The first drill program at Apollo Gold‘s (APG-T) Grey Fox property near Timmins, Ont. returned some high-grade gold intercepts including 3.5-metres grading 455 grams gold per tonne.
The property is located just 3.5 km from Apollo’s Black Fox mine where gold production started in May. The mine sits along what is known as the Destor Porcupine fault zone.
Apollo drilled 16 holes at Grey Fox no deeper than 300 metres for a total of about 3,700 metres. The company highlighted that that 14 of 16 holes intercepted mineralization with gold greater than 1 gram gold per tonne. The other two intercepted gold, but the grade was lower than 1 gram per tonne.
Highlights include 29.4 metres grading 2.4 grams gold per tonne (20.4 metres true width), 2.5 metres grading 10.6 grams gold , 11.8 metres grading 15.5 grams gold and 4 metres grading 9.04 grams gold per tonne.
Drilling was focused on two zones; the Contact zone and the Destor Porcupine fault zone. Gold occurs at the fault contact between pyritic, altered hydrothermal breccias and pyritic silicified and altered Pre-Cambrian sediments. For Destor Porcupine, gold occurs in green carbonate rocks, and gold mineralization is similar to the Copper Fox deposit.
Apollo plans to continue drilling at Grey Fox this year with the eventual gold of converting the data into a resource estimate.
Apollo shares fell 2% today, or 1¢, to 50¢ apiece on a trading volume of nearly 1.2 million shares.
The company expects Black Fox to produce 150,000 oz. gold per year over nine years at a cash of US$326 per oz. over the first three years.
Be the first to comment on "Grey Fox drilling gets off to a good start"