Vancouver — With a drill rig turning on its Kena gold property, Sultan Minerals (SUL-V) has added two new properties to its portfolio in southeastern BC.
The junior has picked up the Great Western property, which marks the northwestern extension of the Gold Mountain zone, from a local prospector. Under the terms of the deal, Sultan must pay $45,000 and issue 200,000 shares over three years. The vendor retains a 5% net smelter royalty on any gold production, 1.5% on any other mineral production and will receive an additional 200,000 shares once a feasibility study is complete.
The property hosts a 600- by 300-metre gold-in-soil anomaly, which may link up with the a second anomaly, 2.1 km by 650 metres, outlining the Gold Mountain zone. The two zones are separated by a 300-metre interval that was not sampled. Sultan has launched a soil geochemical survey to close this gap.
To the northwest of the Gold Mountain zone, Sultan has also gained the Tough Nut project. Under the deal, the junior agreed to pay $120,000 and issue 200,000 shares over four years.
Previous work on the property outlined a 1,300- by 400-metre gold anomaly in soils overlying a 600-metre portion of the favourable Silver King intrusion.
Sultan is tying up ground ahead of results from a third round of drilling over the Gold Mountain porphyry target.
Lying on the Kena property, the junior aims to test the extent of the gold mineralization over an area 1.4 km by 500 metres. So far drilling has tested part of a 2.1-km by 650-metre zone where geochemical and geophysical anomalies coincide. Holes 1 through 3 were collared from the same drill pad and returned up to 106 metres grading 1.16 grams gold. Moving 120 metres to the east, hole 4 hit 58 metres grading 1.21 grams gold from 28 metres down-hole, including a 2 metre section that ran 16.3 grams gold.
Collared 50 metres south of the first three holes, hole 6 cut 124 metres grading 0.62 gram gold per tonne. Included in this broad zone were several higher-grade sections including the final 2 metres of the hole which ran 9.1 grams gold from 130 metres down-hole.
Hole 5, which was the first hole of the second round of drilling, was collared 50 metres west of the initial holes and returned 134 metres grading 1.1 grams gold.
On the southern edge of the coincidental geophysical anomaly some 300 metres south, hole 7 cut 0.55 gram gold over 68 metres from 12 metres down-hole. Included in this section was a 22-metre interval grading 1.04 gram gold.
Preliminary petrographic and alteration studies on the drill core has not only confirmed that the mineralization is consistent with a porphyry gold depositional setting (known for large tonnage deposits), but also that it contains very low values of contaminants such as arsenic, cadmium and lead. Initial metallurgical test work on two composite core samples show that the ore is not refractory with recoveries hitting 92-to-97% using cyanide leaching.
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