LONDON (SHARECAST) - AIM-listed gold miner Stratex International said that drilling results from a mine in Ethiopia have the potential for “bonanza grades veins”, sending shares higher on Tuesday.

A high grade intersection of 19.50g per tonne (g/t) of gold (Au) was seen in hole MG-DD-12 at its Megenta hot spring epithermal gold discovery in the Afar region of the country.

"The 3,000 metre drilling programme has been successful, yielding significant results which confirm Megenta as a large new gold system in the emerging Afar epithermal gold region,” said the company’s executive director of East Africa, David Hall.

"From the latest assays received, hole MG-DD-12 in the Hyena Zone at Megenta has the potential to be the "discovery hole". The high-grade result has been taken from a 0.70 metre-wide sample that includes a 0.25 metre vein within brecciated basalt, which indicates that the vein could contain bonanza grades higher than 19.50 g/t,” Hall said.

Shares were 1.43% up at 8.88p by 15:15.

BC