Treasury Metals (TSE:TML) has unveiled additional drill results from its phase II drilling program on its Goliath gold project in northwestern Ontario, reporting high grades from a new zone and in the developing western area of the asset.
Of the highlights in the new zone, now known as the B Zone, the company intersected 29.31 grams per tonne (g/t) gold over 1 metre and 24.18 g/t gold over 3.00 metres.
The B Zone is located between the Main target and the C Zone, encountering common visible gold occurrences, Treasury said in a statement.
The main purpose of the drilling program, however, has been to develop the C Zone and Western shoots at depth at the project, in areas that have not been previously tested. Highlights here from the latest results include 11.67 g/t gold over 3.00 metres and 15.85 g/t over 2.1 metres.
The campaign is designed to upgrade resources into higher categories and expand mineralization in known gold zones.
Treasury said that the Main, B and C Zones all remain open at depth, with geological findings suggesting that additional parallel shoots may also happen elsewhere along strike of the current gold mineral resource.
Additional results will be unveiled in due course, along with the company's further plans to explore the new B Zone, it added.
Once the current phase II round of drilling is finished, Treasury will complete and file an updated NI 43-101 compliant resource report, which will form the basis for the project feasibility study to be initiated this year.
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.
Currently, the resource estimate defines a 1.7 million ounce global resource, based on a report conducted in 2011. In the upcoming resource update, Treasury is targeting the conversion of about 300,000 inferred ounces to the measured and indicated category.