Contact Gold (C.V) has completed and announced the results of a rock chip and channel sampling program from new road cuts. The highlight of the announcement was a grab sample which contained 1.96 g/t gold in a silicified structure exposed in a new road cut, but other channel sampling results such as 73.2 meters at 0.26 g/t gold and 36.6 meters containing 0.32 g/t gold are interesting as well.
The sampling program encountered an additional target, which further strengthens the case for Jasperoid Wash. The new Mustang target was successful in infilling a gap between a previous sampling program (it connects the Moleen and Willow zones, and the three zones combined are now called the Mustang Target), and is continuous along a northwest trending soil anomaly that’s now already 2 kilometers long. According to CEO Lennox-King, the mineralization remains open to the north (in the direction of Gold Standard Ventures (GSV, GSV.TO) project where the Jasperoid Wash discovery seems to be located on the same, continuous trend) where it’s dipping below a thrust fault.
Contact also announced its long-awaited prospectus offering, and Cormark Securities and Raymond James have been appointed as co-underwriters. No size or issue price has been determined yet, but we hope to see some additional details in the next few days.
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