Fortitude Gold Corp (OTCQB:FTCO) has announced exploration drill results from Scarlet in Nevada, including 16.76 meters (m) grading 2.23 grams per ton (g/t) gold and 24.38m grading 1.60 (g/t) gold.
The company said the mineralization is associated with the northwestern structural extensions of its Isabella Pearl mine in Mineral County.
During the first quarter of 2021, Fortitude Gold said a 10-hole reverse circulation program targeted the south Scarlet area located about 650m northwest of the Isabella Pearl mine.
READ: Fortitude Gold reports preliminary 1Q production results of 11,536 gold ounces
Substantial widths and gold grades intercepted oxide mineralization with potential to be processed at the Isabella Pearl heap leach pad and gold process plant, the company added.
The Scarlet drill highlights include:
- Hole # IPRC-254. 19.81m of 1.56 g/t gold, including 3.05m of 3.19 g/t gold
- Hole # IPRC-257. 6.76m of 2.23 g/t gold, including 3.05m of 4.52 g/t gold
- Hole # IPRC-262. 24.38m of 1.60 g/t gold, including 3.05m of 3.94 g/t gold
"We believe this Scarlet drill program, northwest of the Isabella Pearl mine, appears to have intercepted the extension of the same structure of the mineralized Pearl zone in our operating Isabella Pearl mine," said Barry Devlin, vice president of exploration, in a statement.
"Multiple holes have returned sizeable widths of plus one gram per tonne gold with grades as high as 4.52 grams per tonne gold. We have now prioritized further delineation drilling of this Scarlet mineralization with the upcoming drill campaign targeted to commence during the second half of this quarter. The primary objective is to build on these exciting drill results and delineate another gold deposit."
Fortitude CEO Jason Reid noted: "At least four deposits to the southeast of our Isabella Pearl Mine along this mineralized trend were mined historically as open pits. Our operating Isabella Pearl Mine is the fifth mine along trend. There is a good possibility Scarlet could be the sixth mine northwest of Isabella Pearl along trend. In addition, we have over ten kilometers of this northwest mineralized trend locked up with numerous additional targets to test beyond these exciting Scarlet drill results."
As a result, Reid said the company is prioritizing Scarlet in its upcoming drill campaign, looking to delineate enough mineralization to advance the project towards a production decision.
“Scarlet's very close proximity to our operating mine, with a short-haul distance to both the heap leach and waste rock facility at Isabella Pearl, could allow for a project production decision based primarily on the economics of removing the overburden to access this mineralization,” he added.
Reid also said the company plans to begin construction later this year on a heap leach pad expansion to accommodate the additional ounces discovered to date at the Isabella Pearl mine.
“This heap leach expansion permit could also facilitate additional heap leach expansions for Scarlet mineralization as well,” he noted. “We are optimistic that future discoveries located on our extensive Isabella Pearl mineralized trend will warrant additional heap leach pad expansions for more production adding to our mine life and production profile. We plan to continue to delineate and prioritize both Scarlet and our Golden Mile property in parallel with the goal to delineate deposits at both properties on an expedited basis."
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