is focused on exploring and developing mineral projectslocated in the northern territory of Nunavut.
the Company announced that drilling had begun at its Ulu and Hood River Projects, where several high-grade gold showings have already been identified, located in the High Lake Greenstone Belt in Nunavut. The initial drill rig has been mobilized and collared on the first target.
As part of its 2021 Exploration Program, this drill program is evaluating several high priority targets in the high-grade Flood Zone Gold Deposit on the Ulu Project, and on high potential targets along the Ulu fold hinge. Numerous priority targets exist along the 5 km long Ulu fold which extends from the Flood Zone deposit on to the contiguous Hood River Project up to the North Fold Nose Zone.
Objectives of this year's program include better understanding the controls of higher-grade zones within the structures, evaluating additional structures on and adjacent to the Ulu fold hinge, and expanding and infilling previously known but poorly interpreted mineralized zones.
Langley, BC-based
Precision GeoSurveys Inc. has completed a total of 2,495 km of high-resolution surveying over two high priority regions hosting three high potential target areas: Ulu fold hinge, Crown-Pro fold hinge (Hood River Project), and the Roma fold target. The heli-borne geophysical survey utilized Precision's proprietary four-sensor magnetic gradient system at a nominal 50m line spacing at Roma and 25m line spacing at Ulu and Hood River.
Targets for the 2021 program are prioritized based on impact to existing resources and potential scale of new discoveries:
- Multiple 1st priority targets occur within ~1 km of the Flood Zone including Axis, Central Corridor and East Limb,
- Numerous 2nd priority targets exist along the 5 km long Ulu Fold which extends from the Flood Zone deposit onto the contiguous Hood River project up to the North Fold Nose,
- Several prospective areas on the east side of the Hood River project and the Roma project will undergo further target refinement in preparation for drill testing in the future,
- This will be the first program developed and operated by Blue Star's current team that has been involved with important gold discoveries in Nunavut.
Blue Star properties
(Ulu and Hood River Target Areas. Map via Blue Star Gold Corp. Click to enlarge.)
The Company's wholly owned Ulu and Hood River properties are located approximately 525 km NNE of Yellowknife, NT in the Kitikmeot region of western Nunavut. Kugluktuk is approximately 210 km to the NW.
The Ulu lease and the contiguous Hood River property together encompass greater than 90 sq km of highly prospective exploration ground. The recent acquisition of the underexplored Roma property that lies approximately 30 km north increased the Company's landholdings by 7,683 hectares, making Blue Star the largest titleholder in the highly prospective and underexplored High Lake Greenstone Belt.
The Ulu lease hosts the advanced stage Flood Zone gold deposit, where a significant high-grade gold resource has been outlined. Several additional gold zones are spatially related to the axis of the 5 km long Ulu Fold which extends from the Ulu lease onto the northern part of the Hood River property and culminates at the North Fold Nose Zone.
The eastern side of the Hood River property is contiguous to the Ulu lease and hosts over twenty known gold showings. The promise of the Hood River prospects is anchored in a similar stratigraphic sequence and same deformation history as the Flood Zone.
The geologic setting and style of gold mineralization at the Roma project are like that found at the Ulu and Hood River projects. Roughly 4 km southwest of Roma Main is the Roma Fold which is defined by numerous high-grade gold showings within a 1.6 km x 0.55 km area on the east limb of an anticlinal fold structure adjacent to the Kennarctic Shear Zone; all these target areas in the anticline remain undrilled.
Capital Restructure
The Company also closed the final tranche of its non-brokered private placement issuing
1,276,741 flow-through shares and 6,847,549 common shares at a price of $0.70 per flow-through share, raising gross proceeds of $5,687,002.80. Total proceeds of $8,426,630.60 were raised in both tranches through the issuance of 2,738,994 flow through shares and 9,299,049 Shares at a price of $0.70 per Share.
Acknowledging the strong endorsement from long-standing shareholders and new investors who participated in this fully subscribed financing and supported the Company’s capital restructuring plan, Blue Star Gold’s Chief Executive Officer, Grant Ewing, said that the Company now has a very attractive capital structure, a pristine balance sheet, and is fully funded to carry out its current exploration program where multiple priority targets will be drill tested on its district scale projects in Nunavut.
The Company’s share capitalization following closing of the private placement:
|
Number of Securities |
| Common Shares |
50,170,266 |
| Stock Options |
1,965,000 |
| Warrants |
2,798,910 |
Blue Star Gold is the largest title holder in the High Lake Greenstone Belt. There is thought to be significant potential to expand the resources at the Flood and Gnu Zones, both nearby and further to the horizons on Blue Star Gold’s extensive land packages.
To find out more about what this Company has in store, visit
bluestargold.ca.
FULL DISCLOSURE: This is a paid article produced by Stockhouse Publishing.