NuLegacy Gold (NUG.V) has announced the assay results of a few more holes that were part of the company’s 2015 exploration program at the Iceberg deposit in Nevada, USA.
Drill hole number 60 was located in the Central Zone of the Iceberg project and the drill bit intersected a relatively wide mineralized area with an interval of 35 meters of 1.04 g/t, including a high-grade zone of 7.6 meters at almost 4 g/t which is an excellent result for an oxide gold deposit. That’s very nice, but what caught our attention were the drill results of two step-out holes to the northwest and northeast of the Central zone. Both holes returned wide mineralization with intercepts of almost 21.5 meters at 0.42 g/t and 23 meters at 0.73 g/t gold (with a higher grade interval of 7.5 meters at 1.15 g/t gold).
That’s a very interesting fact as this effectively expands the footprint of the mineralized area at Iceberg and it provides the company with more data to work with. As Barrick Gold (ABX, ABX.TO) seems to be downsizing its early exploration program in Nevada (apparently its 70% stake in Spring Valley is up for sale), it’s now less likely it will exercise its back-in right at Iceberg so there’s now a very good chance NuLegacy Gold will end up owning at least 70% of the Iceberg project by the end of this year. ‘at least’, indeed, because if Barrick is indeed downsizing its portfolio of exploration projects, there might be a possibility for NuLegacy to secure full ownership of the project.
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Disclosure: The author holds a long position in NuLegacy Gold. NuLegacy is a sponsor of the website. Please see our disclaimer for current positions.
