Snowline Gold Corp. (CSE:SGD) said it has uncovered a potentially "significant gold system" with the first hole of a four-hole program at its Valley bulk-tonnage gold target at the Rogue project in the Yukon.
The hole averaged a grade of 1.01 grams per ton (g/t) gold over a width of 136.75 metres (m) starting from a depth of 35.25m.
That was within a broader zone of mineralization averaging 0.85 g/t of the precious metal over 186m starting from 31.5m downhole.
"This is Snowline's second significant drill discovery in as many drill programs in 2021," said Scott Berdahl, CEO of Snowline, in a statement.
"We launched the company around the idea of an unrecognized gold district hiding in a relatively unexplored package of prospective rocks here in the Yukon's Selwyn Basin. Beyond our excitement for the Valley discovery itself, we are similarly excited at the implications these results have toward validating our district-scale exploration thesis. With two discoveries in hand and many additional prospective targets, we are eager to get started on our 2022 exploration season," he added.
READ: Snowline Gold boosts technical team ahead of busy field season in the Yukon
Dr Craig Hart, Snowline chair, added that Valley was interpreted as a "classic reduced intrusion-related gold system".
"It has lots of similarities to Kinross' Ft. Knox Gold Mine in Alaska and Victoria Gold's Eagle Gold Mine in the Yukon, and most importantly these early results yield some very good grades," he added.
Snowline is exploring the flagship 72,000 hectare Einarson and Rogue gold projects in the Yukon and is preparing for a busy 2022.
An upcoming program will see at least two drills turning on an over 8,000m program focused on the company's Jupiter (Einarson) and Valley (Rogue) discoveries along with nearby targets. The work continues to build toward establishing North America's newest gold district in the Selwyn basin.
Contact the author at giles@proactiveinvestors.com