PriceSensitive

Alamos Gold (TSX:AGI) hits record gold intersect in Ontario

Mining
TSX:AGI
18 September 2020 15:48 (EDT)
Alamos Gold Inc. - President & CEO, John McCluskey

Source: Twitter (@AlamosGoldInc)

Alamos Gold (AGI) has released the highest-grade intersect to date from its ongoing exploration of the Island Gold Mine in Ontario.

Located west of the town of Dubreuilville, the Island Gold Mine consists of 217 patented, leased and staked claims over a total of 7,926 hectares.

Discovered in the mid-1980s, it was began commercial production in October 2007 and has since produced more than 700,000 ounces of gold.

As of September 15, 16,660 metres of drilling had been completed at the project, which focused on further extending high-grade mineralisation down-plunge at the Island East target.

Most greatest significance was the completion of drill holes MH25-04 and MH25-03, which intersected 28.97 grams per tonne of gold over 21.76 metres and 15.38 grams per tonne over 15.02 metres, respectively.

Based on previous data, the results of the MH25-04 hole represent the highest-grade surface intersect ever drilled at the Island Gold Mine.

John McCluskey, President and CEO of Alamos Gold, said the results support the company’s decision to focus on developing the region.

“These new high-grade results over much greater widths include the best surface exploration hole ever drilled at Island Gold and further extend mineralisation from one of the highest-grade portions of the ore body.

“They not only demonstrate the significant potential for additional growth in Mineral Reserves and Resources but further validate our decision to install a shaft as part of the Phase III Expansion,” he added.

Exploration work at the Island Gold Mine will remain focused on defining new near-mine mineral resources, which is a major part in building on the success of last year’s drilling efforts.

While operations at the project were impacted earlier this year by the COVID-19 pandemic, resulting in a suspension of activities on March 25, exploration activities resumed in early June with three drill rigs currently in action.

Alamos Gold (AGI) is currently down 1.18 per cent and is trading at C$12.54 per share at 2:51pm EDT.

Related News