Metanor Resources (MTO.V) has reported it produced 4,028 ounces of gold in the month of January, which once again puts the company on track to produce close to 50,000 ounces of gold this year. The average head grade for the month was 6.06g/t which is good considering the company was also milling development ore. In excess of 690 meters of drifts and sub-levels were developed in January which allowed to open up more stopes, and approximately eight stopes were up and running during January.
Additionally, Metanor said it has confirmed the continuity of the main vein at depth and this will very likely lead to an increased resource estimate underneath level 14. Further drilling will be carried out to determine the potential size of the mineralized area. Of interest are the intercepts of 7.5 meters at 13g/t and 3.4 meters at 11.3g/t which is substantially better than the current head grade at the mill. The true width of the drill intercepts was between 75% and 90%, which is very decent and adds confidence that more mineable ounces will be discovered and eventually recovered.
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Disclosure: The author holds a long position in Metanor Resources. Please see our disclaimer for current positions.
