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Results show depth potential at Cariboo

Barkerville Gold Mines (TSXV: BGM) says the latest drilling results, which include 46m at 7.75g/t gold at Island Mountain, show the potential to double the depth of current resources at its flagship Cariboo project in British Columbia.
Results show depth potential at Cariboo Results show depth potential at Cariboo Results show depth potential at Cariboo Results show depth potential at Cariboo Results show depth potential at Cariboo

Barkerville is looking to double the average depth of existing resources

Staff reporter

The company reported the final results from a resource conversion drilling programme at Island Mountain and holes at Shaft Zone and Cow Mountain for metallurgical testing.

Among other highlights, Barkerville intersected 14.4m at 9.72g/t from 15m at Shaft Zone and 0.55m at 16.1g/t at 600m depth.

Shaft Zone's current resource is modelled to an average depth of 350m, Barkerville said.

"These drill results demonstrate the high probability to add significant resources to at least double the depth of our average depth of present resources," president and CEO Chris Lodder said.

Cariboo hosts a number of historic mines and currently has a 1.6 million ounce indicated and 2.16Moz inferred resource to an average depth of 300m, incorporating the Cow Mountain, Valley Zone, Shaft Zone, Mosquito Creek, Bonanza Ledge and BC Vein deposits.

A resource update is due out this year and the company is proposing up to 90,000m of drilling in 2019, along with studies ahead of seeking underground mining permits.

Test mining in 2018 yielded 122,000 tonnes at 5.98g/t for 21,125oz.

Barkerville had C$52 million (US$39 million) in cash according to a corporate update last month.

It had raised $29.5 million (US$22.4 million) in December in a two-tranche raising at 34c per share, 50c per flow-through share and 40c per tranche two flow-through share.

Its shares have ranged from 30-71c over the past year and closed up 5.8% yesterday to 45.5c, capitalising it at $201.2 million.