NYSE American-listed Paramount Gold Nevada is gearing up to start a 15-hole reverse circulation drilling campaign at the Frost project, southwest of the company’s proposed high-grade underground Grassy Mountain gold mine, later this quarter.
The company reported on Tuesday that it had received all required permits to conduct exploratory drilling at Frost, in Eastern Oregon, from the Bureau of Land Management, the Oregon Department of Geology and Mineral Industries and associated agencies.
“Our team is excited to undertake the upcoming drill programme at Frost given the high-grade nature of the historic intercepts, which yielded up to 25 g/t gold and 27 g/t silver but were never properly evaluated,” said CEO Rachel Goldman.
Given the proximity of Frost to Grassy, mineralised material would be trucked as mill feed to the Grassy processing facility. Every incremental 270 t of economic mineralised material would extend mine life by a year, improving overall project economics as defined in the Grassy feasibility study.
The interpretation of the historic drilling data in conjunction with geophysical survey results provided the basis for the planned 2 743 m, 15-hole reverse circulation drill campaign which is expected to start late in the second quarter.
Frost comprises 84 unpatented lode claims covering about 700 ha.