Fronteer Development Group (FRG-T, FRG-X) has released some strong grades from recent drilling on its 51%-owned Long Canyon gold project, in Elko Cty., Nev., that will be included in an initial resource estimate in the first quarter.
The most recent drill results show that mineralization extends even farther than thought.
Testing a 150-metre-long gap between mineralized holes in the West zone, Fronteer cut 25.8 metres grading 9.03 grams gold per tonne, including 6.9 metres of 14.44 grams gold.
The company also received positive results from some stepout holes drilled to extend the Northeast and Shadow zones.
Highlights include 7.6 metres grading 5.45 grams gold per tonne, including 3 metres averaging 9.36 grams gold.
Another hole returned 16.8 metres grading 4.34 grams gold per tonne, including 6.1 metres at 6.63 grams gold.
According to Fronteer, drilling has consistently intersected near-surface, high-grade oxide gold mineralization.
So far, mineralization has been intersected over a 1.7-km-long strike length and across several zones that add up to 400 metres in width combined.
Mineralization remains open in all directions so far, including at depth. The deepest hole in the most recent results was drilled to a depth of 161.6 metres.
AuEx Ventures (XAU-T, AUXVF-O) holds the remaining 49% of the Long Canyon project. Fronteer, the operator, recently turned down an option to earn an added 14% of the project by paying for a bankable feasibility study.
Fronteer drilled about 24,700 metres in 164 holes last year at Long Canyon. Assays from 50 holes have not been received yet. Once the final assays are in, the company plans to tally a resource estimate for the project.
Fronteer also holds the Sandman and Northumberland projects in Nevada.
Northumberland hosts an indicated resource of 33.1 million tonnes (36.5 million short tons) grading 1.92 grams gold per tonne and 7.72 grams silver for 2.3 million oz. gold and 9.1 million oz. silver.
Inferred resources stand at 6.3 million tonnes (6.9 million tons) grading 3.49 grams gold per tonne and 6.3 grams silver for a total of 776,000 oz. gold and 1.4 million oz. silver.
The Sandman project has a measured and indicated resource of 7.3 million tonnes (8 million tons) grading 1.17 grams gold per tonne for 272,000 oz. gold plus and an inferred 1.3 million tonnes at slightly lower grades.
Fronteer shares were up 10¢ on the news, or 4%, to $2.35 per share and at presstime traded at $2.54.
The stock has a 52-week trading high of $11.50, reached last January, and a low of $1.55 in November. The company has 83.5 million shares outstanding and a quoted market value of $196.3 million.
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