Ascot Resources Ltd. [AOT-TSXV; OTVF-OTCQX] shares rallied Monday December 2 after the company said drill crews have intersected high-grade gold in the Silver Coin deposit on its Premier property in northwestern British Columbia.
Highlight results from 27 drill holes include 52.67 g/t gold over 3.59 metres in hole P19-2079 and 16.56 g/t gold over 4.00 metres in hole P19-2081.
The Premier-DilworthPproject is located 25 km north of Stewart in the prolific Golden Triangle area. The project is separated into two separate properties, including the northern Dilworth area and the southern Premier area, which contains what was once the largest gold mine in North America. The Premier underground mine closed in 1952 after producing 2.0 million ounces of gold and 45 million ounces of silver.
The Silver Coin deposit, acquired in 2018, is located approximately 5 km north of the Premier mill. It was mined in 1991, producing 102,500 tonnes at a grade of 8.88 g/t gold with an average recovery of 92.9%.
Results released on Monday are from the third set of drill holes from a 2019 campaign consisting of 10,500 metres of drilling. The latest results cover 3,860 metres of drilling from 10 separate pads
“We are proud to report the third successive set of very impressive drill results from the Silver Coin,” said Ascot President and CEO Derek White. “This set of holes generated over a dozen intercepts above 9.0 g/t gold over one metre and more,” White said.
The multiple high-grade intercepts from the deposit were highlighted by an exceptional intercept of one metre at 184 g/t gold in P19-2019. “The Silver Coin is one of several deposits at Premier that demonstrate the remarkable potential of the project,” White said. “Our engineers continue to work very hard to deliver a mine development plan that will allow Ascot to realize this potential for its shareholders,” he said.
Ascot shares advanced on the news, rising 7.3% or $0.04 to 59 cents on volume of 368,417. The shares are currently trading in a 52-week range of 44.5 cents and $1.44.
Ascot acquired IDM Mining Ltd. in March, 2019 in a bid to consolidate Ascot’s Premier Gold Project with IDM’s Red Mountain Project, thus creating a leading high-grade gold development and exploration company in northwestern British Columbia’s Golden Triangle region.
Ascot said at the time that its near-term strategic goal is to define a new high-grade resource for underground mining, while continuing to explore nearby targets on its Premier-Dilworth properties near Stewart.
On Monday, Ascot said that in the central part of the Silver Coin deposit, drill holes intercepted mineralization at predictable intervals confirming the model in the area of high drill density. The peripheral parts of the Silver Coil still require more drilling going forward, the company said.