TerraX starts drilling at Yellowknife City gold project, Canada

25 March 2014 (Last Updated March 25th, 2014 18:30)

TerraX Minerals has started drilling operations at its Yellowknife City gold project (YCGP) in Northwest Territories, Canada.

TerraX Minerals has started drilling operations at its Yellowknife City gold project (YCGP) in Northwest Territories, Canada.

The company said the first drill hole has been collared on the Northbelt property of the YCGP and that Northbelt is the strike extension of the geology that hosted the previously producing Con and Giant gold mines, which together produced more than 13 million ounces of gold.

The first drill campaign is set around 6,000m of drilling and will test three initial target areas, including the Barney Shear, the Crestaurum Zone, and the Homer Lake base metal / precious metal target at the north end of the property.

"The Northbelt property is host to several shears that are the recognised hosts for gold deposits in the Yellowknife camp."

TerraX Minerals said the first drill hole will be collared at Homer Lake to target a buried conductor identified by airborne surveys in 2013 that has never been drill tested.

The Barney Shear is the extension of the Con and Giant shear system and the Crestaurum zone is a high-grade zone with about 200 historical drill intersections.

The company said that Homer Lake is not a traditional gold target, as would be anticipated in a major gold belt like the Yellowknife gold camp.

It was originally discovered from surface prospecting in the 1930s and TerraX delineated six mineralised structures during reconnaissance prospecting in the Homer Lake area in 2013.

The Yellowknife City gold project encompasses about 8,400ha of contiguous land immediately north of the city in the Northwest Territories, and it includes TerraX's Northbelt property that the company acquired in February 2013.

TerraX said that the Northbelt property is host to several shears that are the recognised hosts for gold deposits in the Yellowknife camp and it features various gold showings and historical high-grade drill results.

The company carried out a strategy of acquiring prospective ground adjacent to Northbelt and in October 2013, entered into an option agreement to purchase a 100% interest in the Walsh Lake gold property.

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