HighGold steps up drilling program in Alaska
HighGold Mining Inc. [HIGH-TSXV, HGGOF-OTCQX] has expanded its 2021 drilling program at Johnson Tract to 20,000 metres, marking a 25% increase over the 16,000 metres that was originally planned for the project. It marks the largest ever drill program at the gold-rich polymetallic project in Southcentral Alaska.
The decision to expand the original $10 million 2021 program and accelerate the exploration at Johnson Tract follows a $1.9 million boost to HighGold’s treasury from the exercise of warrants in May, 2021.
HighGold shares were virtually unchanged on the news, easing 0.71% or $0.01 to $1.39 on volume of 600,000.
Johnson Tract is a poly-metallic (gold, copper, zinc, silver, lead) project located near tidewater, 200 kilometres southwest of Anchorage. The 21,000-acre property includes the high-grade Johnson Tract Deposit and at least nine other mineral prospects over a 12-kilometre strike length.
HighGold acquired the project through a lease agreement with Cook Inlet Region Inc. (CIRI), one of 12 land-based Alaska Native regional corporations created by the Alaska Native Claims Settlement Act of 1971. CIRI is owned by more than 9,100 shareholders who are primarily of Alaska Native descent.
The JT Deposit hosts an indicated resource of 2.14 million tonnes, grading 10.93 g/t gold equivalent (AuEq), comprised of 6.07 g/t gold, 5.8 g/t silver, 0.57% copper, 0.80% lead and 5.85% zinc. On top of that is an inferred resource of 580,000 tonnes, grading 7.16 g/t AuEq, comprised of 2.05 g/t gold, 8.7 g/t silver, 0.54% copper, 0.33% lead and 6.67% zinc.
Prior to HighGold, the project was last explored in the mid-1990s by a mid-tier mining company that evaluated direct shipping material from Johnson to the Premier Mill, near Stewart, B.C.
On Friday, the company said drilling has already begun, with two rigs positioned at the JT Deposit, and one rig positioned at the DC Prospect. HighGold said 50-70% of the drilling meterage will focus on the JT Deposit area, with the balance at regional projects.
The DC Prospect is characterized by a series of large gossan alteration zones, similar in style to the JT Deposit and including a 500 metre by 1,000 metre silver-rich New Vein Field discovered by High Gold geologists in the previous exploration season.
It consists of multiple sets of low-sulphidation epithermal crustiform quartz veins, vein swarms, and siliceous breccias.
Aside from its Alaska asset, HighGold controls one of the largest junior gold miner land positions in the Timmins, Ontario gold camp, where its portfolio includes the Munro-Croesus Gold property, which is renowned for its high-grade mineralization, and the large Golden Mile and Golden Perimeter properties.