‘Robust mineralization’ at Valley in Yukon, Snowline says

Drilling by Snowline Gold (TSXV: SGD; US-OTC: SNWGF) continues to deliver strong results from this year’s drill program at its Valley deposit in eastern Yukon. The company is also updating on its regional exploration.

Hole V-24-099 cut 351.6 metres grading 1.19 grams gold per tonne, from 6.4 metres depth, including 2.05 grams gold over 166.1 metres, which aimed to infill a 130-metre gap; and hole V-24-101 returned 356 metres at 1.05 grams gold over from 8 metres depth, including 102 metres at 2.07 grams gold, located towards the northeast boundary of the current drilling.

“Today’s results highlight the robust nature and scale of mineralization at the Valley deposit,” Snowline CEO Scott Berdahl said in a release. “The seven holes span a six hundred by 450 metres spatial footprint, primarily testing the margins of the deposit as currently understood. They consistently deliver intervals spanning hundreds of metres of continuous mineralization, above one gram per tonne gold and in cases above two grams per tonne-results in themselves that would be singular highlights in many other systems of this type.”

The holes are to be added to an updated resource estimate along with 20 additional holes from this year’s drilling that are yet to come, Berdahl added. 

The results follow similarly high-grade intervals reported just two weeks ago at the Valley deposit. 

Snowline stated on Thursday that all other holes from Valley show continuous gold mineralization over at least 200-metre downhole lengths. The drill teams reported that assays remain pending for more than 11,600 metres from 29 holes across three targets at Snowline’s Rogue and Einarson projects.

Snowline Gold’s Rogue project in the Yukon covers a 60-km by 30-km cluster of intrusions in the eastern Tombstone gold belt known as the Rogue plutonic complex. Since its launch in 2021, Snowline has progressed the Rogue project’s Valley deposit from a greenfield prospecting discovery to a significant bulk tonnage gold resource. It released an initial resource last June based on 28,000 metres of drilling. Indicated resources stand at 75.8 million tonnes grading 1.66 grams gold for 4.1 million oz. contained gold. Inferred resources add 81 million tonnes grading 1.25 grams gold for 3.3 million contained oz. gold. The resource used a cut-off grade of 0.4 gram gold.

Company shares gained 1% to $5.05 apiece on Thursday morning in Toronto, giving Snowline a market capitalization of $800.5 million. Its shares traded in a 52-week range of $3.88 to $6.40.