Banyan Gold (TSXV: BYN; US-OTC: BYAGF) has arranged a $931,000 private placement with insiders participating for $112,000, or 12%. It closed the private placement’s first tranche, worth half a million dollars, in early July.
The company says it will use the money to continue exploring its Hyland and Aurex-McQuesten gold projects in Yukon, as well as for general working capital.
The company’s flagship 186-sq.-km Hyland project is located 70 km northeast of Watson Lake, along the southeast end of the Tintina gold belt.
The company began its summer exploration program at Hyland in mid-June. The company plans to drill 1,200 metres through 10 holes, spaced 100 metres apart. It will also trench more than 1,000 metres from 20 trenches spaced 50 metres apart.
Hyland contains 8.63 million indicated tonnes grading 0.78 gram gold per tonne for 216,000 oz. gold and 7.04 grams silver for 1.95 million oz. silver. The project also contains 10.7 million inferred tonnes at 0.77 gram gold for 266,000 oz. gold and 5.32 grams silver for 1.84 oz. silver.
The company performed a LIDAR analysis and geochemical soil survey at Hyland in 2017. It also drilled more than 3,800 metres across 25 holes. Highlights include: 57.4 metres at 0.85 gram gold and 3.3 grams silver from 83 metres downhole and 46 metres grading 1.6 grams gold and 6.5 grams silver from 138 metres downhole.
The results extended the main mineralized zone 300 metres north from the previous resource area.
Banyan consolidated land it acquired from Victoria Gold (TSXV: VIT; US-OTC: VITFF) and Alexco Resource (TSX:AXR; NYSE: AXU) to form the 92.3-sq.-km Aurex-McQuesten project. It’s located near Victoria’s Eagle gold project, which is in construction, and Alexco’s Keno Hill silver district.
It has about $7 million of historic exploration data. Banyan has proposed a 2018 exploration program at Aurex-McQuesten that would include soil surveys, infill soil sampling and trenching.
Shares of Banyan are currently valued at 6¢ with a 52-week range of 5¢ to 13¢. The company has a market capitalization of $5 million.
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