Goldshore Resources Inc (TSX-V:GSHR, OTCQB:GSHRF) has revealed impressive assay results from its ongoing 100,000-meter drill program at its Moss Lake project, 100 km west of the city of Thunder Bay, Ontario.
The Vancouver, British Columbia-based junior gold development company explained that the drilling is aimed at expanding and defining high-grade structural zones within the Moss Lake deposit to improve the overall grade and volume beyond that of the historic mineral resource.
In a statement, Goldshore CEO Brett Richards said: "As we have demonstrated since the beginning of our drill program, our thesis that Moss Lake is larger (in depth, in width and along strike) is proving to be true.”
READ: Goldshore Resources kicks off drilling in the Coldstream region of its Moss Lake project in Ontario
“I am also encouraged about the high-grade sections we are seeing, as this will provide us with optionality when we model the resource later in the year and start to look at economic pit shells. We see several PEA permutations including: a low tonnage/higher grade starting project (Phase 1); and a larger scale operation on the global resource (Phase 2),” he added.
Richards noted that given the current economic climate, a lower CapEx project (Phase 1), then expanding the operation (Phase 2) may well be the best approach to developing Moss Lake, while not losing sight of its Tier One potential.
“We will make these determinations later in the year, as we evaluate the results from our 100,000-meter program," Richards added.
Goldshore highlighted the following results from the drilling campaign:
- MQD-22-019 at the QES Zone, has upgraded the mineralization within the modeled volume and confirmed the parallel zone of mineralization to the north with best intercepts of 65 meters (m) at 1.04 grams per ton (g/t) gold (Au) from 142.4m depth, including 1.6m at 6.56 g/t Au from 142.4m and 13.0m at 2.14 g/t Au from 173m and finally 5.5m at 1.23 g/t Au from 606.1m;
- A recent evaluation of assay zones parallel to the 2013 resource body has enabled the preliminary modeling of shears that combine to extend the width of mineralization from its previous 300-400 meters to a zone that is 600-650 meters wide;
- This work suggests that the Southwest Zone is not a structural offset as previously thought and is instead an extension of the southern parallel zone, compounding additional resource tonnage (in width) and along strike;
- Exploration work has begun targeting additional parallel structures to further expand the width of gold mineralization.
Meanwhile, it appears that MQD-22-019 was drilled to the west of the high-grade holes MQD-22-009 and MQD-22-014. The results of the hole extend the envelope of +1 g/t Au mineralization further to the west in what appears to be a significant zone of high-grade mineralization.
“The deeper section of the hole confirmed gold mineralization in an anastomosing shear that is becoming a significant parallel zone,” the company said. Drilling in the coming months will target the near surface extension of this zone, as well as the high-grade portion of the QES Zone.
"I am very encouraged by the extent of the parallel zones that we are seeing at both the Main Zone and QES Zone at Moss Lake, as the greater width will reduce the amount of waste in an open pit,” said Pete Flindell, VP Exploration at Goldshore.
Historic scout drilling suggests that additional parallel zones will be discovered.
“Our understanding of the high grades in the deposit - whereby 29% of the mineralized samples exceed 1 g/t Au; is improving to the point where we will be able to model them separately to ensure that they are accurately represented in the mineral resource update later in the year,” added Flindell. “This will also enhance the economics by allowing the optimization of a smaller, high-grade starter pit."
Contact the author Uttara Choudhury at uttara@proactiveinvestors.com
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