Redeveloping Historic High-Grade Gold Property in Ontario
Signature Resources Ltd. (TSXV:SGU,OTCQB:SGGTF,FWB:3S3) is an established gold exploration company with 100 percent control of the historic Lingman Lake property in the favorable mining jurisdiction of Ontario, Canada. The property hosts five major high grade-zones of gold mineralization with a historic estimate of 234,648 ounces grading 6.86 g/t gold. Historic bulk samples demonstrated even higher grades, average 17.3 g/t gold.
The Lingman Lake property has an extensive historical database of over 25,000 meters of core from prior drill programs and existing infrastructure, which represent an excellent opportunity for low-cost mineral exploration and a fast-track to a NI 43-101-compliant resource estimate.
In 2016, Signature Resources undertook a re-logging and sampling program to build confidence in the historical assays. The results showed a 94-percent correlation between the historic and current assays. The high confidence in the historical assays allows the company to incorporate the database along with future core assays to define a compliant resource for the project at significant cost savings.
Further illustrating management’s confidence in the potential of the Lingman Lake property and the surrounding geology, Signature Resources launched two aggressive claim staking programs in 2017 and 2018. The company targeted highly-prospective claims to the north and west of the mine site where government geologist records have indicated numerous occurrences along the greenstone belt in a similar setting as the Lingman Lake gold zones, significantly increasing its land package. Signature Resources’ property currently totals 14,820 hectares.
Signature Resources completed a high-resolution VLF-EM survey over the property in the first half of 2018, the results of which display a correlation between the known gold zones and the magnetic and electromagnetic components of the survey. From this, two horizons spanning the entire strike length of the property were identified containing numerous high priority targets for additional follow up work.
In the last half of 2018, the company completed a 1500-meter drill program that focused on the areas that formed the historic resource. Highlights from the drill program include:
- Nine and a half meters of 12.15 g/t gold and five meters of 13.65 g/t gold in the West zone target from drill holes 18-01 and 18-02 respectively.
- Eight meters of 17.87 g/t gold and four meters of 6.84 g/t gold in the North zone target, with samples including one-meter intervals with results as high as 58.08 g/t gold from drill 18-05; and
- Fourteen meters of 8.56 g/t gold in the South zone target, which included five meters of 16.61 g/t gold, and one-meter intervals with high-grade results as high as 37.27 g/t gold from drill hole 18-10.
Presently an exploration camp is maintained at the mine site which includes a core-logging facility and ready to use all-season accommodations. Moving forward, Signature Resources intends to continue its exploration efforts on the property to expand the resource and produce a resource model of the gold zones.
Signature Resources’ Company Highlights
- High-grade brownfield project.
- Historical estimate of 234,648 ounces with an average grade of 6.86 g/t gold.
- Bulk samples and composite samples demonstrated higher grade potential (10 g/t to 19 g/t versus 6.86 g/t gold in the historical resource) than the historical grade of 6.86 g/t.
- Deep drill hole intersection at 240 meters vertical returned 1.5 meters of 325 g/t gold.
- Recent core re-sampling and logging validates historical grades which can now be incorporated into a future resource model.
- High-grade, under-drilled property with multiple vein layered system suggests low-cost resource expansion.
- 2018 drill program recovered high-grade mineralization in the South, West, Central and North zones intersecting wider zone widths and higher-grades than historically reported.
- Working towards completing an updated resource estimate.
- Exploration targets remain open with 22 kilometers of favorable contact for exploration with numerous showings.