which put out news this morning suggesting its Romero discovery – so far at least – is showing signs of being a flat-lying deposit (which would greatly increase the tonnage possibilities) after completion of the first few step-out holes.
“Initial interpretation of the mineralization intercepted to date of holes LTP 90, LTP 92, LTP 93 and the incomplete LTP 94 at Romero indicates that the contact between the upper, weakly silicified, low copper zone and the lower, strongly silicified, higher copper zone is subhorizontal, with possibly a gentle dip to the north of less than 10 degrees.”
In layman’s terms, this is what GoldQuest was hoping for on these step-out holes following the discovery hole that was reported in May. The combination of thickness and grade could make for a large deposit at Romero, and in these early stages – in the holes that have been drilled up to this point – this has the look of a flat-lying system. Much more drilling obviously is required, and assay results from the above-mentioned holes are pending.
GoldQuest has responded well to the news…as of 7:50 am Pacific, the stock is up a dime at 77 cents on total volume (all exchanges) of nearly a million shares. The company also announced a second rig has been added at Romero, and a third one is on the way. Still very speculative, but based on this morning’s news this could easily get a lot more interesting. Below is an updated GQC chart from John.