A substantial 43,000m infill drill programme in 2019 on the deposits has increased the compliant indicated resource estimate by 60% to 4.14 million tonnes grading 8.25 grams per tonne gold-equivalent (Au-eq), for 1.06Moz gold and 4.7Moz silver, or 1.09Moz Au-eq.
The inferred resource now stands at 5Mt grading 7.45g/t Au-eq, for 1.18Moz gold or 4.7Moz silver, or 1.2Moz Au-eq.
Mineral resources were calculated using a cut-off grade of 3.5g/t Au-eq and applying metal price assumptions of US$1,300/oz gold and $20/oz silver.
The Vancouver-based company in October last year reported an updated resource estimate for the nearby Red Mountain project, which it acquired from IDM Mining, containing 3.19Mt in the combined measured and indicated categories grading 7.63g/t gold and 21.02g/t silver for 782,600oz gold and 2.16Moz silver.
Taken together, Premier now hosts measured and indicated resources totaling 1.9Moz gold and 6.8Moz silver amenable for processing through the centrally sited Premier mill.
"We convincingly achieved our goal of rapidly creating a strong base of Measured and Indicated Resources as the basis for developing a mine plan for the project. We have scheduled the release of our feasibility study by the end of March," said CEO Derek White.
Since late 2017, Ascot management turned its focus towards developing high-grade underground resources. Starting with limited high-grade underground resources, Ascot had by now built a substantial amount of high-grade resources from four deposits, which could feed the centrally located Premier mill.
The company's shares (TSX:AOT) gave back some of the intra-day gains to close 3.85% higher at C81c on Wednesday, which capitalises the firm at $188.3 million (US$144.4 million).