GGX Gold Corp (CVE:GGX) (OTCQB:GGXXF) (FRA:3SR2) has reported further drill results from last year's work at the COD vein at its Gold Drop property in south-central British Columbia, alongside news of a non-brokered private placing to raise C$300,000.
The assays hail from six holes, a highlight being one which hit 9.14 grams per ton (g/t) gold over 0.4 meters from a depth of 18.03 metres (m), which was testing the northern edge of an area high-grade mineralization identified in 2018.
The same hole also encountered 9.66 g/t of gold over 0.5m (from 20.24m depth) and 3.34 g/t of the precious metal over 1.09m, from 21.40m depth. GGX said this hole had hit a "large, mineralized quartz vein," which was 5.3m thick.
READ: GGX Gold announces more results of its 2020 exploration program at Gold Drop property in British Columbia
Four of the holes were drilled to intersect the COD vein from its west side, north of the high-grade zone. Three holes hit a massive quartz-rich pegmatite body making up to 13m length in the core, with no significant precious metal values.
Another hole was drilled to test the southern extension of the COD vein, near a previous intercept of 6.58 g/t gold over 0.35m but it did not hit any quartz veins.
GGX also said it had arranged the placing at C$0.1463 per unit for gross proceeds of C$300,000. Each units consist of one share and a full share purchase warrant, which may be exercised for three years at C$0.2438 per share.
The proceeds will be used for general working capital and continued exploration at the Gold Drop asset, it added.
Gold Drop was mined intermittently from 1919 to the 1980s. Historical production amounted to 7,572 tonnes at an average grade of 5.2 g/t of gold and 93.4 g/t of silver, with the majority of production coming before 1942.
Contact the author at giles@proactiveinvestors.com