Lion One Hits Best-Ever Hole in Fiji


One junior working in Fiji is nicely on its option to constructing a gold mine, however now it’s hit an extended high-grade gold intercept that may alter these plans — and alter the story altogether.

Underground drill gap TUG-141 has discovered a exceptional new high-grade feeder zone at Lion One Metals Ltd.’s (LIO:TSX.V; LOMLF:OTCQX; LLO:ASX; LY1:FSE) Tuvatu Gold Challenge on the island of Viti Levu in Fiji. It’s the longest, highest-grade gold intercept up to now within the alkaline system, returning 20.86 grams per tonne gold (20.86 g/t Au) over 75.9 meters.

“ …This high-grade hit is simply upside from right here.”

— Crescat Capital Geologic and Technical Director Quinton Hennigh

 

TUG-141 is beneath the present useful resource at Tuvatu’s 500 Zone, an intricate community of high-grade constructions. It’s additionally utterly contained in the boundaries of the corporate’s mining lease.

Lion One has lengthy deliberate to start out gold manufacturing by the second half of 2023 at Tuvatu, and Crescat Capital Geologic and Technical Director — and an advisor to Lion One — Dr. Quinton Hennigh, says the brand new intercept mustn’t change the corporate’s course.

Hennigh has seen this type of intercept earlier than when underground drilling in mid-2017 on the Fosterville gold mine in Australia hit 338 g/t Au over 33.6 meters. The discover helped push shares in Kirkland Lake Gold (since purchased by Agnico-Eagle) from beneath CA$5 per share to a peak of about CA$58 in August 2020.

“I’ve lengthy inspired our group to seek out that ‘gold room’ at Tuvatu, and gap TUG-141 leads me to consider they’ve discovered it,” Berukoff stated in a launch.

A better have a look at TUG-141 reveals some noteworthy high-grade intervals at completely different factors alongside the core, together with: 138.15 g/t Au over 0.30 meter from 450.9-451.2 meters downhole; 396.16 g/t Au over 0.30 meter from 479.1-479.4 meters; 340.07 g/t Au over 0.30 meter from 498.9-499.2 meters; 600.42 g/t Au over 0.30 meter from 499.5-499.8 meters; 244.37 g/t Au over 0.30 meter from 502.5-503.1 meters; and 230.18 g/t Au over 0.30 meter from 507.3-507.6 meters.

Discovery Gap at 500 Zone

 

The corporate has continued to drill deeper at Tuvatu since 2020 when UDDH500 — the invention gap into what’s now often known as the five hundred zone — intersected 2 meters grading 35.28 g/t Au at 558 meters downhole, adopted by 12.7 meters grading 46.14 g/t Au beginning at 571 meters.

Hennigh compares drilling an alkaline system to drilling a tree, beginning on the high.

“Within the shallow a part of the system, one finds the higher ‘branches,’ or gold-bearing lodes, however as exploration persists to depth, greater and larger ‘branches,’ or lodes, are encountered, in the end resulting in the ‘trunk,’” Hennigh defined.

He added: “If you happen to have a look at the highest of the tree, the footprint of the tree is fairly massive. On this case (at Tuvatu), it is a number of kilometers throughout. And whereas it will be good to suppose there’s one trunk to this factor, it’s a bit disproportionate. So the opposite factor that popped in my head is that there is most likely extra trunks down there.”

Tuvatu reminds Hennigh of one other high-grade alkaline discovery: the Porgera gold mine in Papua New Guinea, operated by Barrick Gold Corp. (ABX:TSX; GOLD:NYSE) and China’s Zijin Mining Group Co. Ltd.

It took about 10 years, however Placer Dome (earlier than Barrick purchased it) discovered the high-grade Romane Fault Zone at Porgera below a collection of smaller lodes. The mine has produced about 25 million ounces (25 Moz) gold since 1990.

“What’s most fun about this discovery is that now that we’ve a transparent concept the place the deep fluid-tapping conduit of this technique is situated, we will successfully chase it to depth, and alkaline gold techniques are identified to persist to nice depths,” Hennigh defined.

Drill gap TUG-141 comes on the heels of some latest promising Section 2 infill drill outcomes at Tuvatu, a program designed to substantiate the scale and continuity of the identified mineralized lodes, in a bit of the orebody slated for early manufacturing.

The spotlight from the primary 11 holes on Zone 5 was gap TUDDH-586, a brand new discovery that returned 18.47 g/t Au over 1.2 meters between 104.7-105.9 meters downhole, and 584.07 g/t Au over 0.30 meter from 122.4-122.7 meters downhole.

Prospectus Filed

 

In early Could, Lion One filed a prospectus that would see the corporate elevate as a lot as CA$200 million.

Mining buyers are inclined to comply with managers with monitor information of success. Berukoff isn’t any exception.

Berukoff based Miramar Mining, which developed the ten Moz Hope Bay gold venture in Canada’s Arctic. Berukoff offered Miramar to Newmont Corp. (NEM:NYSE) in 2007 for CA$1.5 billion. That deal got here after Berukoff and his group offered Northern Orion Assets to Yamana Gold Inc. (YRI:TSX; AUY:NYSE; YAU:LSE) for CA$1.07 billion that yr.

Reuters studies that Berukoff holds a 13.6% stake; Invesco Advisers Inc. owns 4.6%, Franklin Advisers Inc. owns 4.51%, and Crescat Capital additionally has a major place in Lion One.

Lion One has about 156 million shares excellent and trades in a 52-week vary of CA$0.88 and CA$1.34.

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Disclosures:

1) Brian Sylvester compiled this text for Streetwise Stories LLC and offers companies to Streetwise Stories as an unbiased contractor. He or members of his family personal securities of the next corporations talked about within the article: None. He and members of his family are paid by the next corporations talked about on this article: None. His firm has a monetary relationship with the next corporations referred to on this article: None.

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