Sandstorm shares up on Hod Maden drill results

Hod Maden mine site. Image by Lidya Madencilik.

Sandstorm Gold (NYSE: SAND, TSX: SSL) reported on Thursday new drill results for its Hod Maden project in Turkey.

Drill hole HTG-002 showed 85.3 metres at 84.3 grams per tonne gold and 6.8% copper from 19.0 metres, using a 2.4 g/t cut-off grade, uncut.

Drill holes HTG-002 and HTG-003 are infill drill holes within the main deposit at Hod Maden.

The holes were drilled oblique to the strike, testing the continuity of the high-grade mineralization. According to the company, assay results show excellent, uniform grade distributions within the deposit, which has an estimated true thickness of about 65 meters.

A Pre-Feasibility Study was released in 2018 and considered an underground mine with a processing rate of 900,000 tonnes per year. The base case has a mine life of 11 years with average annual production of 266,000 ounces of AuEq per year at an average head grade of 11.9 g/t AuEq.

Midday Friday, Sandstorm's stock was up 6.8% on the NYSE. The company has a $1.6 billion market capitalization.