Grande Portage Resources Ltd. (TSXV: GPG) recently announced that it has received regulatory approval and all requisite permits for its upcoming 2021 drill program at its Herbert Gold project in southeast Alaska. The Company will utilize up to nine platforms to test multiple targets by drilling 20,000 feet of diamond drill core on its Goat and Main veins, as well as on a new vein called the Sleeping Giant that was discovered during the 2020 drill program with drill intercepts indicating very exciting gold grades.
Located within the 160 km long Juneau Gold Belt, which hosts over 200 gold/quartz vein deposits that have produced almost 7 million ounces of gold, the Herbert Gold project system hosts nine main vein structures that are open to length and depth. Grande Portage is just one of very few companies actively exploring in this rich gold district.
The 2020 drill program, which drilled 22 holes over 8400 metres with two rigs, unexpectedly uncovered the newly-named Sleeping Giant vein, which runs parallel between the Goat and Main veins, essentially filling in and broadening the size of the deposit. The 2020 program also identified drilling targets for the 2021 exploration program to further delineated the size and scope of the Herbert property..
The upcoming 2021 drill program will test the eastern extensions of the Goat Vein, test the depths of the Main Vein and conduct some infill drilling on other veins to gather more data towards updating the resource estimate for the Herbert Project as well as an updated NI 43-101 report.
Grand Portage has advanced the Herbert Project closer to development status as it has continued to steadily increase the resource estimates from its initial 2013 un-capped indicated resource of 182,400 ounces. A 2019 independent mineral resource estimate showed an indicated resource of 606,500 ounces of gold at an average grade of 10.03 g/t gold and an inferred resource of 251,700 ounces of gold at an average grade of 14.15 g/t gold, using a cut-off grade of 2.5 g/t gold. Management believes that the property will likely exceed 1 million ounces of resources and the results of the 2021 exploration program will likely enable the company to begin preparing a preliminary economic assessment on the property.
The company is well financed and management has extensive experience in the area. With 80.19 million shares outstanding and a relatively modest market capitalization of $30 million, Grande Portage Resources offers junior gold investors an interesting moderate-risk opportunity in an established gold producing area.
As the company continues to expand the size of the deposit and gets closer to pre-production, it could likely become well-positioned to attract the interest of a larger industry player that is seeking a production-grade project. In the interim, Grande Portage shareholders can expect a steady stream of news as the 2021 drill program unfolds.
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