i-80 Gold Announces High-Grade Results from Underground Drilling at Cove
- High-grade gold results from underground drilling program at Cove.
- Significant gold mineralization with grades exceeding ten grams per tonne.
- Strategically located property in the prolific Battle Mountain Trend.
- Polymetallic mineralization presents upside opportunity.
- Large exploration potential with new discoveries and future targets.
- Annual Report on Form 40-F highlights going concern opinion.
- QA/QC procedures ensure sample quality and accuracy.
- Qualified Person Tyler Hill oversees the information in the press release.
- None.
When examining data from mineral exploration, such as the impressive drill results reported by i-80 Gold Corp., a Market Research Analyst would highlight the significance of these findings for the company's growth trajectory and investor confidence. The discovery of high-grade gold mineralization at the Cove property is likely to pique the interest of stakeholders due to the potential for increased resource estimates, which typically bolster a mining company's stock value and attractiveness to prospective investors. Particularly, the reported grades considerably exceed the global average mine grade of gold, which hovers around 1 to 5 g/t. Furthermore, with gold often serving as a hedge against inflation and market volatility, strong drilling results may position the firm favorably in the eyes of investors looking for stability or growth amidst market fluctuations.
From a technical standpoint, a Mining Engineer would assess the operational implications of the drilling outcomes. The revelation of two distinct mineralized horizons within the Helen Zone has both logistical and economic ramifications. The Upper Helen Zone, while being narrower, presents an opportunity for earlier access and potentially quicker returns; meanwhile, the Lower Helen Zone, containing richer and wider gold intersections, promises substantial long-term yield prospects. The proximity to established infrastructure, such as Nevada Gold Mines' Phoenix Mine and the Lone Tree processing facility, importantly reduces potential capital expenditures associated with mine development. However, it is vital to consider that these results are a snapshot in time; comprehensive feasibility studies and diligent resource modeling are imperative to fully realize the economic viability of the project.
An in-depth financial analysis would delve into the implications of such high-grade drilling results on i-80 Gold Corp.'s financial health and future prospects. A Financial Analyst would scrutinize the company's ability to leverage these results into increased funding and strategic investments, keeping in mind the mention of a 'going concern' paragraph in their most recent audit opinion. While the drilling results are favorable, they should be evaluated against the backdrop of overall market conditions, gold price forecasts and operational costs. Investors must balance the excitement of potential resource expansion with the reality of financial constraints and the capital-intensive nature of mining operations. The financial analysis should be devoid of emotions and focus on the quantifiable impact of these results on the company's balance sheet and cash flow projections.
New results include 29.6 g/t Au over 7.2 m, 18.7 g/t Au over 8.3 m & 37.2 g/t Au over 3.7 m
The new results are from the 2023 underground drilling program to define the Helen Zone, the first horizon expected to be accessed at the Cove Mine. The most recently received results from the Helen Zone compliment recently released intercepts that returned up to 22.6 g/t Au over 19.1 m in hole iCHU23-37, 32.9 g/t Au over 14.9 m in hole iCHU23-38 and 23.5 g/t Au over 12.8 m in hole iCHU23-39 (see Company Press Release dated March 5, 2024). Three of the new holes were drilled to only intersect the Upper Helen mineralized horizon that typically contains thinner mineralized zones when compared to the Lower Helen. A complete summary of new results is provided in Table 1.
Highlight new results from drilling at McCoy-Cove include:
- iCHU23-40: 11.5 g/t Au over 3.7 m (Upper Helen Zone)
- iCHU23-41: 37.2 g/t Au over 3.7 m (Upper Helen Zone)
- iCHU23-42: 29.6 g/t Au over 7.2 m (Lower Helen Zone)
- iCHU23-43: 9.2 g/t Au over 5.3 m (Upper Helen Zone)
- and 12.3 g/t Au over 6.6 m (Lower Helen Zone)
- and 18.7 g/t Au over 8.3 m (Lower Helen Zone)
The McCoy-Cove Property is strategically located in heart of the prolific Battle Mountain Trend immediately south of Nevada Gold Mines' Phoenix Mine and the Company's Lone Tree processing facility (see Figure 1). Cove is one of three deposits being advanced to realize the Company's goal of building one of the largest producers in
"Results received to-date continue to confirm that Cove is one of the highest-grade, development-stage, gold deposits in
Carlin-style mineralization in the Helen and CSD Gap zones is hosted primarily in the Favret limestone rock unit with enhanced grades and thicknesses of mineralized zones occurring at structural intersections, along the margins of dikes and sills, and within the axis of the northwest striking Cove anticline. The Helen Zone has both "Upper" and "Lower" mineralized horizons with the Upper Zone comprising a smaller, narrower, zone of gold mineralization hosted in the Panther Canyon and Home Station formations and the Lower Zone comprising the main horizon hosted within the Favret limestone formation.
Polymetallic mineralization also occurs on the Property, particularly in the 2201 Zone that occurs below and to the east of Carlin-style mineralization. This polymetallic mineralization remains a significant upside opportunity.
Table 1 – Highlight New Assay Results from Cove Underground Drilling
New 2023 results from McCoy-Cove, estimated true thickness 75 | |||||||
Drillhole ID | Zone | Type | From (m) | To (m) | Length (m) | Au (g/t) | Ag (g/t) |
iCHU23-40 | Upper Helen | Core | 166.8 | 170.5 | 3.7 | 11.5 | 11.6 |
iCHU23-41 | Upper Helen | Core | 127.4 | 131.1 | 3.7 | 37.2 | 5.6 |
iCHU23-42 | Lower Helen | Core | 217.5 | 220.7 | 3.2 | 7.9 | 0.3 |
and | Lower Helen | Core | 261.6 | 264.6 | 3.0 | 9.9 | 4.2 |
and | Lower Helen | Core | 291.6 | 298.8 | 7.2 | 29.6 | 8.8 |
iCHU23-43 | Upper Helen | Core | 144.5 | 149.8 | 5.3 | 9.2 | 6.3 |
and | Lower Helen | Core | 256.9 | 263.5 | 6.6 | 12.3 | 3.0 |
and | Lower Helen | Core | 288.9 | 297.1 | 8.3 | 18.7 | 6.5 |
and | Lower Helen | Core | 343.5 | 346.6 | 3.0 | 6.9 | 6.4 |
iCHU23-44 | Upper Helen | Core | 136.9 | 140.8 | 3.9 | 4.8 | 5.4 |
UTM | Drillhole ID | East m | North m | Elevation m | Azimuth | Dip |
NAD83 Zone 11 | iCHU23-40 | 481768 | 4465975 | 1427 | 182 | -57 |
iCHU23-41 | 481766 | 4465976 | 1427 | 229 | -62 | |
iCHU23-42 | 481766 | 4465976 | 1427 | 248 | -83 | |
iCHU23-43 | 481767 | 4465977 | 1427 | 264 | -87 | |
iCHU23-44 | 481766 | 4465977 | 1428 | 260 | -54 |
The McCoy-Cove Property comprises a large package of approximately 13,000 hectares covering an area roughly 15 km by 10 km that offers substantial exploration upside as the bulk of work completed to-date has been focused on the main deposit areas. Earlier exploration, mostly completed in 20214, resulted in several new discoveries that have received little to no follow-up including polymetallic mineralization in the 2201 and
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As previously disclosed in its Annual Report on Form 40-F for the year ended December 31, 2023, which was filed on March 12, 2024 with the Securities and Exchange Commission, the audited financial statements contained an unqualified audit opinion from its independent registered public accounting firm that included an explanatory paragraph related to the Company's ability to continue as a going concern. See further discussion in footnote 2 to the Company's financial statements included in the Company's Annual Report on Form 40-F. This announcement is made pursuant to NYSE American LLC Company Guide Section 610(b), which requires public announcement of the receipt of an audit opinion containing a going concern paragraph. This announcement does not represent any change or amendment to the Company's financial statements or to its Annual Report on Form 40-F for the year ended December 31, 2023.
All samples were submitted to ALS Minerals (ALS) of
Tyler Hill, CPG-12146, Chief Geologist at i-80 is the Qualified Person for the information contained in this press release and is a Qualified Person within the meaning of National Instrument 43-101.
i-80 Gold Corp. is a
Certain statements in this release constitute "forward-looking statements" or "forward-looking information" within the meaning of applicable securities laws, including but not limited to, the expansion or mineral resources at McCoy-Cove and the potential of the Cove project. Such statements and information involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the company, its projects, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information. Such statements can be identified by the use of words such as "may", "would", "could", "will", "intend", "expect", "believe", "plan", "anticipate", "estimate", "scheduled", "forecast", "predict" and other similar terminology, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. These statements reflect the Company's current expectations regarding future events, performance and results and speak only as of the date of this release.
Forward-looking statements and information involve significant risks and uncertainties, should not be read as guarantees of future performance or results and will not necessarily be accurate indicators of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements or information, including, but not limited to: material adverse changes, unexpected changes in laws, rules or regulations, or their enforcement by applicable authorities; the failure of parties to contracts with the company to perform as agreed; social or labour unrest; changes in commodity prices; and the failure of exploration programs or studies to deliver anticipated results or results that would justify and support continued exploration, studies, development or operations.
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SOURCE i-80 Gold Corp
