RNC Minerals (TSX:RNC) shares jumped on Monday after it announced the strike length of its gold structure at the Father's Day Vein in the Beta Hunt Mine in Australia doubled to around 10 meters.
An updated estimate of ounces from the vein is expected to be provided later this week after final outturns from last week's shipments to the Perth Mint have been received and initial estimates from the recovery and shipment of coarse gold and specimen stones from the most recent development are completed.
The final numbers from this most recent development should be known within 2 weeks once all processing by the Perth Mint has been completed. The discovery was made on Father's Day in Australia, thus the given name.
"The Father's Day Vein delivers additional gold and cash flow from this further extension," said RNC president and chief executive Mark Selby.
Shares of RNC Minerals in Toronto were up 35.7% at C$0.38, having hit a session peak and 52-week high at C$0.40
RNC is the first owner of the Beta Hunt Mine to focus on drilling deeper in the Lunnon Basalt in its search for gold, and therefore the first owner to discover and mine gold from newly discovered coarse gold located entirely within the Lunnon Basalt.
Previous bonanza grade specimen stone occurrences at Beta Hunt were associated with the nickel-sulphide bearing contact between the Lunnon Basalt and the overlying Kambalda Komatiite in western Australia where nickel mining has been the focus of RNC and previous operators.
RNC is a mineral resource company with a portfolio of gold production and nickel and cobalt assets, and exploration properties.
RNC has a 100% interest in the producing Beta Hunt gold and nickel mine located in Western Australia where a significant high grade gold discovery was recently made. RNC also has a 28% interest in a nickel joint venture that owns the Dumont Nickel-Cobalt Project located in the Abitibi region of Quebec which contains the second largest nickel reserve and eighth largest cobalt reserve in the world.
The company is based in Toronto, Canada.