assays fail to satisfy punters

Punt Hill assays fail to satisfy punters

Monday, 27 November 2006

THE first assay from Monax Mining's highly anticipated Punt Hill drilling program has failed to meet the market's expectations, with investors marking Monax down almost 32% in morning trade today.

Monax shares, which have enjoyed a strong upward run since the company began reporting visual mineralisation from the project in September, lost 58.5c to sit at $1.245 in morning trade. Shares in the company hit an all-time high of $1.90 last week.

Assays from the first hole drilled at Punt Hill's Whistlepig prospect returned 60m grading 0.13% copper and 0.03 gram per tonne gold from 788m depth.

Meanwhile, the company is awaiting assays from the second and third holes drilled at the project, which also reportedly intersected visible copper mineralisation.

And a sixth drill hole has been completed at the Punxsutawney Phil target, with visual inspections confirming the presence of an extensive second alteration system, according to Monax.

Punt Hill sits 130km north of Port Augusta in South Australia.

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