Fury drills high grade gold at Eau Claire’s Percival prospect

Fury Gold Mines (TSX: FURY, NYSE-AM: FURY) says drill results from its Percival prospect may expand the resources at its Eau Claire project near James Bay in Quebec.

The Vancouver-based company drilled five step-out holes on the westerly down plunge of its “considerably under-explored” Percival target, where high-grade mineralization has been defined in a 500 metre by 100 metre surface footprint to a 300-metre depth, Fury said in a news release.

Highlights included hole 22KP-008, an 85 metre step-out that cut 13.5 metres from 234 metres down hole grading 8.05 grams gold per tonne, including 3 metres of 25.8 grams gold; and hole 22KP-005, a 150-metre step-out that returned 7.5 metres from a depth of 358.5 metres grading 4.38 grams gold, including 3 metres of 8.7 grams gold.

“The recent drill results further support our goal of identifying opportunities to advance our overall ounces at Eau Claire,” Fury’s CEO Tim Clark said in the release. “The Hinge target, Gap zone, and now Percival prospect targets have all demonstrated the potential for considerable expansion.”

Fury plans a second phase of drilling at Percival to expand high-grade mineralization down plunge and to the west, it said.

The 240-sq.-km Eau Claire project is about 150 km east of James Bay and 800 km north of Montreal. It is 57 km from Newmont’s (TSX: NGT; NYSE: NEM) Eleonore mine and 10 km from the Eastmain hydroelectric power reservoir.

Drilling on a parallel fold hinge 500 metres east of the Percival main drilling was less successful, with two of three holes returning below-grade results, the company said. Still, it said silicified breccia and anomalous gold show the hydrothermal system persists to the east and it will probe 14 other targets.

The project could produce 86,100 oz. gold annually in the first decade of a 12-year open-pit and underground operation with all-in sustaining costs of US$574 per oz., according to a preliminary economic assessment completed in 2018.

The study was based on a measured resource of 574,000 tonnes grading 6.6 grams gold per tonne for 123,000 oz. contained metal from the open-pit portion. The underground operation’s measured resource was 332,000 tonnes grading 6.56 grams gold for 70,000 oz. contained metal.

At press time in Toronto, Fury was trading at 49¢ within a 52-week range of 46¢ and $1.09. The company has about 139.5 million common shares outstanding for a market cap of roughly $68 million.