Equinox Gold Corp. (TSX: EQX) recently released an updated Mineral Resource Estimate (MRE) for its Hasaga Property in Red Lake, Ontario. The new estimate reflects a reduction in overall gold ounces but showcases significantly improved gold grades, reinforcing Hasaga’s potential as a high-quality underground mining prospect.
The updated MRE for Hasaga shows Indicated Mineral Resource of 1.47 million tonnes (Mt) with an average grade of 8.64 grams per tonne (g/t) of gold, containing 408,000 ounces (oz) of gold. On the other hand, Inferred Mineral Resource is now 2.059 Mt with an average grade of 7.31 g/t of gold, containing 484,000 oz of gold.
In a statement regarding the update, Scott Heffernan, Executive Vice President of Exploration at Equinox Gold, said,
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“This updated Mineral Resource Estimate focuses on the high-grade nature of the gold mineralization and is a departure from the previous bulk-tonnage approach,” said. Scott Heffernan, Executive Vice President of Exploration. He added that while the estimate contains fewer gold ounces compared to previous assessments, it does so at much higher average gold grades.
The update also highlights that the main gold mineralization zones remain open for further exploration. “Numerous historical gold intersections define drill-ready targets, underscoring the potential for resource growth and new discoveries,” Heffernan continued.
Hasaga sits in the renowned Red Lake Gold District of northwestern Ontario, an area famous for its rich gold history. Located about five kilometers southwest of the Red Lake Mine Complex, Hasaga is positioned on a main gold trend that has yielded over 30 million ounces of gold to date. The Red Lake Greenstone Belt, which underlies Hasaga, has been a hub for high-grade gold mining for decades.
Equinox Gold acquired the Hasaga Property in 2021 through its acquisition of Premier Gold Mines Limited. The property has a storied mining history, hosting three past-producing gold mines: Hasaga, Buffalo, and Red Lake Gold Shore. Combined, these mines produced 240,969 oz of gold, with the majority (218,213 oz) extracted from the Hasaga Mine between 1938 and 1952 at an average grade of 4.94 g/t gold.
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The new resource estimate, which is optimized for underground mining, reflects Equinox Gold’s shift in strategy to capitalize on the high-grade gold mineralization. The updated model incorporates results from a core relogging campaign, with no new drilling undertaken by Equinox Gold. The focus has moved toward exploiting deposits that are suitable for underground mining, with a cut-off grade set at 4 g/t gold, aligning with standards seen in other significant mines in the Red Lake District.
The main zones covered by the new MRE—Hasaga, Epp C, and Epp D—account for most of the resource. These zones, hosted within the Hasaga Porphyry, extend along a mineralized trend that has strong geological continuity with past-producing operations. Other zones, such as Buffalo and Central, are hosted in the nearby Dome Stock and represent additional exploration opportunities.
While the updated estimate reflects a robust foundation, Equinox Gold sees significant upside for future discoveries at Hasaga. Historical drilling outside the defined resource areas has returned promising results, with all 46 drillholes yielding at least one sample with over 1 g/t of gold. Fourteen of those holes intersected what could be economically viable gold mineralization, paving the way for future exploration campaigns.
Additionally, more than 50% of the Hasaga Property is underlain by the Dome Stock, which remains largely unexplored. This area hosts the Buffalo and Central zones and could hold untapped potential for gold discoveries.
Planned exploration efforts for 2025 include geological mapping and surface geochemistry programs aimed at covering the entire property. Further core relogging will also be conducted to refine the geological model, along with a limited diamond drilling program targeting areas within and adjacent to the current resource zones.
Equinox Gold last traded at $7.68 on the TSX.
Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
