St. Andrew Goldfields (TSE:SAS) announced Thursday definition drill results from the western portion of the Smoke Deep zone at its Holloway Mine property in northeastern Ontario, showing high gold grades over wide intercepts.
Meanwhile, the company said that ramp development at the Smoke Deep zone is moving ahead on track, with plans to bring the area into production in the fourth quarter. Since July 2010, when the company started initial development work, over 2,100 metres of lateral development have been completed. The ramp has been driven underground from the 730-metre level of the Lightning zone in order to better access Smoke Deep for definition drilling.
As a result, the definition drilling program began on the property in May. To date, the company has completed over 6,000 metres of drilling, with another 10,000 metres remaining in the initial drill phase.
The latest assays from the program returned 9.37 grams per tonne (g/t) gold over 6.1 metres, including 3.3 metres grading 15.52 g/t gold, in hole 780-515.
Hole 780-522 also found 21.1 metres at 3.74 g/t gold, including 10.1 metres at 5.78 g/t gold, while assays from hole 780-523 returned 6.4 metres grading 6.1 g/t gold.
"We are very pleased with the recent results from the Smoke Deep Zone, and are happy to announce that development is moving ahead on track," said president and CEO, Jacques Perron.
"We had limited drill information on the western portion of the zone, and these recent results are very encouraging.
"We remain on target to bring the zone into production in the fourth quarter of this year and are looking forward to recommencing the exploration efforts on the eastern portion of the zone once the ramp development has been completed."
The gold mineralization on the Smoke Deep zone, located between the Lightning zone to the east, and the Blacktop zone to the west, extends approximately 500 metres east-southeast along strike.
Other notable results include hole 780-527, which found 18.7 metres grading 3.17 g/t gold, including 4.7 metres at 6.55 g/t gold. Assays from hole 780-534 returned 18.7 metres at 3.88 g/t gold, including 7.03 g/t gold over 4.3 metres, while hole 780-573 returned 10.4 metres grading 6.37 g/t gold.
The drill program on the property will now focus on the eastern portion of the Smoke Deep zone.
St. Andrew is a gold explorer and producer with an extensive land package in the Timmins mining district, northeastern Ontario, which lies within the Abitibi greenstone belt.