Meguma Gold Corp (CSE:NSAU) (OTCMKTS:NSAUF) is seeing promising results from ongoing exploration work at its Ecum Secum property in Nova Scotia, including one sample that graded as high as 49.8 grams per ton gold.
The samples were from waste rock piles associated with previous mining operations and support the presence of gold mineralization in addition to the main veins that were mined in the past, according to a company statement on Wednesday.
Shares of MegumaGold rose 3.6% in Canada to sit at C$0.15 by midday Wednesday.
Highlights of the sampling included gold grades of 49.8 g/t, 9.5 g/t, 7 g/t and 5/2 g/t.
Halifax-based Meguma has begun mechanized site preparation work at Ecum Secum to support an upcoming 2,000 metre drill program, part of a 10,000 metre regional drilling campaign to confirm and expand the known mineralization on the property.
"Meguma continues to execute on its business plan to establish the premier gold exploration opportunity base within Nova Scotia's developing Meguma gold belt,” said Theo van der Linde, Meguma’s president, in a statement.
“Nova Scotia is vastly under explored for the bulk mineable concept and we continue to be excited by the exploration potential available to our operations on our massive land package, playing host to the company's pipeline of rapidly developing projects that fit this model."
The Ecum Secum property is 60 kilometres from the Touquoy deposit owned by Atlantic Gold, a company subject to a pending C$802 million acquisition by Australia’s St Barbara Ltd.
Nova Scotia's 'new golden era'
According to van der Linde, the pending acquisition of Atlantic Gold demonstrates that Nova Scotia is in a “new golden era” as the province has now received international recognition as an emerging gold district. “(It) validates the bulk tonnage model Atlantic Gold first recognized and has since perfected with the industry's lowest costs per ounce,” the president said in a statement.
The junior explorer recently released promising drill results from its Killag project, 40 kilometres northwest of Ecum Secum, which included results such as 1 metre at 54.2 g/t gold and 4 metres at 4.9 g/t gold from a depth of 67 metres.
Follow up drilling at Killag will begin once the program at Ecum Secum is completed.
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