Pilot Gold takes off as Nevada discovery delivers again
Shares in Pilot Gold (TSE:PLG) jumped more than 5% on Thursday in brisk trade after releasing another set of strong results from drilling at its Kinsley Mountain project in Nevada.
In lunchtime trade the Vancouver-based junior was changing hands at $1.42, up 5.2% on the Toronto Exchange, slightly off its highs for the day. Around 300,000 shares in the $146 million company had traded, approaching the usual daily average.
The share is down from its March highs, but year to date the company is still up a whopping 65%.
The company reported highlights from the five remaining drill holes from the 12-hole, 3,500 metre winter diamond drilling program in the Western Flank area:
- 10.6 g/t Au over 30.0 metres in PK133C (step-out), including
- 16.1 g/t Au over 16.5 metres;
- 1.44 g/t Au over 12.2 metres and 2.84 g/t Au over 18.9 metres in PK134C (step-out)
- 21.3 g/t Au over 29.0 metres in PK137C* (infill), including
- 46.4 g/t Au over 4.9 metres (oxide), and
- 32.7 g/t over 11.4 metres
- 15.6 g/t Au over 38.7 metres in PK137CA (infill), including
- 26.2 g/t Au over 21.9 metres;
Pilot Gold said the Western Flank target, located 550 metres northwest of the past-producing pits at Kinsley, remains open in all directions.
Matt Lennox-King, President and CEO said "Kinsley Mountain is quickly emerging as Nevada’s leading exploration project due to its high grade drill results and district potential."
The company expanded its 2014 exploration program by $1.57 million and 8,600 additional metres of drilling, with resumption of drilling scheduled for early May.
Pilot Gold was created as part of Newmont Mining’s acquisition of Fronteer Gold in 2011. The company owns 78% of Kinsley and is also advancing projects in Labrador and Turkey.
In a comment on the results, top independent broker Haywood Securities said while the step-outs from the high-grade zone are smaller this time, if Pilot "can demonstrate scale either along the northwest-southeast Kinsley Trend corridor or the north northeast – south southwest Western Flank corridor the project could be a game changer for the company."