AuTECO Minerals Ltd (ASX:AUT) has leveraged an extensive 2022 drilling campaign into an upgraded inferred resources at the Pickle Crow Project in Canada, increasing it by 530,000 ounces to 2.8 million ounces at 7.2 g/t gold.
The upgrade represents a 24% increase in ounces since the previous upgrade and an increase of 2 million ounces, or some 244%, since project acquisition.
Importantly, more than one million ounces has been delineated in the top 250 metres from surface and the extent of the mineralisation is unknown, remaining open for further exploration and open pit mining investigations.
Two million ounces in three years
“This significant increase in the resource confirms Pickle Crow as one of the best undeveloped high-grade gold resources,” AuTECO Minerals CEO Darren Cooke said.
“There are very few 2.8-million-ounce resources at a grade of 7.2g/t gold globally, let alone in a tier one jurisdiction with the kind of upside we see at Pickle Crow, both near mine and regionally.
“The rate at which we’ve grown the resource by investing in the drill bit and quality geology is impressive, having gone from our maiden resource of 800,000 ounces to 2.8 million ounces in less than three years is an exceptional result.
“We are entering a very exciting phase with our strategy of defining high-grade gold near the ‘headframe’ and across our district scale underexplored landholding as well as investigating the best way to leverage off existing significant underground workings and open pit material.”
AUT’s discovery costs have averaged out to about $20 per ounce of gold so far, which the company says is one of the lowest cost discoveries in the gold industry.
Total Resource (Measured, Indicated and Inferred) comparison between select projects of ASX listed companies.
The most recent round of drilling outside of the defined resource boundary (which represents potential ounces to add to the resource estimate) include:
- 0.4 metres at 92.1g/t gold from 468.2 metres downhole;
- 0.6 metres at 30.2g/t gold from 360.1 metres;
- 2.7 metres at 16.1g/t gold from 309.6 metres; and
- 2.3 metres at 16.4g/t gold from 320.2 metres.
AuTECO now intends to pursue extensive regional exploration programs, targeting key gold structures outside the mine trend, a large area with little to no historical exploration.
With 10.4 million in the bank, the company is well funded to pursue its strategy of defining high-grade gold near the ‘headframe’ and across its district scale landholding.
Read more on Proactive Investors AU
