Why Oar Resources Share Price is up More Than 6% Today (ASX:OAR)
The Oar Resources Ltd [ASX:OAR] share price is up 6.25% today, with shares trading at 1.7 cents at time of writing.
Oar Resources is an ASX-listed precious metals explorer. They have 100% of the Alpine Resources gold exploration project in Nevada, US, and own 100% of Australian Precious Minerals Pty Ltd, which holds the Crown Project in Western Australia. Through their fully owned subsidiary Lymex Tenements Pty Ltd, Oar Resources also holds some tenements on the South Australian Eyre Peninsula.
Why is Oar Resources up today?
Oar Resources said that follow-up and extensional air-core drilling at their Gibraltar Halloysite-Kaolin in underway. The project is located in South Australia, next to the Mt Hope Kaolin-Halloysite Project.
Oar Resources will begin with 47 holes for 2,500m of drilling, on a 400 x 400 grid pattern. They are focusing their drilling test area about 3.5km to the north of where the company did some air-core drilling before that confirmed the existence of high-grade halloysite mineralisation.
Tony Greenway, Oar Resources GM of exploration said:
‘We are excited to be back drilling at our Gibraltar Project to follow up on our initial success, which confirmed the presence of high-grade halloysite on the Project. Our initial drilling highlighted multiple halloysite pods within the kaolinite clays, with our highest-grade result of 20% halloysite occurring at the end of a line of drilling.
‘This current program is designed to significantly extend drilling to the north, where we are looking to both expand the known halloysite pods; and identify areas of more felsic basement material, which have a lower mafic component and should result in the development of a brighter white kaolinitic saprolite. With the Eyre Peninsula covered with a calcrete cap and very little to no outcropping basement, we must complete our systematic drilling to understand the underlying geology.’
What could happen next to the OAR share price?
Depending on their observations and what they find, the company may decide to do more infill drilling on 200m spacing. This is something Oar Resources can do under their current drilling approvals.
They’ve also submitted applications for more drilling to the south, west and east of the air-core drilling they did in 2020 where they plan to do similar drilling.
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