A 10-hole diamond drilling campaign at the Dimbi Zone of the Yandera copper-molybdenum-gold project kicked off last month, with three holes now completed and a fourth in progress.
The first batch of assay results shows a broad zone of mineralisation with significant intersections of molybdenum and gold.
Assays include a 150m intersection grading 65 parts per million of molybdenum with a peak intersection grading 398ppm.
A further 21m section graded 0.22 grams per tonne gold, with a peak result of 3m at 0.58g/t Au.
The drilling program is hoped to identify near-surface resources with the potential to delineate a starter pit for the Yandera mining operation which could enhance the project.
Marengo president and CEO Les Emery said he was pleased and encouraged by the early results from Dimbi.
"This is a significant result for Yandera, providing strong early encouragement that the current drilling campaign can outline an extensive near-surface zone of higher grade material at Dimbi - with important strategic implications for the overall Yandera development," he added.
"Dimbi has received relatively less attention as an exploration target in the past compared with the other zones which make up the Yandera Central Porphyry, mainly because of the challenging terrain in this area.
"The drilling so far has confirmed the very encouraging results from detailed tape and compass-based field mapping carried out earlier this year over the Dimbi Zone and gives us confidence that the program is appropriately targeted and represents the right strategy for the Yandera Project at this time.
"We look forward to receiving further results from the current drilling campaign over the coming weeks and months."