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GoGold twin delivers 70% higher result

GoGold Resources (TSX: GGD) says drilling is continuing to demonstrate “tremendous growth potential” at its recently-acquired Los Ricos project in Mexico, with a twinned hole intercepting gold-equivalent grades 70% higher than historic results.
GoGold twin delivers 70% higher result GoGold twin delivers 70% higher result GoGold twin delivers 70% higher result GoGold twin delivers 70% higher result GoGold twin delivers 70% higher result

Core from GoGold’s Los Ricos project in Mexico

Staff reporter

LRGG-19-009 hit 21.2m averaging 7.66g/t gold and 1,270.2g/t silver or 24.6g/t Au-eq, including 6.9m at 21.97g/t gold and 3,717.6g/t silver or 71.54g/t Au-eq.

The hole was laid out to twin an RC hole drilled by TUMI Resources in September 2003, with the GoGold core returning 70% higher Au-eq grade, the company said.

"These results, coupled with the strong assay results that the historical 6,000 channel samples are showing as our exploration team works through the data, are showing a very promising project at Los Ricos," president and CEO Brad Langille said.

GoGold signed an option to acquire the 29 concessions in Jalisco state in March after "a long period of due diligence and negotations".

Its revenue increased 83% in the March quarter to US$7 million and it expects to spend $4 million on exploration over the rest of 2019 to complete a 10,000m programme at Los Ricos.

The company also has the Parral tailings reprocessing operation in Chihuahua state, which achieved record production in the March quarter.

GoGold shares are up 64% year-to-date, rising C1c yesterday to 41c as it retraces its path towards a 52-week high of 50c reached in May last year.

It is capitalised at $70.4 million.