Pure Gold Mining Inc (CVE:PGM) (OTCMKTS:LRTNF) said Tuesday that an estimate has found increased mineral resources at its Madsen gold project in the heart of Ontario's Red Lake mining district.
The Vancouver-based company said in a statement that the estimate showed that indicated mineral resources rose by 319,000 ounces to a total of 2.06 million ounces at an average grade of 8.9 grams of gold per tonne. In addition, inferred mineral resources rose by 171,000 ounces to 467,000 ounces at an average grade of 7.7 grams of gold per tonne.
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Under industry standards, the three categories of mineral resource classification in order of geological certainty are inferred, indicated and measured.
"Today's updated mineral resource estimate is the first of several near-term key milestones on the path to establishing a modern, scalable mining operation at Madsen," CEO Darin Labrenz said.
The mineral resource estimate showed increases at the Madsen, Russet South and Fork deposits and for the first time showed mineral resources at the company's Wedge deposit. The February 5 mineral resource estimate was prepared by Vancouver-based Ginto Consulting Inc.
Shares of Pure Gold fetched C$0.77 in Tuesday's Canadian trading. They climbed US$0.01 to US$0.58 on the OTC Markets.
Last month, Pure Gold received a repeated Speculative Buy rating from Echelon Wealth Partners, which said the first quarter of 2019 will be pivotal for the explorer.
Contact Dennis Fitzgerald at [email protected]