Gold miner Medusa Mining (ASX:MML) reckons its Guinhalinan prospect in the Philippines is a "major regionally significant" target.
It comes after the group said it had defined a "major corridor" of soil anomalies at the site.
These occur over a strike of around 5km, which are open to the south over a width of up to 2km.
Outcropping mineralisation has been found at numerous locations and verified by previous drilling.
Geoff Davis, chief executive, told investors: "At this early stage, we view the Guinhalinan prospect as a major regionally significant exploration target with potential to rival the 'open in all directions' 1.14mln ounce Bananghilig mineralised system immediately to the north.
"Mineralisation in more than one horizon was verified in drill holes in 2010-11 by the company, so we know there is below-surface substance to the soil anomolies.
"Once we have completed the Bananghilig program of re-interpretation and associated works, exploration activity will increase at Guinhalinan particularly in the drier season from around April to define drill targets."
The prospect is subject to a mines operating agreement with Das-Agan Mining Corp, who will receive a 3% gross royalty on all production.
In 2009-2010 the firm undertook a limited program of trenching and diamond drilling when looking for further high grade material for its Co-O mine mill.
Four holes in 2009 struck grades including 7.3 metres at 2.72 grams per tonne (g/t) from 22.6m, 8.15m at 1.3 g/t gold from 27.55 metres.
