Palisades Goldcorp Takes Up Major Interest
Labrador Gold Corp. (TSXV:LAB) has closed a non-brokered private placement for gross proceeds to LabGold of C$4,050,000 to fast-track exploration of the Kingsway gold project in Newfoundland.
As a result of the Offering, Palisades Goldcorp has become an insider of the company holding an approximately 13.57% interest.
Labrador Gold President and CEO, Roger Moss, said Palisades becoming an insider of LabGold is a vote of confidence in the company and in the potential of the Kingsway Project.
“We are now well capitalised to continue our aggressive exploration programme to make the next discovery in the Gander gold district,” Mr Moss said.
In early March 2020, Labrador Gold acquired the option to earn a 100% interest in the Kingsway project in the Gander area of Newfoundland.
The property is along strike to the northeast of New Found Gold’s discovery of 92.86 g/t Au over 19.0 metres on their Queensway property.
In early July 2020, the company signed an option agreement to acquire a third license to add to the property package which now covers approximately 77 sq. km. The three licenses comprising the Kingsway project cover approximately 16km of the Appleton fault zone which is associated with gold occurrences in the region, including the New Found Gold discovery.
Historical work over the area covered by the Kingsway licenses shows evidence of gold in till, vegetation, soil, stream sediments, lake sediments and float. Infrastructure in the area is excellent located just 18km from the town of Gander with road access to the project, nearby electricity and abundant local water.
The Hopedale property covers much of the Hunt River and Florence Lake greenstone belts that stretch over 80 km. The belts are typical of greenstone belts around the world but have been underexplored by comparison. Initial work by Labrador Gold during 2017 show gold anomalies in soils and lake sediments over a three km section of the northern portion of the Florence Lake greenstone belt in the vicinity of the known Thurber Dog gold showing where grab samples assayed up to 7.8g/t gold.
In addition, anomalous gold in soil and lake sediment samples occur over approximately 40 kilometres along the southern section of the greenstone belt. Labrador Gold now controls approximately 57km strike length of the Florence Lake Greenstone Belt.
The Ashuanipi gold project is located just 35 km from the historical iron ore mining community of Schefferville, which is linked by rail to the port of Sept Iles, Quebec in the south. The claim blocks cover large lake sediment gold anomalies that, with the exception of local prospecting, have not seen a systematic modern day exploration programme.
Results of the 2017 reconnaissance exploration programme following up the lake sediment anomalies show gold anomalies in soils and lake sediments over a 15 km long by two to six km wide north-south trend and over a 14 km long by two to four km wide east-west trend.
