- Sierra Nevada Gold (SNX) reports a 26.7 gram per tonne (g/t) gold hit at the New Pass prospect in Nevada
- This intersection comes from the Superior Vein, 80 metres down-dip beneath the current level of mining
- Furthermore, this is the first drill hole to intersect the True Blue Vein structure, which will be further tested in the new year
- Due to weather conditions, SNX only completed six out of its 16 planned holes, but the company will resume drilling once winter weather improves
- Company shares are up 31.82 per cent to trade at 29 cents at 2:55 pm AEDT
Sierra Nevada Gold (SNX) has struck 26.7 grams per tonne (g/t) gold at the New Pass prospect in Nevada, US.
The company undertook an initial reverse circulation (RC) drilling program in the area, and the first assays included a highlight of 1.22 metres at 26.7 g/t gold from 186.53 metres.
The intersection comes from the Superior Vein, 80 metres down-dip beneath the deepest previously-mined high-grade vein position, representing an 80-metre extension of the high-grade gold structure in the area.
This hole also intersected 1.22 metres at 7.79 g/t gold from the near-surface expression of the True Blue Vein, which is a sub vein to, and 120 metres west of, the Superior Vein that has seen limited historical exploration.
Interestingly, Sierra Nevada Gold said the hole was the first drill hole to intersect the True Blue vein structure. The company plans to further test the True Blue structure as part of ongoing exploration work at New Pass.
“We are especially excited to receive these initial assay results which clearly demonstrate the continuity and persistence of these high-grade structures,” Executive Chair Peter Moore said.
“The discovery of two additional veins by this first hole attests to the exploration opportunity of this remarkable project.”
The company expects to receive results from an additional five holes at New Pass in the first quarter of 2023.
SNX only completed six holes of its planned 16-hole program before drilling was suspended due to the winter weather. The company will resume drilling at the project as soon as weather permits.
Company shares were up 31.82 per cent to trade at 29 cents at 2:55 pm AEDT.