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The company most recently released results from nine further holes completed at the Montagne d’Or gold deposit its Paul Isnard project in French Guiana. They were completed as part of a 126-hole, 25,570-meter Phase II drill program that finished in early November 2014.
“Flag of French Guiana” by Madden — Conseil Général de la Guyane. Licensed under Public Domain via Wikimedia Commons.
It’s starting to look like Vancouver-based Columbus Gold (TSXV:CGT) may be a company to keep an eye on in 2015. Since the start of the year, the exploration and development company has put out a slew of news regarding its Paul Isnard project in French Guiana, and it doesn’t look set to slow down any time soon.
The news is noteworthy in part because French Guiana is an interesting location — though it’s situated in South America, it’s an overseas department and region of France. That means it’s technically part of the European Union, with its government headed by a prefect selected by the president of France. In terms of resources, the area is unfortunately known as a hot spot for illegal gold mining, with the WWF expressing concern about the issue as recently as last fall.
Columbus, of course, is helping to change that reputation, and most recently released results from nine further holes drilled at the Montagne d’Or gold deposit, located at Paul Isnard. They were completed as part of a 126-hole, 25,570-meter Phase II drill program that finished in early November 2014. Results from 98 holes have now been released, with 28 still remaining.
In a note to clients, Haywood Securities points to holes MO-14-203 and MO-14-198 as highlights from the current batch of results. The former intersected 129.6 meters grading 1.11 g/t gold from a downhole depth of 225.2 meters, including 5.8 meters grading 12.57 g/t gold from a downhole depth of 225.2 meters. Meanwhile, the latter intersected 148.1 meters grading 0.97 g/t gold from a downhole depth of 156.8 meters, including 3.4 meters grading 8.29 g/t gold from a downhole depth of 220.6 meters.
Columbus notes in Tuesday’s release that holes 199, 201 and 202, as well as 198 and 203, were able to establish consistent and wide mineralized envelopes in the central section of the deposit’s Upper Felsic Zone. According to the company, the drilling campaign as a whole has confirmed good continuity in the west and east-central sections of that zone.
Ultimately, Columbus’ goal is to use the data gained from the drill program to complete an updated resource estimate for Montagne d’Or; it will be aimed at converting inferred resources to indicated and measured. Concurrently, Columbus is looking to release a preliminary economic assessment( PEA) for the project this spring. Haywood also notes that metallurgical testwork is on the docket.
That work is all being funded by Nord Gold (OTCMKTS:NRDVY), which has an option to earn a 50.01-percent interest in certain licenses at Paul Isnard. To do so, it must complete a bankable feasibility study and spend at least US$30 million over three years via staged work expenditures.
All in all, there are certainly lots of catalysts for investors to look out for at Montagne d’Or. At close of day Tuesday, shares of Columbus were up a modest 3.33 percent, sitting at $0.465.
Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.