Monarques Gold Corp. [MQR-TSXV, MRQRF- OTCMKTS, MR7 FSE] said exploration drilling has intersected high grade gold at the company’s Beaufor Mine property in Quebec.
The company said the 2,239-metre program was aimed at increasing the resources in two sectors of the Beaufor Mine known as Zone Q and Zone 1700.
Beaufor is part of a package that Monarques snapped up when it agreed in October, 2017 to acquire all of the mining assets of Richmont Mines Inc. in Quebec. Monarques shares rallied on the news, rising 8.57% or $0.03 to 38 cents in morning trading, Thursday January 11.
Monarques holds a 100% interest in the Beaufor Mine, which covers 5.9 km2 and is located about 20 km northeast of Val-d’Or in Abitibi-East Township. It produced 19,562 ounces of gold in 2016. On October 26, 2017, the company announced that it had poured its first gold bar from the Beufor Mine, a move that made Monarques a gold producer.
Zone Q is the main zone of current production at the Beaufor Mine. Two new holes were drilled in the eastern extension of the Zone Q to test the continuity of the structure and check for the presence of mineralized veins in the hanging wall and footall of the zone.
Hole 150-60a intersected 15.44 g/t gold over 3.0 metres, including 49.55 g/t over 0.8 metres; and 7.70 g/t over 2.0 metres, including 14.10 g/t over 0.5 metres.
“These initial results confirm the strong exploration in the area east of Zone Q,” said Jean-Marc Lacoste, President and CEO of Monarques.
Zone 1700 lies east of the 1500 level of the Beaufor Mine, 458 metres below surface. The company said a few historical holes intersected mineralized lenses with gold values over 3.0 g/t gold. Four new holes were drilled to test the extensions of those mineralized lenses. The results provided the company with a better understanding of the structure and size of the lenses.
However, Zone 1700 remains open vertically but is not laterally continuous and may be confined by two structures striking N80 degrees.
Hole 160-14 intersected 10.75 g/t gold over 0.7 metres; 12.33 g/t over 1.6 metres, including 36.25 g/t over 0.5 metres; and 10.42 g/t over 1.1 metres, including 20.30 g/t over 0.5 metres.
“The extensions of these mineralized lenses is not well defined and additional drilling is need for a better understanding of their geometry,” the company said.
Based in Quebec City, Monarques Gold is an emerging gold producer, aiming to achieve ongoing growth through a large portfolio of properties in the Val d’Or, Quebec mining district. The company has over 240 km2 of gold properties, including the Beaufor Mine, the Croinor and Wasamac advanced projects. The asset portfolio also includes the Camflo and Beacon mills.