Tower Mountain has new resource

An initial resource calculation for the Tower Mountain gold deposit west of Thunder Bay, Ont., shows about 100,000 oz. in two mineralized zones.

Consultants for ValGold Resources (VAL-V) estimated an inferred resource of 2.2 million tonnes grading 0.61 gram gold per tonne on the deposit’s U zone, and another 2.4 million tonnes grading 0.77 grams per tonne on the V zone. The total inferred resource comes to 4.5 million tonnes grading 0.69 grams, or 100,000 oz.

The resource was based on 55 drill holes with just under 14,000 metres of drilling, over a 400-metre strike length; the sections were drilled about 25 metres apart. The estimate used a cutoff grade of 0.3 grams gold per tonne. High-grade intervals in the U zone were cut to 4 grams and in the V zone to 10 grams per tonne.

The mineralization is held in a fault zone, about 200 metres wide, striking a little south of east. The host rocks are felsic volcanics and syenite intrusions and mineralization is concentrated at the contacts between these host rocks and later syenitic to intermediate intrusions.