NexGold Mining Corp. [NEXG-TSXV] said drilling continues to intersect high-grade gold mineralization at the Goldboro gold project in Nova Scotia. On Thursday, NexGold released additional drill results from a recently-completed 26,854-metre diamond drill program, which was initially announced on January 22, 2025.
The drill program is primarily designed to infill specific areas of the open pit mineral resource identified to improve geological and grade continuity and potentially upgrade certain areas of inferred and indicated mineral resources.
The latest assay results are from an additional 36 infill diamond drill holes, totalling 5,874 metres, where drill crews were targeting the proposed east pit. Highlight results include 77.30 g/t gold over 1.25 metres (from 96.75 to 98 metres), including 190.50 g/t gold over 0.50 metres in drill hole BR-25-516.
The company has now released 86 holes (approximately 61%) from the infill program.
We are very pleased to continue to see high-grade gold assays from the East Goldbrook domain and withing the proposed east pit, said NexGold CEO Kevin Bullock. The additional infill, twinned drilling and numerous gold intercepts within the east pit will help us further refine the Goldboro Mineral Resource model going forward, he said. We are also pleased to confirm that we have selected Micon International Co. Ltd. to complete the mineral resource update, which is now underway and is a critical first step to updating the existing Goldboro feasibility study.
On Thursday, NexGold advanced on the news, rising 2.74% or $0.02 to 75 cents. The shares trade in a 52-week range of $1.07 and 61 cents.
NexGold secured the Goldboro property via its recent acquisition of Signal Gold Inc. The aim was to create a top near-term gold developer, advancing NexGolds Goliath Gold Complex in northern Ontario and Signals Goldboro Gold Project in the historic Goldboro Gold District in Nova Scotia.
With Environmental Approvals in place, the aim is to attain production of over 200,000 ounces annually.
Signal was advancing the Goldboro project subject to a positive feasibility study which envisages an 11-year open pit mine life with average gold production of 100,000 ounces annually and an average diluted grade of 2.26 g/ gold. The project is located on tidewater, approximately 185 kilometres northeast of Halifax.
A 2021 Goldboro feasibility study is based on maiden open pit probable reserves of 1.15 million ounces of gold and a mill capacity of 4,000 tonnes per day. The study pegged the initial capital cost at $271 million and life of mine sustaining capital at $63.1 million.
The study envisages the creation of 345 direct full-time jobs during construction and 215 full-time jobs will the mine is in operation, generating $226 million in federal and provincial tax payments.
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