An Interpretation of the News ReleaseHere is my analysis of the latest news release. Please correct me where I have come to the wrong conclusion.
Deep Iceberg North hole (ID17-01). The idea of going deep was to test a chargeability anomaly below the Iceberg deposit. Instead of finding bonanza gold, they found “…pyrite starting at 1,110 feet to the end of the hole at 1,640 feet.” They concluded that the “…presence of sulfides is the likely cause of the IP chargeability response.” (Pyrite is iron sulphide known as Fools Gold). A second Deep Iceberg hole is being assayed. If it also returns pyrite, it is unlikely that further deep holes will be drilled.
All was not totally lost with ID17-01. It did encounter 30 m of low grade ore at the same levels (non-deep) as other North Iceberg intercepts.
Avocado holes. Four holes were to be drilled into Avocado. Three are complete and one is still in progress. The report on the first three holes is confusing. It is stated that they ‘…returned broadly anomalous gold intervals.” What does broadly anomalous gold intervals mean? There are no assay results, but there is an indication that after trace element analysis and detailed logging, the holes will be used to guide additional drilling. That is a “no-brainer”! Every hole, whether good or bad is used as a guide for subsequent drilling. Is my interpretation correct that they only found trace gold but nothing substantial in the first three holes? Or, does upcoming “trace element analysis” mean the assays have not yet been completed. The company could have been clearer on this matter.
True Step-out holes
Iceberg South: IS17-01 is a 120m (400 ft) step out to the west of the South zone, 4.5 m, 0.60 gpt near surface
Iceberg North: IN17-01, 180m (600 ft) step-out directly west of the southern portion of the North zone, 7.6 m of 0.12 gpt.
Step out holes are always bigger gambles. However, the company has the funds and they want to delineate which parts of the property warrant those funds.
Infill holes
Iceberg Central: IC17-01C, although a 70m (230ft) step out directly north of the Central zone, I call this an infill hole because it is directly between the north and central zones. It encountered low grade gold over 42 m in 3 zones. It helps establish the connection between the north and central zones.
Iceberg Central: IC17-02 extended the Central zone to the south with 13m of low grade gold in two intervals.
Nothing spectacular here with the infill holes.
Summary – Avocado results are unclear --murky and mushy. Iceberg Deep appears like Fools Gold (pyrite). Current step outs delineate. Infills help confirm Iceberg. Good prospects are available for other step outs and infills.