Rockfire suspends second hold after 'extremely difficult' drilling

(Sharecast News) - Rockfire Resources reported operational challenges at its Molaoi zinc project in Greece on Wednesday, where difficult geological conditions had forced the suspension of a second drill hole under its current resource upgrade programme. Drilling of hole HMO-009 was halted at 75 metres after encountering extensive faulting, shearing and fracturing, well above the target depth of more than 250 metres.

The AIM-traded company said the hole had been secured for redrilling later in the campaign.

It said the decision followed similar issues at hole HMO-008, although that earlier attempt intersected a mineralised lode at 69.71 metres, returning 0.2 metres at 22.2% zinc, 16.2 grams per tonne germanium, 2.9% lead and 100 grams per tonne silver.

Rockfire said it had now moved its rig to the third target, hole HMO-010, where massive sulphides were identified at 44.20 metres and drilling had reached 75.60 metres in what the company described as improved ground conditions.

Chief executive David Price said the changes were aimed at maintaining progress.

"Our second drill hole has also proved extremely difficult to drill.

"A rapid decision was made to suspend drilling of this hole and to move to the third hole for the sake of increased drilling productivity," he said.

Price added that "early signs of massive sulphide mineralisation in hole HMO-010 is pleasing," and noted that the company was seeking a second drill rig to speed up operations, expected to be available in early January.

He said Rockfire would continue to update the market as drilling proceeded.

At 1326 GMT, shares in Rockfire Resources were down 8.28% at 0.13p.

Reporting by Josh White for Sharecast.com.