Pure Gold Mining Inc. has announced that ongoing drilling along the Madsen Red Lake Mine Trend has added 530 m of mineralised strike length to the Wedge zone, expanding the deposit footprint by 85% and continuing the rapid progression of this zone.
In early 2018, the company announced the discovery of the Wedge deposit with multiple high grade intercepts reported three km south of the Madsen Red Lake Mine. In early 2019, incorporating just nine months of drilling, Pure Gold reported the maiden resource estimate for this new discovery. Such quick advancement from discovery to resource, and today’s near doubling of the mineralised strike length of the zone, provides a compelling example of the strong growth potential of the area and the potential to impact future plans at the Madsen Red Lake Mine.
- A 90 m northeast step-out on the Wedge deposit has intersected near surface, high grade gold in hole PG19-677, returning 24.4 g/t gold over 1.0 m.
- A 440 m southwest step out has intersected 12.4 g/t gold over 1.1 m from hole PG19-657, extending the length of the Wedge zone to 1150 m and importantly extending 7 km from the northeastern extents of the Madsen deposit.
- Drilling aimed at extending and upgrading resources in the Wedge area continues to be successful, with drill highlights including:
11.7 g/t gold over 1.0 m from drill hole PG19-661.
5.1 g/t gold over 7.0 m from drill hole PG19-664, including 19.3 g/t gold over 1.0 m.
“From day one our mandate has been discovery, delineation and resource conversion to give investors a full and current picture of the value that underpins Pure Gold and our platform for growth,” stated Darin Labrenz, President and CEO of Pure Gold.
“At a gold price of US$1500, and without consideration of new mineral resources at Fork, Wedge or Russet South, our project has a current after-tax net present value of CAN$390 million and internal rate of return of 51%. In a dynamic project like Madsen Red Lake, this is only part of the picture. Today’s results showcase the tremendous potential of the Madsen mineral system to continue to grow, by nearly doubling the strike length of Wedge and by extending the gold structural corridor that controls the Madsen orebody to seven km. Importantly, these results continue to support our record of discovery to mineral resource in a phased approach to bring a brand new, fully funded mine to life.”
Defining the ‘Wedge zone’
The Wedge zone is a part of the property-wide structural architecture associated with gold mineralisation at Madsen, Fork, and Russet South. As an extension of the Madsen orebody, it shares the same alteration, timing and structural controls on gold mineralisation with the gold lodes directly controlled by the intersection of the mineralised structure and geologic contacts. Initial work by Pure Gold quickly established an indicated resource in this area of 322 000 t grading 10.3 g/t gold and an inferred resource of 307 000 t grading 8.0 g/t gold over a partially tested strike length of 620 m. Current drilling continues to infill within this footprint with a goal of upgrading resources from inferred to indicated, and expanding inferred resources, while step-out drilling is targeting new zones of mineralisation.
Surface mapping outside of the known resource areas has traced the Madsen structural corridor south of the Wedge area, exposing a continuous deformed corridor of quartz veining with alteration typical of the Madsen gold system. Drill hole PG19-657, a significant step-out of 440 m southwest step out from the Wedge zone resource, intersected high grade gold mineralisation at a shallow depth of 102 m down hole. On the north end of the Wedge zone resource, drill hole PG19-677, a 90 m step-out from the resource establishes the potential for resource expansion to the north with 24.4 g/t gold over 1.0 m returned from shallow drilling. This drilling correlates with previous drilling including PG17-444 which returned 10.6 g/t gold over 3.1 m including 22.9 g/t gold over 1.1 m. These two step outs clearly highlight both the overall potential of the Wedge area (now drill tested with high-grade intercepts over a 1150 m strike length), and the strength of the 7 km long gold system emerging at Madsen.
Read the article online at: https://www.globalminingreview.com/exploration-development/02102019/drilling-extends-madsen-red-lake-mine-gold-system-to-7-km/