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Corvus eyes new North deposit at Mother Lode

Corvus Gold (TSX: KOR) says the “best hole drilled to date” at Mother Lode, of 126m at 1.85g/t gold, continues to outline a major, new and expanding centre of the deposit north of the existing resource.
Corvus eyes new North deposit at Mother Lode Corvus eyes new North deposit at Mother Lode Corvus eyes new North deposit at Mother Lode Corvus eyes new North deposit at Mother Lode Corvus eyes new North deposit at Mother Lode

Corvus drills “best hole to date” at Mother Lode

Staff reporter

President and CEO Jeff Pontius said the results developing from the North deposit at the previously-mined Nevada project represented a new covered target discovery in the district.

"We believe the Bullfrog district will emerge as a new, major gold-silver production centre to rival any of those across Nevada and mining a full spectrum of gold deposit types," he said.

Corvus is planning to target sediment-hosted deposits like Mother Lode, and epithermal vein deposits like its Yellowjacket deposit "and possibly the new AngloGold Silicon discovery", in a 2019 new discovery programme.

The company had closed a C$2 million (US$1.5 million) financing in December at $2.60 per share with major shareholder AngloGold Ashanti (19.8%) for its Bullfrog district exploration.

A 2018 preliminary economic assessment, for Corvus' Mother Lode and nearby 100%-controlled North Bullfrog project combined, estimated production of 2.54 million ounces over 9 years, with an initial capex of US$424 million, a post-tax NPV (5% discount) of $586 million and an IRR of 38%.

Corvus had about C$6.5 million (US$4.9 million) in working capital at the end of December.

Its shares have ranged from $1.80 a year ago to a 52-week high of $3.39 in October.

They closed down 3c to $2.19 yesterday to capitalise it about $243 million.