O3 Mining (TSXV: OIII) has reported new drill results from the Gold Hawk zone at its Marban gold project, part of the company's wholly-owned Malartic property located near Val d'Or, Quebec.
The current 45,000 metre drill program is focused on expanding mineralization outside of proposed pit areas previously outlined in a preliminary economic assessment released in early September.
O3's president and CEO, Jose Vizquerra, said the Gold Hawk zone has the potential to be a high-grade satellite deposit for the company's main Marban mine development, which is located 2 km away from where the latest drilling took place.
The new assay results are from seven holes that targeted extensions down plunge at Marban's Gold Hawk zone. Drilling hit the Gold Hawk zone between 390 and 570 metres below surface, at a spacing of 50 to 100 metres.
Highlights released included hole O3MA-20-008, which intersected two mineralized intervals. The first returned 383.4 grams gold per tonne over 2 metres from 552.8 metres downhole, including 1,510 grams gold over 0.5 metres from 553.8 metres. O3MA-20-008's second interval was four metres deeper and returned 5.3 grams gold over 1.1 metres.
Drill hole O3MA-20-002 intersected 1.8 grams gold over 5 metres from 489.8 metres downhole along the same basalt-komatiite contact as O3MA-20-008. A third hole, O3MA-20-003, cut 16.8 grams gold over 0.5 metres from 588 metres downhole.
The company is awaiting assay results from three more follow-up holes completed around drillhole O3MA-20-008.
In a press release, Vizquerra said that the intercepts, "confirm the exceptional high-grade characteristic of the gold deposits along the prolific Marbenite shear corridor giving us the confidence to continue the drill program to more quickly unlock its potential and build resources there."
At press time, O3's shares were trading at $2.37 within a 52-week range of $1.06 and $3.68. The company has 60 million common shares outstanding and a market capitalization of $143 million.