"Overall, following a significant increase in drilling and enhanced geological modelling for the project, we are pleased that the MRE update delivered an increase in indicated resources to 1.2 million ounces of gold and further demonstrates a shallow pit-contained mineral resource with significant soft-rock saprolite at surface," the company's CEO Steve Parsons said. 

The grade per tonne for the indicated resource was lifted from 1.14 grammes of gold to 1.18g.

The inferred resource, meanwhile, stood at 582,000oz of gold, with the grade having dropped from 1.09g/t to 0.98g/t. 

"While we will use the current resource estimate as the basis for our PFS work, we see strong potential to enhance and expand the resource. To that end, through 2022 the company will parallel track our exploration effort to unlock the significant potential within the larger project area," he added. 

Goldsource's share price was quoted as C$0.78/share (US$0.62/share) on April 7, which gave the company a market capitalisation of C$40.79 million.