Tudor Gold shares advance on Golden Triangle news
Tudor Gold Corp. [TUD-TSXV, TUC-Frankfurt] on Tuesday released new drill results from its Treaty Creek project in British Columbia’s Golden Triangle area.
Tuesday’s news release contains details of a third set of drill results (four new holes) for the 2021 resource expansion and definition drilling program at the Goldstorm deposit
Highlights include step-out drill hole GS-21-119, which the company said has successfully expanded the Goldstorm system to the northeast after returning 1.76 g/t gold equivalent (AuEq) over 196.5 metres within 564 metres containing 1.09 g/t AuEq.
Tudor Gold shares advanced on the news, rising 3.7% or $0.08 to $2.25. The shares are currently trading in a 52-week range of $3.78 and $2.01.
New drill results are being released after Tudor recently announced a mineral resource estimate for the Goldstorm and Copper Belle zones at its flagship Treaty Creek project.
The company said the constraining open-pit shell contains 14.15 million ounces of measured and indicated gold equivalent ounces at an average grade of 0.72 g/t gold equivalent and 5.26 million measured and indicated gold equivalent ounces at an average grade of 0.80 g/t gold equivalent for the out-of-pit mineral resource.
However, as only 10-12% of the gold equivalent values are attributed to silver and copper mineralization indicating a strong gold-dominate system, the company has said further studies are required to investigate the potential economic impact of the silver and copper.
It has previously said plans for 2021 are to complete the drilling of the Goldstorm Zone; to define the limits of the 300 Horizon, the CS-600 and DS-5 Zones. In addition, diamond drilling is planned for the Eureka and Perfect Storm Zones.
“Our primary gold remains to find the limits of the Goldstorm deposit and to constrain the resources from our initial mineral resource estimate of 19.41 million ounces of measured and indicated and 7.9 million ounces of gold-equivalent ounces,” Ken Konkin, Tudor Gold’s Vice-President, Exploration and Development.
“We continue to intercept exceptional mineralization within the defined domains and consistently identify extensions to these domains particularly in the northeast and northwest, as well as at depth,” he said.
“Clearly, more drilling is required to further define the Goldstorm, Eureka and Perfect Storm zones for 2022.”
On Tuesday, Tudor said the latest results have confirmed consistent mineralization in GS-21-116 over a long interval of 1,092.0 metres, grading 0.75 g/t AuEq that includes the 300 Horizon and CS-600 domains.
Near-surface mineralization was encountered at the Eureka zone in EK-21-01 with 67.5 metres of 1.13 g/t AuEq. The Eureka zone remains open in all directions and at depth.
Tudor Gold holds a 60% stake in the Treaty Creek joint venture and is the project operator. The other partners are American Creek Resources Ltd. [AMK-TSXV] and Teuton Resources Corp. [TUO-TSXV, TUC-Frankfurt], each of which hold a 20% stake in the project. American Creek and Teuton are both fully carried to a production notice. At that point, each of the two is required to contribute their respective 20% share of development costs.
Until that happens, Tudor is required to fund all exploration and development costs. The property is also subject to 3% net smelter return royalties.