TSX-V-listed Nevada Sunrise Gold Corporation has entered into a 90-day due diligence period related to an option to buy the Coronado property, in Nevada.
During the due diligence period, Nevada Sunrise will commission Geotech, of Aurora, Ontario, Canada, to fly a vertical transient electromagnetic (VTEM) airborne survey over the property.
If results of the VTEM survey warrant, Nevada Sunrise will exercise its right to proceed to a definitive agreement for Coronado.
Coronado comprises about 109 unpatented claims totalling about 882 ha located over an interpreted trend adjacent to the historic Big Mike copper mine.
Historical sampling shows the presence of cobalt at Big Mike, with values in the deposit ranging up to 2 500 parts per million cobalt.
The company believes other hidden volcanogenic massive sulphide (VMS) deposits could exist at Coronado that would have escaped detection by historical exploration methods.
“Nevada Sunrise has received a unique opportunity to search for blind VMS deposits within a greenstone belt in Nevada that remains underexplored. We are fortunate to be the first company to employ a highly-effective exploration technique such as VTEM to an area that has been overlooked for this style of mineral deposit,” CEO Warren Stanyer said in a statement.