Irving Resources shares leap on high-grade gold results from northern Japan

Shares in Japan-focused explorer Irving Resources (CSE: IRV) rose nearly 20% on Wednesday after it reported high-grade assays from its winter drill program at its flagship Omu gold-silver project on the northern island of Hokkaido.

In a news release on Tuesday, Irving reported that hole 22OMI-003 cut 1.67 metres grading 13.87 grams gold per tonne and 121.74 grams silver from 378.9 metres; and 0.6 metres grading 8.5 grams gold and 270 grams silver in the Nanko target.

That hole, one of three diamond drill holes from the 2022-2023 winter program, was aimed at testing a deep-rooted vertical resistivity anomaly, the company says.

The 22OMI-003 intercepts demonstrate that high-grade veins extend deeper than 400 metres, confirming that a deep-rooted vein system exists at Omui, which along with Hokuryu and Omu Sinter are the main targets in the 171.4-sq.-km Omu project, 200 km northeast of Sapporo.

Another hole, 23OMI-002 drilled into the West Honpi extension at Omu cut 2 metres grading 5.8 grams gold per tonne and 13.8 grams silver, and 10 metres grading 1.91 grams gold and 13.89 grams silver from 86 metres depth.

Due to the high quartz content of that interval, Irving said that it is likely suitable for smelter flux material, a purifying agent used in Japan’s base metal smelters.

“We are happy to be back drilling steady at Omu,” said Quinton Hennigh, technical advisor and a director of Irving. “We are now on our 13th hole of 2023 and have many more planned through the end of the year. Our most recent assays from Nanko confirm the presence of deep-rooted high-grade veins here. While we have not yet hit the high-grade feeder underlying the Honpi area, we think we are vectoring in on it and have plans for further follow up drilling for later this year.”

In March and April this year, Irving drilled nine diamond holes at Omu Sinter to assess the potential for a shallow, gold- and silver-bearing silica body suitable for smelter flux. Assays from those holes are pending. The company says that area is capable of hosting several million tonnes of smelter flux.

In mid-May, the explorer started drilling at the Hokuryu historic mine site, with two holes planned for completion in the coming weeks. The holes are to test deep-rooted vertical resistive features. In March, Irving reported that it had discovered a new high-grade vein system about 300 metres west of the historic mine, with hole 22HKR-001 cutting 32.9 metres grading 1.35 grams gold and 15.45 grams silver from 7.4 metres depth, and 2.6 metres at 5.55 grams gold and 11.32 grams silver from 10.5 metres depth.

Irving shares rose by 18% to 59¢ in mid-morning trading in Toronto, before settling to 56¢ in the afternoon. Its shares traded in a 52-week window of 46¢ and $1.04, valuing the company at $40.8 million.

Irving and Japan Gold (TSXV: JG) – both based in Vancouver – are among a small number of foreign exploration companies working on the sites of historic gold mines, where production ended in the 1940s when the Japanese government closed the mines during the Second World War. Together, the companies have more than 40 pre-resource projects on the main islands of Hokkaido, Honshu and Kyushu.