Mill at Clarence Stream Credit: Galway
Galway Metals has optioned five claim groups, adjacent to its Clarence Stream gold project, to grow its holdings in southwest New Brunswick.
The claims include the Oak Bay, Lily Hill, Wilson Hill, Snipe Brook and Upper Tower Hill groups.
Two holes were drilled at Lily Hill in 2008; at Oak Bay, 11 holes were completed that year. Between 2004 and 2005, seven holes were also drilled at Oak Bay. To start off its exploration efforts at these properties, Galway initially plans to follow up on past intercepts.
Prior intervals from Oak Bay include 2.5 metres of 5.2 g/t gold starting at 13 metres and 4 metres of 0.6 g/t gold from 98 metres. Drilling at Lily Hill returned 3 metres of 3.7 g/t gold starting at 16.5 metres and 9 metres of 0.6 g/t gold from 31.2 metres.
Oak Bay and Lily Hill are 19 km west of the current South Zone resource at Clarence Stream.
“The geology in these new (Oak Bay and Lily Hill) claim groups are mirror images in all respects to the South Zone,” Robert Hinchcliffe, Galway’s president and CEO, said in a release. “Another claim group at Wilson Hill contains a felsic intrusive similar to the one that controls Galway’s deposits along the 3.7-km trend that hosts the George Murphy (GMZ), Richard and Jubilee zones, as well as the two new recently reported discoveries.”
Galway will need to pay a total of $500,000, in seven equal installments, to the vendor to complete the transaction. The first payment is due upon approval by the TSX Venture Exchange, and each subsequent amount is due on or before the agreement anniversary date. The first payment will, and other payments may, be paid 80% in cash and 20% in Galway shares.
The GMZ, Richard and Jubilee zones at Clarence Stream lie along a trend with a mineralized intrusive unit, as does the South zone, which contains the majority of mineral resources at the project.
In September 2017, Galway published a resource estimate for Clarence Stream – measured and indicated resources in the North and South zones total 6.2 million tonnes grading 1.96 g/t gold for a total of 390,000 oz. with additional inferred resources of 3.4 million tonnes at 2.53 g/t gold totalling 277,000 oz. The resources are based on gold cut-off grades between 0.42 g/t and 2.55 g/t.
For more information, visit www.GalwayMetalsInc.com.