Snowline Gold’s (TSXV: SGD; US-OTC: SNWGF) Valley deposit dwarfs most other projects in grade and metal, according to the most anticipated initial resource for a Yukon asset in decades.
Valley in Snowline’s Rogue project holds 75.8 million indicated tonnes grading 1.66 g/t gold for 4.1 million oz. contained metal, the company said on Monday. It has 81 million inferred tonnes grading 1.25 g/t for 3.3 million oz., Snowline said in a release.
“In just two full exploration seasons, Snowline has advanced its Valley target from greenfield discovery holes to a robust multi-million-ounce gold deposit with continued exploration upside,” CEO Scott Berdahl said. “Valley has excellent potential for continued growth, as evidenced by broad intervals of 1 to 2 grams per tonne gold mineralization returned in drilling on multiple edges of the system.”
Major B2Gold (TSX: BTO) invested into Snowline early last year as drilling solidified the 1,100-km2 Rogue as part of the Tombstone gold belt arcing across the region. Kinross Gold’s (TSX: K; NYSE: KGC) Fort Knox mine in Alaska, and Victoria Gold’s (TSX: VGCX) Eagle, the Yukon’s only operating hard rock gold mine, are geologically similar. They’re in the same type of reduced intrusion-related gold system while Valley has much higher grades.
Other companies with projects in the Yukon’s part of Tombstone include Sitka Gold (CSE: SIG), Banyan Gold (TSXV: BYN; US-OTC: BYAGF) and St. James Gold (TSXV: LORD).
