Proceeds of this financing can be used for the event of the corporate’s Elk gold mission, which started manufacturing final fall and is presently present process useful resource growth drilling. The corporate has already efficiently improve the mission useful resource by two phases of drilling, and is now within the midst of a Section 3 program.
Situated 57 kilometres from Merritt in south-central B.C., the Elk gold property comprises as many as 9 mineralized zones, protecting a complete space of over 21,000 hectares. Their mixed assets are estimated at 4.36 million tonnes grading 5.8 g/t gold-equivalent (806,000 oz.) within the measured and indicated class, plus 1.49 million tonnes grading 5.4 g/t gold-equivalent (262,000 oz.) within the inferred class.
In accordance with a 2020 preliminary financial evaluation (PEA), the Elk gold mission has a post-tax internet current worth of C$231 million, utilizing a 5% low cost charge. All-in sustaining prices, primarily based on $1,600 per oz. gold, are projected at $554 per oz.
The mission was acquired by the corporate in Might 2019, when it was working underneath the title Bayshore Minerals, from Equinox Gold (TSX: EQX).