Blue Lagoon Resources Inc.‘s [BLLG-CSE; BLAGF-OTCQB; 7BL-FSE] recent lab results from its 2022 phase one drill program have encountered more high-grade vein intercepts, the latest being from hole DM-22-232 at the company’s 100%-owned, year-round accessible, Dome Mountain gold project located 35 km east of Smithers, northern British Columbia.
Highlights from hole DM-22-232 include 11.78 g/t gold and 39.9 g/t silver over 7.70 metres, including 15.50 g/t gold, 68.9 g/t gold over 3.07 metres and 38.61 g/t gold and 85.3 g/t silver over 1.10 metres.
Hole DM-22-232, a 2022 phase one follow-up hole, tested an area above a high-grade intercept of 14.8 g/t gold and 38.3 g/t silver over 7.3 metres encountered in hole DM-21-224, the last hole drilled in the 2021 phase two drill program. Hole DM-21-232 was drilled from a pad located 150 metres south of the pad from which hole DM-21-224 was drilled with the goal of confirming and offsetting the aforementioned high-grade intercept so that more follow-up holes could be designed. Hole 232 was drilled at an azimuth of 178Ëšand an inclination of 50Ëš. The mineralized intercept in hole DM-21-232 consists of quartz-carbonate sulphide veins containing up to 20% pyrite, local chalcopyrite up to 3%, and 1% arsenopyrite overall. These veins are hosted in clay-altered crystal tuff containing 3 to 4% pyrite.
Drilling in the Chance structural zone was designed to test this northwest-trending structural zone for high-grade quartz carbonate veins. Multiple drill holes were drilled from individual drill pads at varying azimuths in order to test the boundaries of the structural zone. High-grade results from hole DM-22-232 confirm and offset those encountered in hole DM-21-224 and represent the southernmost significant intercepts encountered within the Chance zone to date. Collectively, high-grade intercepts in holes DM-21-224 and DM-22-232 occur in an area where the eastern extension of the Boulder vein system encounters the Chance structural zone. Follow-up holes are planned to further test this important area.
Quinton Hennigh, geologic/technical adviser to Crescat Capital and a strategic shareholder of Blue Lagoon Resources, commented: “Once again, drilling at the recently discovered Chance structural zone has generated impressive high-grade results for Blue Lagoon. The 7.7 metres intercept of 11.8 g/t gold and 39.9 g/t silver in hole DM-22-232 occurs near a previous intercept of 7.3 metres grading 14.8 g/t gold and 38.3 g/t silver in hole DM-21-224 announced earlier this year. Given this structure appears to be steeply dipping, it appears that the true width of this gold-rich structure is perhaps 70 to 75& the length of the reported drill intercept, so approximately five to six metres, a very impressive width. I am very happy that the company plans aggressive follow up drilling on this vein hosting structure. Every indication points to this being a carbonate-base metal-gold system, a subset of the family of alkaline gold deposits. Such systems are typically deep-rooted and related to underlying magmatic processes. It is imperative to evaluate this discovery along strike and to depth. It is exciting to watch this new discovery unfold.”
Individual assays include significant copper, up to 2.11% from zones displaying visible chalcopyrite.
Gold mineralization discovered to date is consistent with the carbonate-base metal-gold model, a subset of alkaline gold deposits. Mineralization is hosted by quartz carbonate veins in structural domains displaying intense carbonate alteration and significantly enriched base metal values. The Boulder vein system contains strongly elevated zinc values, whereas the Chance zone generally displays a high copper component.