Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Troilus Gold (TSE: TLG) has reported assay results from two holes completed at the Southwest zone, 3.5 km northeast of the existing deposit within the 160-sq.-km Troilus project, located northeast of the Val-d’Or district of Quebec.
The drill highlights include 73 metres of 1.56 g/t gold equivalent in hole TLG-ZSW20-189 and 6 metres of 1.23 g/t gold equivalent from this same hole as well as 14 metres of 1.02 g/t gold equivalent from hole TLG-ZSW20-185. The 73-metre long intercept starts at 193 metres down-hole.
These intersections also suggest geological similarities between the Southwest zone and the main Z87 deposit
“We believe that the results we are seeing from the Southwest zone provide further evidence that the Troilus property has the potential to host a large, regional scale gold mineralizing system and remains materially underexplored,” Justin Reid, the company’s CEO, said in a release.
According to the company, these intersections also suggest geological similarities between the Southwest zone and the main Z87 deposit.
“The Troilus team is excited to further expand our knowledge of this system by applying our evolving geological model to this area and the rest of the property.”
Reid added that the Southwest zone remains open – additional assays are pending. Results to date have traced this area of mineralization, first reported in January, over a 1 km trend.
The Z87 pit at the site produced almost 2 million oz. of gold in the past. Indicated resources at the project are at 159.1 million tonnes grading 0.92 g/t gold-equivalent for a total of 4.71 million gold-equivalent oz. with additional inferred resources of 52.7 million tonnes at 1.04 g/t gold-equivalent for a further 1.76 million oz. The resources include both an open pit and underground component and are contained within the Z87 and J zones.
The Troilus project is within the Frotet-Evans greenstone belt and is approximately 170 km north of Chibougamau.
(This article first appeared in the Canadian Mining Journal)
