Silver Range Resources has been informed of the company's decision to discontinue its property option.
ATAC completed a total of 4,124m of reverse circulation drilling at the East Goldfield property, primarily around known mineralisation at the Tom Keane mine. Additional drilling outside the mine area tested new surface discoveries at depth.
Anomalous gold was intersected in all holes, highlighting a broad mineralised system. However, the company said it was not able to reproduce historical highlights and surface gold grades were not replicated at depth.
ATAC Resource's president and CEO Graham Downs said that although the results are disappointing for the company, they were pleased to complete the exploration programme under budget.
"Our goal was to rapidly evaluate the property by drilling to determine if it met our exploration thresholds, and unfortunately the grades weren't what we were hoping for," he said. "We remain committed to working in Nevada and are currently evaluating additional project opportunities."
Vancouver-based ATAC Resources is focused on gold and copper exploration in Yukon and British Columbia in Canada, as well as Nevada in the US.
The East Goldfield property is in the Goldfield mining district within the northwest trending Walker Lane structural belt, which has proven gold mineralisation.
On February 22, ATAC Resources traded on the TSX at C$0.125/share, down 7.4% on the day. Its shares had rallied throughout February after dipping below $0.1 in January.