Great Atlantic Resources Corp. [GR-TSXV; PH0-FSE] shares rallied Friday January 18 after the company released drill core analytical results from its 100%-owned Keymet Base Metal project in New Brunswick.
The results are from 13 holes completed in 2018 on the northwest region of the property, approximately 1.5 km northeast of the historic Keymet Mine, which operated in the mid-1950s, producing copper, lead, zinc and silver. Production at this mine was terminated due to a fire at the site.
Great Atlantic has described Keymet as a “high priority” exploration property. Exploration at the site, which covers 3,400 hectares, dates back to the late 1800s. Drilling in 2015 and 2017 returned values of 16.68% zinc, 1.11% copper, and 152 g/t silver over 1.80 metres in the Elmtree 12 vein system.
Highlights from Friday’s press release include drill hole Ky-18-14, which returned 7.89% zinc equivalent over 34 metres (from 46.20 m to 80.50 m).
Investors reacted by sending Great Atlantic shares up 36.36% or $0.02 to 7.5 cents on volume of over 3.0 million, making Great Atlantic the volume leader Friday on the TSX Venture Exchange. The stock is trading in a 52-week range of 15 cents and 4.5 cents.
The company’s focus since acquiring the Keymet property has been the northwest region of the property in the area of reported polymetallic veins. Most of the work has been conducted in the area of the Elmtree 12 copper-lead-zinc-silver bearing vein system.
Citing information obtained from the New Brunswick Dept. of Energy and Resource Development Mineral Occurrence database, Great Atlantic said at least seven vein occurrences with lead, zinc and +/- copper, silver, and gold have been reported in this region of the property in addition to polymetallic veins reported at the historic Keymet Mine.
Great Atlantic said the 2018 drilling program (13 holes or 1,484 metres) tested the Elmtree 12 vein system as in-fill drilling and along strike, with some holes testing deeper than previous drilling.
Earlier drilling intersected zinc, copper, lead and silver-bearing polymetallic veins. Two holes (Ky-18-19 and Ky-18-20) tested the continuation of another base metal and silver-bearing vein southwest of the Elmtree 12 vein system. It was discovered in 2017.
The company said the Elmtree 12 vein system has been traced to a depth of approximately 145 metres and remains open at depth. It also said the Elmtree 12 vein system has a strike length of approximately 110 metres and remains open along strike.
The Keymet property is located about 15 km from Callinex Mines Inc.’s [CNX-TSXV; CLLXF-OTCQX] Nash Creek zinc project.
According to the updated independent NI 43-101 compliant mineral resource estimate, the current indicated mineral resource at Nash Creek now stands at 13.6 million tonnes, averaging 3.2% zinc equivalent (2.7% zinc, 0.6% lead, and 17.8 g/t silver) containing 963 million pounds of zinc equivalent mineralization. On top of that is an inferred mineral resource totalling 5.9 million tonnes averaging 3.1% ZnEq (2.7% zinc, 0.5% lead and 14 g/t silver) containing 407 million pounds of zinc equivalent mineralization.