Treasury Metals (TSE:TML) said it has added a second diamond drill to accelerate the phase II exploration program underway at its Goliath gold project in Ontario.
The second drill will focus on infill exploration of the central high-grade shoot, the gold developer said, while the initial drill will continue the program in the Western Main Zone and the new high grade shoot in the C-Zone --- the least drilled areas of the deposit.
The company said results from the program, which began last November, will continue to be provided as they become available.
Following the completion of its drilling program and a resource update in the first half of this year, Treasury is also planning to complete a feasibility study. In the upcoming resource update, Treasury is targeting the conversion of about 300,000 inferred ounces to the measured and indicated category. Currently, the resource estimate defines a 1.7 million ounce global resource, based on a report conducted in 2011.
The company is also well on its way with permitting, having submitted the Environmental Impact Statement last October, which is currently undergoing internal review by federal regulatory authorities.
Goliath is one of six projects currently in the permitting stage in Ontario, with New Gold's (TSE:NGD) Rainy River, Agnico-Eagle (TSE:AEM) and Yamana's (TSE:YRI) Hammond Reef, Iamgold's (TSE:IMG) Cote, Argonaut Gold's (TSE:AR) Magino and Premier Gold's (TSE:PG) Hardrock projects making up the remainder of the list.
Goliath's preliminary economic assessment in 2012 outlined a project with annual production of 80,000 ounces, and a manageable initial capex of $91.4 million, making it an attainable project for a company of Treasury's scale.
Treasury also closed a financing for proceeds of $800,000 to keep its treasury liquid, on top of a $6 million facility arranged with RMB Resources in February 2014.