Banyan Gold assays may link AurMac deposits

Drilling by Banyan Gold (TSX-V: BYN; US-OTC: BYAGF) has returned high-grade results at its AurMac project in Yukon that point to mineralization potentially bridging the gap between the Airstrip and Powerline targets.

Highlight hole AX-25-678, cut into the southern end of Airstrip, returned 104.4 metres grading 0.82 grams gold per tonne from 22.5 metres depth, including 33 metres at 1.44 grams gold and 3.1 metres at 5.8 grams gold, Banyan reported Thursday. The hole shows Airstrip’s mineralization might extend under Powerline. AurMac is about 360 km north of Whitehorse.

“While visible gold is frequent in Powerline deposit style mineralization, the presence of visible gold in sheeted veins in close association with skarn mineralization in drillhole AX-25-678 at Airstrip highlights the continued potential for high-grade mineralization throughout the system,” Banyan President and CEO Tara Christie said in a release. “Today’s drill results highlight the potential to expand the footprint of Airstrip mineralization east and west, and also down dip and between the two deposits at AurMac.”

Resource update tailwinds

The results come almost two months after Banyan released an update for AurMac that ranked it the second largest resource on the Tombstone gold belt in Yukon by contained ounces behind Snowline Gold’s (TSXV: SGD; US-OTC: SNWGF) Valley deposit.

AurMac hosts 112.5 million indicated tonnes grading 0.63 gram gold for 2.27 million oz.; and 280.6 million inferred tonnes at 0.6 gram gold for 5.45 million contained ounces.

Another drill highlight at Airstrip was AX-25-670 that cut 29 metres grading 1.04 grams gold from 21 metres depth, including 6.7 metres at 3.9 grams gold; and AX-25-672, which returned 18 metres at 1.11 grams gold from 41 metres depth, including 3.8 metres grading 4.31 grams gold.

New near-surface zone

Drilling also discovered a new zone of at-surface mineralization northeast of Airstrip in hole AX-25-659, which returned 11.5 metres at 1.53 grams gold from 10.5 metres depth. 

“This result demonstrates that mineralization remains open and indicates potential for further extension of this new zone down dip and along strike,” vice-president of exploration Duncan Mackay said.

This year Banyan has drilled more 27,000 metres across 120 holes at AurMac and it expects to complete a preliminary economic assessment for the project in the fourth quarter.

Banyan shares were flat at 65¢ apiece on Thursday at mid-day in Toronto, for a market capitalization of $244.87 million. The stock has traded in a 12-month range of 17¢ to 74¢.