Sign up USA
Proactive Investors - Run By Investors For Investors
Why invest in OOO?
Otis Gold Corp: THE INVESTMENT CASE

Otis Gold has big plans for flagship Kilgore project in 2018

Otis now holds a land package at Kilgore of around 12,150 acres, or 19 square miles
Otis Gold has big plans for flagship Kilgore project in 2018
INVESTMENT OVERVIEW: OOO The Big Picture
Pictured - Drill core from an Otis hole

Otis Gold Corp (CVE:OOO, OTC:OGLDF) has an exciting year ahead as it aims to continue to demonstrate the exciting potential of its flagship Kilgore project in Idaho.

On the cards is drilling of regional targets around the existing deposit and potentially the upgrading of the current resource estimate.

With that in mind, last year the group filed a plan for 140 drill sites and about 30,00ft of road construction so that such high value targets could be explored.

These include Gold Ridge, Prospect Ridge, Dog Bone Ridge and the Aspen Gossan.

WATCH - Otis Gold busy putting together exciting 2018 drill programme at Kilgore

And this month (February), the firm underlined its commitment to Kilgore by increasing its footprint there by 33%.

An additional 3,000 acres has been acquired by the direct staking of 150 federal lode claims immediately adjacent and contiguous to the existing Kilgore claims.

Otis now holds  a land  package at Kilgore  of around 12,150 acres, or 19 square miles (49.2 sq km).

This additional staking marks an exciting step in the development of Kilgore, and is a reflection of our assessment of the project’s growing geologic potential," Otis president and chief executive Craig Lindsay told investors.

"In 2018, we plan to aggressively continue regional exploration work at Kilgore to complement our planned exploration drilling, with a view to potentially further expanding the project."

Otis noted that, Including its around 4,000-acre land position at the Oakley project, Otis now controls the second largest land position prospective for gold in the state of Idaho.

So what is this deposit?

Kilgore spans over 5,130 acres and is targeting an epithermal type deposit. It has a  current NI 43-101 resource of 520,000 ounces of indicated gold from 27.3 million tons at 0.59 grams per ton (gpt) gold, and 300,000 ounces of inferred golf from 20.2 million tons at 0.46 gpt gold.

Last year, Otis carried out a 25-hole, 8,000-metre drill programme to further test the existing deposit. It also did over 2,500 soil, rock chip and stream sediment samples and a 464-line kilometre ground magnetic survey.

And last month it posted further encouraging assays from its 8,000-metre Kilgore project drill programme last year, which continue to underline the potential for expansion.

In the frame before...

Kilgore has been in the frame before. In the 1980s and 1990s a number of gold companies saw its huge potential.

One in particular, Echo Bay Mines, was ready to press the trigger on a 45-50,000-ounce operation in the late 1990s that would have survived at US$350 gold.

But the development was shuttered when the price of the yellow metal tanked.

The former owner suspected it had uncovered not one deposit, but a number of gold, ‘volcanic-hosted’ targets potentially containing 2-3mln ounces of gold.

“Geologists will tell you epithermal systems are like grapes: they come in bunches and you never find just one grape on the bunch,”  Lindsay said in 2016.

"When someone asks what I can see, I am comfortable talking about the potential for a 2-3mln ounces assuming one or two of the additional targets achieves the size of the existing target. Talking about anything bigger at this stage is difficult."

Other irons in fire..

The group also has the Oakley Gold project comprising 1,360 acres, also in Idaho, which is 15 miles south of the town of Oakley and just north of the Utah/Nevada border.  It has two primary targets - Blue Hill Creek and Cold Creek. It also hosts the Matrix Creek property.

Oakley has an NI 43-101 inferred resource of 163,000 ounces of gold at a grade of 0.51 g/t.

In June last year, it told investors it has kicked off fieldwork at the site.

So there is lots to watch out for this year from Otis Gold..

Shares stand in Toronto at C$0.20.

View full OOO profile View Profile

Otis Gold Corp Timeline

Related Articles

logan_=_brik_prperty.png
June 20 2017
Last year, it struck an option deal with Pilot Gold Inc, whereby it can evaluate nine exploration projects
molten gold being poured
October 20 2017
Pan African hopes to be in production at Elikhulu in the final quarter of next year.
picture of drill rig
August 15 2017
“The funds raised should allow the company to swiftly commence resource definition drilling in our high potential Anzá gold project"

No investment advice

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You understand that the Company receives either monetary or securities compensation for our services. We stand to benefit from any volume this write-up may generate.

You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

Copyright © Proactiveinvestors.com, 2018. All Rights Reserved - Proactive Investors North America Inc., Proactive Investors LLC

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use