Columbus Gold (CGT.V) has released a large batch of drill results from its extensive exploration program at the Eastside gold project in Nevada, USA. There were some pretty impressive drill results such as 109 meters of almost 0.7 g/t gold and in excess of 150 meters of 0.71 g/t gold.
You might think these intercepts are relatively deep, but that couldn’t be further from the truth. On the previous image you can see the drill holes were drilled at a certain angle, and the mineralization actually already starts less than 75 meters below surface. It looks like the mineralized area is pretty consistent over a thickness of roughly 175 meters and based on the current mineralized envelope, we have the impression the mineralization has now been confirmed over a width of 150-200 meters. This means that per 100 meter strike length, Columbus Gold might very well be sitting on 200,000 ounces gold. Keep in mind the Eastside project is an oxide project, so it shouldn’t be too difficult to recover the gold from the ore.
Andy Wallace, director of Columbus Gold, was very positive about Eastside and it looks like this batch of exploration results is confirming his suspicions. According to CEO Robert Giustra, the mineralization seems to be more widespread than originally anticipated and this bodes extremely well for the future. Also keep in mind almost HALF of the holes which have hit gold mineralization have ended in mineralization, indicating the system seems to be continuing at depth.
The Eastside project could be huge and this strengthens our thesis JV partner Nordgold will make a move to acquire the Paul Isnard gold project in French Guyana and spin out the Nevada assets in a new company. We will release an updated report on Columbus Gold shortly.
> Click here to go to Columbus’ website
Disclosure: The author holds a long position in Columbus Gold. Columbus Gold is a sponsor of the website. Please see our disclaimer for current positions.
