Pure Gold Mining Inc (CVE:PGM) (LON:PUR) (OTCMKTS:LRTNF) reported more positive news Tuesday as it revealed latest surface drilling at the Madsen Red Lake project had resulted in several bonanza grade gold finds.
The Ontario-focused mine developer said assays at the project included an impressive 108.5 grams per ton 9g/t) of the precious metal over one meter from one hole, while another hole threw up 94.6 g/t gold - also over one meter.
The firm said the drilling, which is at the Wedge deposit, underlines the potential for these zones to continue to grow, with gold intercepts returned both up-and down-plunge of the current resource at the property.
"This first round of results continues to demonstrate the continuity of our geological model and has reinforced the high grade nature of both the Wedge deposit and the broader Madsen gold system as a whole," Darin Labrenz, Pure Gold's chief executive told investors.
"In less than two years, we have made a new discovery at Wedge, established it firmly as part of a related, five kilometer long gold system and have rapidly developed a brand new mineral resource in the Red Lake mining district.
"With this understanding of the scale and tenor of gold mineralization firmly established, we are now drilling to expand and define this extensive gold system.”
The Wedge deposit already boasts a current higher confidence indicated resource of 107,000 ounces of gold at 10.3 g/t gold, from 322,000 tonnes, and an inferred resource of 79,000 ounces of gold at 8.0 g/t gold, from 307,000 tonnes.
This year's exploration program is designed to focus on Wedge and along strike extensions in a bid to increase that resource.
Previous Wedge intercepts have included 354 g/t gold over one meter, and 33.3 g/t over 8.3 meters.
Plans to test Fork EXT target
As well as ongoing exploration at Wedge, the current 12,000m drilling campaign also includes initial testing of the Fork EXT target, which lies down-plunge of the near-surface Fork deposit and hosts strong alteration, blue-grey quartz veins, and anomalous gold in limited past drill testing.
The Fork EXT target is hosted along the upper contact of the Russet Lake Ultramafic unit in an analogous geologic setting to the high grade 8 Zone of the Madsen deposit.
This year's exploration will also continue surface work to prepare a further 24 current high priority exploration targets across the whole Madsen property for future discovery drilling.
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