- GoldON Resources has updated the market on exploration at the West Madsen Gold property
- Soil-gas-hydrocarbon survey has unveiled 6 primary targets and 18 secondary targets
- Of these 6 primary targets, 4 will be drilled this year
- The company has an option agreement to own 100 per cent of the property in an earn-in agreement
- GoldON Resources (GLD) shares are up 17.5 per cent to $0.23 per share with a market cap of $3.9 million
GoldON Resources (TSXV:GLD) has updated the market on its exploration program at its West Madsen gold property in Ontario.
The Ontario gold belt exploration company purchased the site from Great Bear Resources in May 2019.
The earn-in agreement was structured to allow 60 per cent of the interest of the property to transfer to GoldON, based on the company incurring $100,000 of exploration costs at the site.
A further 40 per cent option at the site was available if the company incurred another $750,000 of exploration expenditure at the property.
The 3,860 hectare property is made up of two main blocks of mineralisation, each roughly six kilometres by three kilometres in size.
Block A sits next to Pure Gold Mining’s Red Lake Mine and is host to an extension of the Red Lake Greenstone Belt. The project is set to begin production in Q4 2020.
The company conducted a Phase II soil-gas-hydrocarbon survey, following the successful results of the Phase I survey.
A final report, compiling a total of 1,007 samples from the two surveys, has identified a total of six main targets and 18 secondary targets on the property.
Of the six main targets identified, four have been selected for further exploration through drill testing.
President of GoldON, Mike Romanik, said he was very pleased with the results of the drilling program.
“Our goal since optioning the West Madsen Project from Great Bear Resources has been to fast track exploration.
“However, the COVID-19 pandemic is impacting all our lives and with the closing of non-essential businesses in Ontario we are uncertain as to when we will be able to commence our Phase I drilling program,” he added.
GoldON Resources (GLD) is up 17.5 per cent to $0.23 per share at 2:21pm EST.