Shares of Nevada Sunrise Gold Corp (CVE:NEV) more than doubled on Thursday after the company reported that its partner, Pilot Gold (TSE:PLG), has drilled high grade gold mineralization at their Kinsley Mountain joint venture in eastern Nevada.
Pilot, the operator of the venture, said new drilling in step-out hole PK127C at the Western Flank target intersected 6.85 grams per tonne (g/t) gold over 41.7 metres, including 16.6 g/t gold over 8.5 metres and 20.5 g/t gold over 3.6 metres.
The notable intercepts are from the first two holes drilled as part of the 2014 drill program at Kinsley Mountain, with the company also reporting 1.7 g/t gold over 13.7 metres in hole PK126C, including 7.1 g/t gold over 1.5 metres.
Holes PK127C and PK126C are step out holes located about 30 metres east and 30 metres west, respectively, of hole PK91CA, which returned 8.53 g/t gold over 36.6 metres last November, the company said.
According to Pilot Gold, the latest results confirm that the newly discovered zone of high grade mineralization is open in all directions, including in areas under and to the south of the historical Kinsley mine.
Results from four additional holes are still pending, Nevada Sunrise said, adding that the Western Flank area hosts several features that are similar to the geology at the nearby Long Canyon deposit.
The Long Canyon deposit sits roughly 75 km north of Kinsley Mountain and was explored and developed by Pilot Gold's Kinsley Mountain exploration team, prior to the sale of Long Canyon to Newmont Mining (NYSE:NEM) in 2011.
Shares of Nevada Sunrise Gold rocketed 144% on Thursday to 55 Canadian cents. So far this year, the stock has almost quadrupled in price.