Bullion Gold Discoveries (TSXV: BGD) says new channel sampling at its Terragold property in Quebec provided tangible evidence of surface gold mineralization at the site. The stock rose in early trading.
A total of 22 channels were completed across six outcrops. Highlights included channel R21 which returned 3.65 grams of silver per tonne and 2.8 grams of gold over 9.6 metres. Bullion also pointed to channel R15 which returned 2.24 grams of silver per tonne and 2.6 grams of gold over 1.7 metres.
“The high surface grades obtained at the east outcrop lend credibility to the numerous historical high-grade diamond drilling intersections,” said Simon Britt, Bullion’s president and CEO. “To date, the validation program continues to deliver the expected results. The first diamond drilling results are expected soon.”
Bullion plans to turn its focus to receiving and interpreting assay results of upcoming drilling. It says the data will be combined with its existing Terragold 3D model and historical data to help identify strong areas for future exploration.
Located about 12 km south of the municipality of Senneterre, Quebec, Terragold’s main mineralization zone was discovered in the early 1960s. Over the following few decades, drilling took place at strike length of more than 2 km to a depth of about 250 metres. A historical 237 kg bulk sample grading 3.64 grams of gold per tonne confirmed the presence of gold mineralization at surface. Since 1984 limited exploration has occurred on the property.
Shares in Bullion rose half-a-cent to 9.5¢ apiece Wednesday afternoon in Toronto. The company's market cap sits at $11.31 million (US$8.18 million).
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