Canadian Gold Corp. Announces Initial Results from Phase 3 Drilling at Tartan Mine Extends High-Grade Mineralization to the West 7.3 gpt Gold over 7.0 Metres & Discovers Potential New Zone
Rhea-AI Summary
Canadian Gold Corp. (TSXV: CGC) has announced initial results from its Phase 3 Drill Program at the Tartan Mine near Flin Flon, Manitoba. The program has successfully extended high-grade mineralization along the western limits of the Main Zone (MZ) and discovered a potential new parallel zone 100 metres south of the MZ. Key highlights include:
1) An intersection of 7.3 gpt gold over 7.0 metres, including 12.0 gpt gold over 3.0 metres in drill hole TLSZ24-29W2, extending the zone 27 metres west and down plunge.
2) Discovery of a potential new zone returning 6.0 gpt gold over 3.0 metres including 15.9 gpt gold over 1.0 metres, located 475 metres below surface.
The company is preparing to update its mineral resource estimate and conduct a new Preliminary Economic Assessment (PEA) study, incorporating results from approximately 21,000 additional metres of drilling.
Positive
- Extended high-grade mineralization with 7.3 gpt gold over 7.0 metres in the Main Zone
- Discovered potential new parallel zone with 6.0 gpt gold over 3.0 metres
- Expanded vertical extent of Main Zone resource by 72%
- Preparing for updated mineral resource estimate and new PEA study
- Existing infrastructure at Tartan Mine may reduce capital costs and time to production
Negative
- None.
News Market Reaction
On the day this news was published, STRRF gained 6.77%, reflecting a notable positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Toronto, Ontario--(Newsfile Corp. - October 16, 2024) - Canadian Gold Corp. (TSXV: CGC) ("Canadian Gold" or the "Company") is pleased to announce initial results from its Phase 3 Drill Program at the Tartan Mine, located near Flin Flon, Manitoba. Results in this news release have 1) Extended the high-grade mineralization along the western limits of the Main Zone (MZ) and 2) Discovered a potential parallel zone, located 100 metres south of the MZ (Fig. 2). In addition, the Company is starting work to prepare its full data set of the over 21,000 metres of drilling that the Company will have completed since the Company's last NI 43-101 resource estimate in 2017. This initial work will allow the Company to advance quickly when it decides to update the 43-101 resource estimate upon the completion of the Phase 3 Drill Program.
Phase 3 Drilling Update
1) Main Zone - Extending the Western Limits
The first objective of the Phase 3 Drill Program was to target the western limit of the Hanging Wall Zone (HWZ). Drilling below and west of TLMZ21-12 and TLMZ21-12W4 that returned 47.6 gpt gold over 5.8 metres and 20.6 gpt gold over 5.7 metres, intersected 7.3 gpt gold over 7.0 metres, including 12.0 gpt gold over 3.0 metres in drill hole TLSZ24-29W2, extending the zone 27 metres west and down plunge (Fig. 1). Follow-up drilling to further extend this intercept to the west is ongoing with assays pending.
2) Potential New Zone Discovered
Testing the MZ at depth from the South, which had not previously been attempted, has resulted in the discovery of a potential new zone that returned 6.0 gpt gold over 3.0 metres including 15.9 gpt gold over 1.0 metres (Fig. 2). This new zone was intersected 475 metres below surface and is situated approximately 100 metres south and parallel to the MZ. The discovery is open in all directions and furthers the Company's objective of increasing Tartan's total ounces per vertical metre. This is an important objective as it allows the Company to spread development costs over more ounces, bringing down the potential cost of production. Additional drilling targeting this zone has just been completed and assays pending.
Advancing on an Updated Resource Estimate & PEA
Looking to Improve Financial Returns & Sustainability
The Company is currently preparing its data set in anticipation of updating its mineral resource estimate and a new Preliminary Economic Assessment ("PEA") study, which would be focused on minimizing the initial capital and time required to restart the Tartan Mine. An updated resource estimate and PEA would incorporate the results from the approximately 21,000 additional metres of drilling, which has expanded the vertical extent of the MZ resource by
Table 1. Phase 3 Drill Assay Highlights
| Drill Hole | From (metres) | To (metres) | Interval (metres) | Depth Below Surface (metres) | Grade (gpt) | Zone |
| TLSZ24-29W2 | 880.0 | 887.0 | 7.0 | 712 | 7.3 | HWZ |
| Including | 884.0 | 887.0 | 3.0 | 12.0 | ||
| Including | 884.0 | 885.0 | 1.0 | 23.0 | ||
| TLSZ24-29W3 | 881.0 | 891.1 | 10.1 | 712 | 1.3 | MZ |
| Including | 887.0 | 891.1 | 4.1 | 2.2 | ||
| TLSZ24-29W4 | 586.0 | 589.0 | 3.0 | 475 | 6.0 | New Zone |
| Including | 588.0 | 589.0 | 1.0 | 15.9 | ||
| and | 838.0 | 864.4 | 26.4 | 675 | 2.2 | MZ |
| Including | 838.0 | 841.0 | 3.0 | 6.1 | ||
| And including | 847.0 | 849.0 | 2.0 | 5.5 | ||
| And including | 868.0 | 864.4 | 1.4 | 6.0 |
Table 2. Details of drill holes reported in this press release.
| Drill Hole | Azimuth (Degrees) | Dip (Degrees) | Length (metres) | Easting (UTM) | Northing (UTM) |
| TLSZ24-26W2 | 009 | -64.4 | 286 | 324175 | 6081641 |
| TLSZ24-26W3 | 009 | -64.4 | 291 | 324175 | 6081641 |
| TLSZ24-26W4 | 009 | -64.4 | 390 | 324175 | 6081641 |
For Further Information, Please Contact:
Michael Swistun, CFA
President & CEO
Canadian Gold Corp.
(204) 232-1373
info@canadiangoldcorp.com
Qualified Person
The scientific and technical information disclosed in this news release was reviewed and approved by Wesley Whymark, P. Geo., Consulting Geologist for the Company, and a Qualified Person as defined under National Instrument 43-101.
Technical Information
The samples collected by Canadian Gold Corp. described in this news release were transported in secure sealed bags for preparation and assay by ALS Labs in Thunder Bay, Ontario. The samples reported were crushed in their entirety to
About Canadian Gold Corp.
Canadian Gold Corp. is a Toronto-based mineral exploration and development company whose objective is to expand the high-grade gold resource at the past producing Tartan Mine, located in Flin Flon, Manitoba. The historic Tartan Mine currently has a 2017 indicated mineral resource estimate of 240,000 oz gold (1,180,000 tonnes at 6.32 g/t gold) and an inferred estimate of 37,000 oz gold (240,000 tonnes at 4.89 g/t gold). The Company also holds a
CAUTION REGARDING FORWARD-LOOKING INFORMATION
This news release of the Company contains statements that constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause Canadian Gold's actual results, performance or achievements, or developments in the industry to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements.
Figure 1. Tartan Mine - Main Zone Long Section.
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/3276/226775_d7893db88478abc7_001full.jpg
Figure 2. Tartan Mine - Long Section and Cross Section illustrating the new zone.
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/3276/226775_d7893db88478abc7_002full.jpg
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/226775
FAQ
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