The diamond drilling program, which will test three specific targets by drilling a total of 3,000m, is slated to commence in April 2012.
California Gold controls two mining concessions of the AuroTellurio project with a total area of 76sq km.
California Gold’s La Viuda mining concession is 1.2km south of Minera TelOro-owned La Bambolla mine, which is well-known for its historical deposits of gold-tellurium-rich ores.
La Viuda 1, a much larger mining concession surrounds the La Bambolla mine as well as the La Viuda concession.
The AuroTellurio project has three drilling targets within California Gold’s mining concessions, which include Target 1, tellurium-gold mineralization; the La Viuda Target for precious metal and tellurium mineralization in highly siliceous veins; and a deep-seated mineralized target associated with an igneous intrusive.
California Gold has programmed two initial 400m core holes for Target 1, which is about 2km south east of the La Bambolla mine and consists of gold-tellurium mineralization emplaced along the southeasterly extension of the mineralized vein system that exists at the mine.
The La Viuda target area will see drilling of two additional holes to test precious metal mineralization, principally silver, and the possibility of gold-tellurium mineralization at depth.
CalGold’s third target is located at estimated depths in the 400m range and is projected to be a large-tonnage, porphyry-type deposit associated with a potential intrusive at depth.
This target, Las Milpas, is visualized to be a large mineral deposit associated with this deep-seated igneous intrusion, and two drill holes of 700m each separated by a distance of about 1km have been programmed to test this deep target.
