Sierra Nevada Gold (ASX: SNX) has obtained “encouraging” assay results from its recent drilling at the Colorback gold project in central Nevada, USA.
The company completed five reverse circulation (RC) holes for 378m at Colorback and results confirmed the presence of near-surface gold mineralization, verifying historic drilling that outlined zones of near surface oxidised gold mineralization.
Colorback’s historically defined zones of near-surface oxide gold mineralization coincides with the interpreted intersection of the Cortez and Pipeline structural corridors.
Executive Chairman Peter Moore said the company is very encouraged that the intersection of these key structural trends coincides with significant gold enrichment within the Upper Plate rocks. This relationship demonstrates the potential for these structures to either host or control the emplacement of Carlin style mineralization at depth within more receptive Lower Plate host rocks, as is the case at the nearby Cortez Complex and Pipeline deposits.
Colorback is located in the Battle Mountain Trend (BMT), which among others hosts the nearby giants, Pipeline deposit (20Moz gold), the Cortez Complex (15Moz gold) and Barrick’s Goldrush and Fourmile discoveries (+15Moz gold and growing). Located to the south of the Colorback project, the Robertson gold deposit was acquired by Barrick in 2017 for US$15.75M plus 1-2.25% NSR. Robertson is expected to produce at least 250,000ozpa gold over a 10+ year mine life. Nevada Gold Mines (Barrick-Newmont JV) is developing Robertson as part of the single largest gold-producing complex in the world.
“With our initial RC drill programme at Colorback, we have confirmed the oxidised gold ‘leakage anomaly’ and positive assays at the interpreted regional structural intersection of two very large, structurally-focused gold systems,” Mr Moore said.
“This result is very encouraging, and we look forward to further exploration at Colorback, as well as further exploration and recommencement of drilling at New Pass and Warrior, and results from our ongoing work at Blackhawk.”
SNX’s continued exploration programme will focus on defining drill targets within this fertile structural corridor where the gold carrying structures are interpreted to intersect the more favourable and receptive calcareous “Lower Plate lithologies” at depth, rocks that are host to the nearby giant gold deposits.
For further information please visit: https://sngold.com.au/
