Vancouver-based AM Gold (CVE:AMG) said Wednesday that it has significantly increased its land position in the Yukon, by staking an additional 131 quartz claims, covering roughly 2,400 hectares at Red Mountain, northwest of Mayo.
The new claims are located next to the 52 claims that previously made up the Red Mountain property, in which the company holds an 80% stake, with an option to acquire 100%, and are also situated to the south and east of AM Gold's 1.32 million troy ounce gold inferred resource at the site.
With the addition of the new claim block, the company has more than tripled the size of its land package at Red Mountain to approximately 3,600 hectares in total.
AM Gold began its 6,000 metre diamond drill program at Red Mountain at the end of May, and despite poor spring weather conditions, the first hole of the 2011 campaign was collared earlier this month, at the southeast end of the resource area, the company said.
The drilling program is designed to expand inferred resources, as well as to explore several target areas that were previously untested.
AM Gold is developing its gold-copper projects in the Yukon, Canada and in Peru, while building a portfolio of pipeline projects in North and South America.