SmallCapPower | March 6, 2018: ML Gold Corp. (TSXV:MLG) late Wednesday announced that it has made a copper discovery on its recently-acquired Stars project located in central British Columbia (BC) within the province's prolific porphyry belt. Key highlights of the Phase I program that started in January 2018, included high-grade results near surface and the identification of a better-mineralized Porphyry Centre. However, shares of ML Gold fell more than 20% to $0.19 on the TSXV post the announcement. Sharp share price appreciation of nearly 90% occurred ever since ML Gold announced its first drill hole data on January 11, 2018.
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Hole 4 intersected 1.02% copper equivalent (0.93% Cu) over 40.2 meters within a larger interval grading 0.50% CuEq (0.45% Cu) over 204 meters. This high-grade near surface zone could play a significant role in the economics required to build a mine while its location on the edge of the ovoid magnetic "ring" feature indicates that there could be additional high-grade zones elsewhere within the magnetic ring feature extending ~5 kilometres in diameter. The recent (Jan 25th) detailed airborne magnetic survey identified a possible Porphyry Centre between the two zones drilled in the current program. The Porphyry Centre could host a better copper mineralization, indicating a significant upside target for grades.
Grades at drill holes 1, 2, and 3 were lower at 0.13 CuEq over 262m, 0.11 CuEq over 226m and 0.15 CuEq over 165m, respectively. Results from Holes 5 and 6 are yet to be reported. ML Gold plans an aggressive second phase of drilling to expand from Hole 4 and test the newly-identified "central" target area.
ML Gold acquired the Stars project in November 2017, and began its 2,500-meter Phase -I, 5-6 drill hole drilling program on January 2, 2018. On January 11, 2018, ML Gold announced that the first drill hole Intersected 311 metres with visible chalcopyrite mineralization and two weeks later (Jan 25th) announced that an additional three drill holes Intersect Visual Copper Mineralization including veins of massive copper sulphides.
ML Gold has five mineral projects in Canada and the U.S., and is currently exploring the Aspen gold and Pinnacle Reef properties in BC, and its newly-acquired Palmetto gold project in Nevada, and the Stars project in central BC. ML Gold currently trades on the TSXV with a market cap of $16.7 million.
Disclosure: Neither the author nor his family own shares in the company mentioned above.
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