Mawson Resources Ltd (TSE:MAW) (OTCMKTS:MWSNF) reported its best drill intersection so far from the South Palokas prospect at its giant Rajapalot project in northern Finland.
The firm is in the midst of a 15,000 metre drill program at the project and this hole was an 80 metre step out, which showed 8 metres at 7.9 grams per ton (g/t) of gold from 303 metres.
Rajapalot is currently the subject of resource expansion work ahead of an updated resource estimate, earmarked for the end of the third quarter, 2020.
READ: Mawson Resources diversifies into Australia and adds high quality gold assets to its portfolio
Five diamond drill rigs tested the Palokas, South Palokas and Raja prospects, and a total of 16 holes, for 5,520 metres have so far been completed, the Vancouver-based firm said in a statement.
"Each new drill program we have undertaken at Rajapalot sets new highs for discovery, this time delivering the best gold intersection recorded at South Palokas," said Mike Hudson, chairman and CEO at Mawson.
"These drill results continue to significantly extend mineralization beyond the Palokas and South Palokas inferred resource areas, while a large step out at Palokas has shown the mineralized system extends for more than 600 metres down plunge from surface."
Other highlights from the Palokas prospect reported today included an intercept of 7.6 metres at a grade of 1.6 g/t gold from 150.8 metres and one metre at 28 g/t gold from 262.2 metres.
It's a busy spell for Mawson. Last week, it unveiled a deal, which involves the acquisition of three high-grade gold assets in the Victoria goldfields of Australia and become a cornerstone investor in major landholder Nagambie Resources Ltd (ASX:NAG).
The new opportunity gives Mawson the outright purchase and joint venture of three high-grade, Fosterville-style (shallow-orogenic or epizonal) exploration projects with numerous historic mines, that lack drill testing to depth.
It also provides the firm with the right of first refusal on one of the largest land packages of high priority exploration ground in the Australian state.
Nagambie and Mawson have signed three binding letters and definitive agreements are targeted for on or before March 10, this year.
Mawson shares added 1.82% to C$0.28 in Toronto.
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