Red 5 Limited (ASX:RED)
has attained positive results from recent geotechnical drilling at its Siana gold project, located on the island of Mindanao in the Philippines.
The company said Assay results support the proposed transition to underground mining.
The gold producer also advised the results indicate potential for a copper porphyry system at depth.
Red 5 Managing Director, Mark Williams said the feedback supports the company’s strategy to establish a long-term underground mining operation in the region beyond the existing open pit phase of operations.
Red 5 recorded a net loss of $60.3 million at 30 June 2015.