Blackrock Gold Corp (CVE:BRC) revealed a good start to drilling at the Silver Cloud project in Nevada, USA with the first diamond hole hitting "an intensely silicified interval", it told investors Thursday.
The fully financed 2,000-metre program includes four holes planned to follow up on past high-grade intercepts reported by Teck Resources Limited (NYSE:TECK), including 158 g/t gold over 1.5 m, and by Placer Dome, which found 5.5 g/t of the yellow metal over 12 m.
"The first hole (SBC19-001) drilled at Silver Cloud in over 15 years has intercepted an intensely silicified interval with up to 10% sulphide in a strongly altered porphyry intrusive," William Howald, executive chairman of Blackrock, said.
"Placer Dome previously intersected high-grade gold, including 1.5 metres grading 12.5 g/t gold, from a similar altered porphyry unit at the Northwest Canyon Target located 1.5 kilometres to the west."
A second hole is currently being drilled in this area, he added.
"Naturally, this is a very encouraging result and supports our view that a high-grade gold deposit may exist at depth at Silver Cloud."
"We look forward to the drill results from Hole SBC19-001 as we continue to make good progress towards completing the additional three holes that are planned as part of this drill campaign."
Drilling at the Silver Cloud mine area kicked off on October 5 this year, with hole SBC19-001 completed to 470 metres on October 15.
Silver Cloud lays directly adjacent to Hecla Mining Company's (NYSE:HL) Hollister mine and is a former Teck and Placer Dome project where limited drilling between 2000 and 2003 yielded multiple high-grade intercepts at both the Silver Cloud mine and Northwest Canyon targets.
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