Newrange Gold Corp (CVE:NRG) (OTCMKTS:NRGOF) (FRA:X6C) has announced that line cutting, the first step of exploration, has begun at its North Birch Project east of Red Lake, Ontario.
An Induced Polarization (IP) geophysical survey comprising approximately 90 line kilometres will follow within about 10-14 days, the company said, and the results will be used to generate targets for follow up diamond drilling.
The primary target at North Birch is the sheared limb of a folded iron formation sequence, modeled after the Musselwhite Gold Mine, which sits roughly 190 kilometres to the north and is operated by Newmont-Goldcorp.
READ: Newrange Gold kicks off further survey work at Pamlico to better understand the geology
The 8-kilometre long target horizon at North Birch is recessive and not exposed at surface but is interpreted from a prominent fold pattern in the airborne magnetics, the company said. The target horizon projects 2 kilometres along strike to the southeast into the Argosy Gold Mine, which closed in 1952 after producing 101,875 ounces of gold (Au) at 12.7 grams per ton (g/t) Au, according to Ontario government archives.
There are also multiple gold showings in rocks south of the main target horizon and in iron formation elsewhere on the North Birch property, although the main target horizon has never been drilled.
“We are looking forward to receiving the results of the IP survey at North Birch,” CEO Robert Archer said in a statement. “We are confident that it will identify zones of sulphide enrichment along the main target horizon that may be related to gold mineralization. As soon as we have sufficient information to generate drill targets, we will be applying for the appropriate permits and anticipate that we could be drilling by April.”
Additionally, Newrange said it has granted an aggregate of 1.9 million incentive stock options to certain directors, officers, employees and consultants, pursuant to its stock options plan. The options, which are subject to approval from the TSX Venture Exchange, are at a price of C$0.12 and expire on February 8, 2024.
Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
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