Vancouver junior surges after Nevada gold, silver intercepts
Corvus Gold Inc (TSE:KOR) stock jumped as much as 15% out of the gate on Tuesday after releasing results from drilling at its Yellowjacket deposit, within its North Bullfrog Project in Nevada.
By lunchtime the junior had given up some of the gains to change hands at $1.00, still up 5.3% on the Toronto Exchange in higher than usual volumes.
The volatile counter hit a high of $2.12 in March this year, but like its peers is showing losses year to date, slipping 16% in 2014. The Vancouver-based firm which also prospects in Alaska is worth just under $75 million on the big board.
Corvus announced Tuesday some of the most significant drill results in terms of grading and width at Yellowjacket to date including 35.9 metres @ 17.1 g/t gold and 19.5 g/t silver including 6.7 metres @ 73.4 g/t gold (2.1 ounces per ton) and 38.4 g/t silver. Another hole intersected 32 metres grading 4.9 g/t gold and 6.2 g/t silver.
Jeff Pontius, Corvus CEO said the "results from what appears to be a key shoot in the Yellowjacket vein system have significantly expanded the potential of the deposit […] with only 3 of 18 completed holes reported in the ongoing drill program."
Corvus plant to issue an updated Preliminary Economic Assessment for North Bullfrog in the second quarter of next year following the conclusion of its 30-hole drill program in November and a new resource estimate for the wholly-owned project early 2015.
North Bullfrog lies some 200 kilometres northwest of Las Vegas and covers an area of 68km2.
Corvus raised $5.2 million in a private placement in November last year and in February sold an interest in an Alaska property for $1.8 million. Working capital currently sits at around $6 million.