Gold Terra Resources Corp. [YGT-TSXV, YGTFF-OTCQX, TXO-Frankfurt] Chairman and CEO Gerald Panneton said drilling at the Campbell Shear zone on its Con Mine property near Yellowknife, N.W.T. is achieving positive results.
Gold Terra recently signed a deal with subsidiaries of Newmont Corp., [NGT-TSX, NEM-NYSE], that gave the junior the option to purchase all of the assets, mineral leases, Crown mineral claims and surface rights related to the past producing Con Mine, as well as areas immediately adjacent to the former mine.
The option deal enabled Gold Terra to purchase 100% of a Newmont subsidiary that owns the Con Mine, which produced more than 6.1 million ounces of gold along the Campbell Shear structure. The option agreement allows Gold Terra to fully explore 100% of the Campbell Shear structure at the Con Mine and south of it.
The Campbell and Giant Shear zones are prolific regional structures in the Yellowknife mining camp that are responsible for the majority of the 14 million ounces of gold mine at the Con and nearby Giant mines up until their closure in the early 2000s.
However, the Campbell Shear remains largely unexplored north and south of the historical mines, on ground now controlled by Gold Terra. The company said the 2022 drill program along the Campbell Shear is well underway with at total of 15 drill holes (GTCM22-027 to 22-041) completed to date for a total of 8,391 metres)
On Monday, Gold Terra released assay results from hole GTCM22-037, which was designed to test the Campbell shear at a depth of 1,000 vertical metres. The company said GTCM22-037 intersected the Campbell shear as planned with the main zone carrying 1.60 g/t gold over 14.57 metres, including two gold zones of 1.97 g/t gold over 6.50 metres from 1,263.30 to 1,269.80 metres and 2.00 g/t gold over 4.50 metres from 1,256.08 to 1,260.58 metres.
Hole GTCM22-037 encountered alteration, veining, and mineralization consistent with descriptions of typical Campbell Shear gold zones from historical production, the company said in a press release.
It was drilled below historical holes Y-88 (13.72 g/t gold over 5.27 metres) and above Y-86 and Y-96A (8.32 g/t gold over 4.45 metres and 18.11 g/t gold over 0.83 metres) along the Campbell Shear structure.
â€œOur 2022 program will continue to test this area using hole 37 to set up wedges on 50-metre spacing,â€™â€™ Panneton said. He said the company is well funded to continue with deep drilling and updating the current mineral resource.
On June 24, 2022, Gold Terra shares closed at 16.5 cents and currently trade in a 52-week range of 28.5 cents and 15.5 cents.