The Southwest zone is about 2.5km from the main mineral corridor represented by the Z87 and J zones. Highlights from the five drill holes reported included 4m grading 2.23 grams per tonne gold-equivalent including 2m grading 3.5g/t. Down dip extensions up to 450m below the pit shell included highlights of 1m grading 5.03g/t.
"The Southwest zone continues to grow and exceed our expectations. With each step-out hole the system extends further to the northeast towards the current limits of Z87 South, an area we now identify as the Gap zone," said Troilus Gold president and CEO Justin Reid.
Troilus has two drill rigs working in the Gap zone and it plans to deploy a third as defining the continuity of mineralisation will be a continued work focus through the spring and summer of 2021.
The PEA put initial capex for Troilus at US$333 million for a 22-year mine targeting average annual production of 246,000 ounces of gold over the first 14 years, with a peak of about 300,000oz in year five. The PEA was based on the 87 Zone, J Zone and new Southwest Zone.
Shares in Troilus Gold opened up 5% at C$1.14, valuing the company at $151 million.