Gold Terra Resource Corp (TSX-V:YGT, OTCQX:YGTFF) announced that a deep drill hole targeting the Campbell Shear at the Con Mine Option (CMO) property in the Northwest Territories is progressing well at a depth of 2,265 meters, sending shares of the company more than 7% higher to C$0.08 in the early afternoon on Wednesday.
The company said drilling is estimated to intersect the Campbell Shear target at an approximate downhole depth of 2,600 meters, or approximately 600 meters below the historic Con Mine underground workings.
The aim of the deep drill hole is to confirm if the gold-rich Campbell Shear continues further than what was mined at the former Con Mine. The company aims to expand the initial Mineral Resource Estimate for the project from September 2022 of 109,000 Indicated ounces of contained gold and 432,000 Inferred ounces of contained gold between surface and 400 metres below surface along a 2-kilometer corridor of the Campbell Shear.
The deep hole will serve as a “master hole” for several more wedge holes which will test adjacent parts of the Campbell Shear without incurring additional drilling costs, Gold Terra told investors.
Highlights from the drilling to date include the identification of new gold mineralization ranging up to 13.9 grams per ton of gold over 0.60 meters in the hanging granite wall of the Con Shear.
The Con Shear was intersected further down the hole at a depth of 1,366 to 1,405 meters from the surface with anomalous gold assays of up to 0.6 grams per ton of gold over 0.6 meters.
Additionally, the hole intersected a granite from 264 meters to 1,365 meters, which contains numerous quartz veins with pyrite, arsenopyrite, stibnite, sphalerite and one occurrence of visible gold, the company reported.
Gerald Panneton, Gold Terra CEO, said the company was pleased with the “excellent” progress at the drill hole.
“The Campbell Shear target has a strike length of at least 1 kilometer, and the hole target of 600 meters the Con Mine Robertson shaft (1,900 meters depth) will open a large, under-explored area to add high-grade ounces,” Panneton said.
“Once the hole is completed, we will follow up with a strategy of selective wedge holes off this master hole GTCM24-056 as this is a cost-effective way to test the extension of the Campbell Shear zone mineralization.”
The CMO property is under option from the subsidiary of Newmont Corporation (NYSE:NEM, TSX:NGT, ASX:NEM, ETR:NMM) and can be 100% acquired by Gold Terra upon the fulfilment of certain conditions.
- Updated with share price movement -