Sabina Gold & Silver Corp. (SBB-TSX) on Tuesday released initial results from the company’s spring drilling program completed at the Hook target, which has been identified as a key link along a mineralized trend hosting the Goose Main and Nuvuyak deposits on its 100%-owned Back River gold project in Nunavut Canada.
For the first half of this year, the company said exploration was focused on the southern mineralized trend that hosts Goose Main and Nuvuyak deposits. The Hook target, which was thought to be the link between these deposits, received the bulk of the meterage in the spring program.
Drill testing within the trend is highlighted by hole 21GSE600, which returned 5.42 g/t gold over 28.05 metres, including 12.68 g/t over 5.30 metres, returning the highest gram-metre intercept within the target trend to date.
The intercept through the fold nose of the antiform sits within a 50.50-metre length of anomalous gold mineralization, representing a key link in unlocking the trend by identifying a robust area for potential resource growth through further exploration.
Sabina Gold shares were virtually unchanged on the news, easing 0.60% or $0.01 to $1.64 on volume of 173,980. The shares are currently trading in a 52-week range of $3.53 and $1.60.
Sabina holds a 100% interest in the Back River Gold District, an 80-kilometr- long belt containing a series of gold deposits in banded formation, located in southwestern Nunavut, approximately 520 kilometres northwest of Yellowknife.
Sabina is advancing its first mine in the District, the Goose Project. It has the potential to produce 223,000 ounces of gold annually for 15 years, according to the results of an updated feasibility study dated March, 2021. The feasibility study envisages average production in the first five years of 287,000 ounces, and reaching a peak of 312,000 ounces in year three.
The project received its final major authorization in June, 2020, and is now in receipt of all major permits and authorizations for construction and operations.
“We have a busy year planned at Back River for 2021,” Sabina President and CEO Bruce McLeod said recently. He said the company is working to accomplish the necessary activities to continue to advance the project towards a production decision.”
That includes construction of the underground exploration ramp at the Umwelt deposit.
Meanwhile, the company said drill advancement at the Hook target has become an important focus for exploration to establish future resource growth and mining synergies.
The Goose Main deposit currently hosts an open pit and underground proven reserve of 548,000 ounces at an average grade of 4.60 g/t and an additional open pit and underground probable reserve of 301,000 ounces at an average grade of 4.96 g/t.
The Nuvuyak deposit hosts an initial NI-43-101-compliant inferred resource of 583,000 ounces at an average grade of 7.50 g/t gold and remains open in all directions.
The company said spring drilling at the Goose property is now complete with all holes totaling 4,480 metres. That included five drill holes in the Hook Target, 12 holes testing earlier stage target areas and an additional six drill holes supporting geotechnical investigations.