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.
Tudor Gold has reported its best intercept yet from drilling at its Treaty Creek project in B.C.’s Golden Triangle – a 973-metre interval grading 0.85 g/t gold-equivalent (or 0.775 g/t gold, 3 g/t silver and 0.02% copper).
The intercept, starting at 34.5 metres depth in hole GS-20-57, included a shorter 217.5-metre section grading 1.4 g/t gold-equivalent, starting at 544.5 metres depth.
The wide extent of mineralization in the hole, drilled in the central-southwest portion of the Goldstorm system where grades have been weaker, surprised the company.
The strongest mineralization has been in the system’s northeast, where the company will begin drilling in mid-July
The main aim of the drill program at Treaty Creek, located 70 km north of Stewart, is to expand the system to the southeast and northeast.
Aside from hole GS-20-57, the strongest mineralization has been in the system’s northeast, where the company will begin drilling in mid-July, and which it says is the “main event” of the drill program.
The previous best hole at Treaty Creek, which is on trend from Seabridge Gold‘s KSM project, 5 km southwest, was 1,081.5 metres of 0.7 g/t gold-equivalent.
Tudor has added another two drill rigs to the project for a total of four, and has expanded its drill campaign to 35,000 metres from 20,000 metres. It plans to publish an initial resource before the end of the year.
Currently, the Goldstorm system at Treaty Creek is over 850 metres long on its northeast axis, and 600 metres across its southeast axis. It remains open in all directions and to depth.
In a release, Ken Konkin, VP of project development, said the geological model for the system is evolving.
“It is apparent that there have been several pulses or phases of stronger gold, copper and silver mineralization that give the Goldstorm System its nebulous shape of interconnected disseminated and veinlet stockworks,” he said. “It is clear that we also need to expand drilling to the southwest given the results obtained from GS-20-57.”
The company released the results from nine new holes in all, with other highlights including: 69 metres of 1.34 g/t gold-equivalent (1.172 g/t gold, 1.69 g/t silver and 0.1% copper) starting from 360.5 metres depth in hole GS-20-55. That interval was part of a wider intercept of 156 metres grading 0.852 gold-equivalent.
Tudor owns a 60% interest in Treaty Creek, with American Creek Resources and Teuton Resources each holding a 20% interest carried through to a production decision.
Tudor’s stock was trading down 8.3% at Thursday’s close on the TSXV. The company has a C$371 million market capitalization.
