AEX Gold Inc (AIM:AEXG, TSX-V:AEX) said a 2021 exploration campaign at its Nanoq gold project in South Greenland “materially increased” the resource size potential.
Geological mapping and drone imagery at Nanoq highlighted the presence of a total of three key altered mineralised shear zones each over 20 metres wide.
“Only one zone was previously recognised, therefore this discovery has materially increased the resource size potential of the target,” it said.
Targeted sampling by AEX resulted in 26 rock chip samples, returning up to 16.95 grammes a tonne (g/t) gold in one of the newly identified zones. Infill sampling returned up to 5.65 g/t gold, confirming its potential to host economic resources.
In addition, mineralisation appears to be open along strike to the south west, potentially connecting Nanoq to AEX's Jokum's Shear gold/copper occurrence along a 25km structure.
The scale of this structure suggests the existence of a significant mineralised system capable of hosting numerous deposits and AEX said it believes this may host a multimillion-ounce target.
AEX said it plans to conduct a high-resolution geophysical survey across Nanoq and along the 25km long structure to Jokum's Shear to test the geological potential ahead of drilling.
"These 2021 results from Nanoq provide yet further evidence of the gold endowment across the Nanortalik Gold Belt of Southern Greenland, across which a number of our identified assets sit,” said chief executive Eldur Olafsson.
“The strategic landholding that AEX controls over this Gold Belt, provides us with the access to explore and discover these potential multimillion ounce plays. In a world where much of the prospective ground has seen decades of extensive exploration, this situation is rare.
"These results from Nanoq provides the company with yet another potential advanced gold development project alongside Nalunaq and Vagar Ridge.”
The AIM-traded company also announced the start of its 2022 field programme at Nalunaq, its flagship project, with infill core drilling on the Valley Block and road preparation ahead of extension core drilling at site.
READ: AEX Gold sets out ambitious exploration programme for 2022 field season in Greenland
Drilling has also started at the Sava iron oxide copper gold (IOCG) target on Target West, with the first core samples producing encouraging results, it said, adding that drilling is also scheduled to start at Vagar Ridge in the coming month.