Newrange Gold Corp (CVE:NRG) (OTCMKTS:NRGOF) is bringing life back to the historic Good Hope Mine in Nevada with new high-grade sampling results.
The Vancouver-based junior company announced Tuesday that ongoing underground sampling revealed the source of the high-grade gold and silver at Good Hope, a former producing mine in Nevada.
Shares of Newrange surged 11.5% during Tuesday morning trading to hit C$0.15 on the TSX Venture Exchange and jumped 7.1% higher on OTC markets, trading at US$0.11.
Highlights of the sampling program included 13.9 g/t gold and 71.2 g/t silver over 40 metres in the 5690 level of the mine. Results from the same 40 metres, including sampling from the adjacent footwall and hangingwall, averaged 5 g/t gold and 42.2 g/t silver.
According to Newrange, the important silver to gold ratio at Good Hope is nearly 8 to 1, which is much higher than the 1 to 10 ratio found in the company’s Pamlico and Merritt projects. The higher ratio could provide important navigational guidance for future exploration work, the company said in a statement.
"The re-discovery of the Good Hope Mine mineralization is a very significant development for the Pamlico Project," stated Robert Archer, Newrange’s CEO. "With approximately 8,000 meters of underground workings and 300 mine entrances within an area of about 1,500 by 1,000 meters, and no maps or production data to rely upon, the ability to make this kind of discovery almost a kilometer away from our highly successful exploration in the Merritt Area underscores the tremendous potential of the project.”
The company said in a statement that the channel samples provide data that is of a higher quality than that obtained by drilling, at a fraction of the cost. “Importantly, the presence of higher silver values in the Good Hope Mine is a significant feature that will help gain a better understanding of the mineralizing system,” said Archer.
Good Hope is part of Newrange’s Pamlico gold project in Nevada, which covers the historic Pamlico group of mines as well as the Gold Bar and Sunset mines.
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