"Early signs from the newly-discovered Caribe prospect suggest that it has the size-potential we are seeking," said Dr Tim Coughlin, Royal Road’s president and chief executive officer.
The junior, along with local partner Hemco, conducted soil sampling at the project, which is located in the Golden Triangle of northeastern Nicaragua.
Samples were assayed for gold, which included an interval of 400-600 meters at 0.9 g/t gold. Additionally, 18 shafts were dug, with the highest grab rock-chip sample collected returning 3.5 g/t gold.
"Given the paucity of outcrop, depth of saprolite and intensity of weathering, it is still too early to speculate on mineralization-style and underlying gold grades,” said Coughlin.
Royal Road's exploration team discovered the Caribe project while searching for anomalies by air in February 2018.
Royal Road’s said it plans to do a ground survey and further deep auger testing.
More projects on the go
“It is worth noting that Caribe is one of several projects the exploration team is currently developing in Nicaragua which includes further targets in the Golden Triangle and the Los Andes porphyry project in the west,” said Coughlin.
Royal Road shares were down 4.3% to C$0.11 early on Tuesday afternoon.