Vancouver – Shares of Manitou Gold (MTU-V) were on a tear after the company released a drill hole with staggering grades from its Kenwest property in northwestern Ontario.
The hole in question, number 11-26, hit 8.45 metres averaging a respectable 4.9 grams gold per tonne when cut to 50 grams, but a far more impressive 3,497 grams gold per tonne uncut.
Within the intercept was an even more impressive 0.55-metre section grading a double-take-inducing 53,700 grams gold per tonne. The intercept started at 45 metres depth.
By the end of market close the day after the news broke Manitou’s share price was up 59¢ or 174% to 93¢ on 11 million shares traded.
The Kenwest property, located 51 km southwest of Dryden in the Kenora mining region, hosts the historic Big Master mine that last operated in the 1940s. Manitou controls 32 patented mining claims and 10 mining leases in the area.
Gold mineralization at the site has been identified in two parallel shear zones 40 metres apart, which allows the company to test both structures with one drill hole by using deep holes.
The Big Master mine is on the No.1 gold structure, where Manitou hit 6.1 metres grading 15.4 grams gold last summer.
Holes 11-25 and 11-26 were drilled to hit both structures, targeting gold mineralization indicated by historic in the No. 1 structure. There, hole 11-25 hit 4.1 metres grading 6.2 grams gold from 297.4 metres deep and hole 11-26 hit 2.7 metres carrying 12 grams gold from 219 metres deep.
It was on the No.2 structure that Manitou hit the bonanza-grade hole 11-26, which has so far been tested by a total of seven drill holes. Drilled 50 metres southwest and 75 metres behind hole 11-26, hole 11-25 hit 2.6 metres grading 0.8 gram gold.
Manitou has 27.3 million shares outstanding, with Goldcorp (G-T, GG-N) its largest shareholder at 15%.
Be the first to comment on "Manitou jumps on ultra high grade gold intercept"