Hedge funds slash bullish wagers on gold over Trump election win
Hedge funds and other large speculators boosted net-long positions by 11% to 197,362 as of Nov. 12, the lowest in 14 weeks.
Iamgold has released assay results for seven diamond drill holes completed at its 75%-owned Nelligan gold project in Quebec. The latest results suggest that the mineralization extends for at least 500 to 700 metres westward, beyond the current resource model.
Drill highlights from the Renard West zone include 21.8 metres of 2 g/t gold and 23.2 metres of 1.72 g/t gold; intercepts from Renard include 18 metres of 1.55 g/t gold and 17.3 metres of 7.62 g/t gold. A hole drilled into the Liam zone hit 8.5 metres of 4.16 g/t gold.
According to Craig MacDougall, executive VP of growth for Iamgold, “these remaining results continue to demonstrate continuity of mineralization from the infill drill holes completed in the resource area, and importantly, also continue to demonstrate that mineralization extends well beyond the area of the current modeled resource to the west for at least 500 to 700 metres. The mineralization and associated alteration intersected to date along this western extension appears similar to that observed in the current estimated resource and has potential to expand existing project resources with additional drilling.”
With all the results from this year’s exploration drilling program now available, data compilation is ongoing to update the deposit model ahead of future drilling. Planning has also started for next year’s campaign.
Metallurgical testing is also ongoing, to refine process flowsheet options – results are expected early next year.
Last year, Iamgold reported an inferred resource for Nelligan, with 97 million tonnes grading 1.02 g/t gold, for a total of 3.2 million gold ounces.
Nelligan is under an earn-in option to joint venture agreement with Vanstar Mining. The gold producer may acquire an additional 5% interest in the project, for an 80% stake, by completing and delivering a feasibility study.
(This article first appeared in the Canadian Mining Journal)
