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Integra Gold continues to put out high-grade drill results from its Lamaque South project in Quebec. However, the company is also drawing attention to newly confirmed, steeply dipping “C” structures that lie below the current resource limit at the project’s Triangle zone.
The latest round of drilling at Triangle has certainly yielded positive results so far. Most recently, on Wednesday Integra reported the widest intersection to date from the zone at 10.73 g/t gold over 16 meters. Other significant intercepts include 8.47 g/t gold over 8.5 meters, 12 g/t gold over 3 meters and 18.01 g/t gold over 5 meters.
However, while Integra Gold CEO Stephen de Jong is positive on the rapidly growing C4 zone at Triangle, he’s suggested that the presence of multiple steeply dipping mineralized structures below the current resource limit at Triangle are even more important to note. That’s because the structural pattern of those zones is remarkably similar to the Main Plug at the Lamaque mine, which was mined down to a depth of a 1,100 meters and produced over 4.5 million ounces.
“The positive implications related to these thick, high grade intercepts and, more importantly, the newly interpreted ‘C’ structures at Triangle, are far-reaching,” said de Jong in Wednesday’s release, adding, “[w]e have no doubt that these newly interpreted ‘C’ structures and veins have the potential to significantly add to future resource estimates and enhance future mine plans.”
Certainly, the market appears to agree with that statement. At close of day Wednesday, Integra’s share price was up 7.27 percent, at $0.295, with roughly 5.7 million shares of the company trading hands — that’s over nine times the average daily trading volume for the company.
The C4 zone was previously called the T10 zone due to the existence of previously logged and interpreted “T” mineralized structures. Integra notes in Wednesday’s release that the newly identified “C” zones are “generally higher grade, more steeply dipping and more continuous.” The “T” structures remain valid in Integra’s resource model at Lamaque, but will be interpreted as second-order structures to the “C” zones.
Mick Carew of Haywood Securities commented on Integra’s latest results in a research note put out on Wednesday, noting that the company has significantly expanded its resource at the Triangle zone and suggesting that the project still features “plenty of upside and robust economics.”
“The new gold ounces lie in close proximity to the proposed underground infrastructure as set forth in the PEA and are situated within a vertical-depth envelope similar to that of the previous resource estimate,” the note reads. “Integra plans to analyze accessing the expanded resources using that same underground in its ongoing development studies – potentially enhancing project economics.”
Certainly, investors will continue to watch for more results from Triangle. Wednesday’s results are from 11 of 46 holes focused on step-out and resource expansion drilling at Triangle. Integra has completed 44,525 meters of drilling in 99 holes so far this year. The company is expected to put out an updated resource estimate in Q4 2015.
Securities Disclosure: I, Teresa Matich, hold no direct investment interest in any company mentioned in this article.
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