Seabridge Develops New Gold Deposition Model for 3 Aces Project
- Successful 2023 drill results at Seabridge Gold's 3 Aces project in Canada's Yukon.
- Key parameters controlling gold deposition confirmed, leading to continuous mineralization.
- Updated 3D model shows continuous mineralization between historical deposits.
- High-grade zones found in favorable regional fold architecture.
- CEO Rudi Fronk emphasized the breakthrough and tools for identifying new targets.
- None.
Insights
The confirmation of continuous gold mineralization at Seabridge Gold's 3 Aces project represents a significant development for the company and its investors. The ability to demonstrate continuity between historical deposits enhances the project's economic viability and could potentially lead to an increase in estimated reserves, which is a critical factor in the valuation of a mining company. From an investment perspective, this could be seen as a positive signal, as it may lead to a re-rating of the company's stock. However, it is important to consider the cost of further exploration and the potential time frame for production, as these factors will influence the project's overall profitability and cash flow projections.
The geological insights provided by the successful drilling program at Seabridge's 3 Aces project are noteworthy. The identification of second generation folding (F2) as a control on gold deposition is a technical advancement, as such structural traps are often associated with significant gold accumulations. The delineation of high-grade zones within these structures could indicate a larger, more economical deposit. Investors should be aware that these geological models will guide future exploration and could lead to further discoveries, potentially expanding the resource base and extending the mine's life. The technical aspects of the drilling results, such as the reported gold grades and intervals, are within industry norms for economically viable projects, but the true economic potential will be better understood once a preliminary economic assessment is conducted.
The update from Seabridge Gold may have broader implications for the mining sector, particularly in regions with similar geological formations. The demonstrated methodology and success in resolving continuity challenges could serve as a case study for other mining companies facing similar issues. It's also indicative of the company's operational capabilities and could impact investor perception of management's expertise. In the context of the gold market, the timing of this news could be influenced by current gold prices and market demand for safe-haven assets, which often correlates with increased interest in gold mining stocks.
The challenge of finding continuity appears to be resolved
Toronto, Ontario--(Newsfile Corp. - February 14, 2024) - Seabridge Gold (TSX: SEA) (NYSE:SA) today announced that 2023 drill results at our wholly owned 3 Aces project in Canada's Yukon have successfully confirmed the key parameters controlling gold deposition on the property and provided a clear set of directions for follow-up evaluation and resource delineation. Last year's program completed 7,759 meters of core and reverse circulation drilling within the Central Core Area of the 3 Aces project.
An updated 3-dimensional model has now been built that brings together results from our drilling and historical drill programs to indicate the likelihood of continuous mineralization between previously isolated historical deposits in the Central Core Area (CCA). Our 2023 drill program confirmed these extensions of historical discoveries, including localized high-grade zones, within the favorable parts of the regional fold architecture. At contacts between thick phyllite sequences and coarse interbedded sandstone and conglomerate, second generation folding (F2) has produced discrete dilation zones on F2 synforms and antiforms where continuous gold mineralization and locally high-grade intervals are found.
Commenting on this year's program, Rudi Fronk, Seabridge Chairman and CEO, noted "previous operators encountered challenges connecting and extending target zones in the CCA. Our team's comprehensive and detailed work has recognized controls that appear to have resolved this continuity issue. This year's breakthrough now gives us the tools to identify additional promissing targets and expand known gold zones at 3 Aces. We now see a path for bringing the property's extensive gold mineralization into resource configurations."
Drill testing in 2023 was completed around the historical Spades, Hearts, and Clubs zones. Detailed surface and drill hole observations have provided better control on the stratigraphy and location of the F2 structures. Gold concentrations are found consistently in the F2 structures. Where these fold structures encounter the significant competency differences between phyllite and sandstone, open spaces are created through dilation of the rock mass, providing a trap for the deposition of gold-bearing massive quartz veins or quartz-arsenopyrite breccia. These fold features are also recognized outside of the preferred stratigraphic contact, but generally contain narrower intervals at lower gold grades. Following these marginal grade fold features toward stratigraphic contacts is expected to lead to new discoveries.
While the stratigraphic contact and F2 structures remain the principal control on gold concentrations, we continue to evaluate other potential traps in the system.
Select drill results from the 2023 program include:
| Hole ID | Depth (m) | From (meters) | To (meters) | Interval (meters) | Gold Grade (g/t) | Target Zone | |
| 3A23-359 | 585.9 | 81.4 | 84.5 | 3.1 | 1.93 | Hearts NE | |
| including | 433.7 | 440.5 | 6.8 | 1.70 | |||
| 436.7 | 439.4 | 2.7 | 3.90 | ||||
| including | 464.9 | 477.5 | 12.6 | 1.70 | |||
| 464.9 | 467.0 | 2.1 | 5.90 | ||||
| 3A23-360 | 498.0 | including including | 376.0 | 391.5 | 15.5 | 0.59 | |
| 380.0 | 387.0 | 7.0 | 0.69 | ||||
| 384.9 | 397.0 | 2.1 | 2.00 | ||||
| 3A23-361 | 531.0 | 6.0 | 6.7 | 0.7 | 4.60 | Hearts W | |
| including | 499.3 | 517.2 | 18.0 | 1.00 | |||
| 505.7 | 510.5 | 4.8 | 1.50 | ||||
| 3A-362 | 179.8 | including | 42.7 | 53.3 | 10.6 | 2.69 | Spades SE |
| 45.7 | 48.8 | 3.1 | 7.91 | ||||
| 94.5 | 99.1 | 4.6 | 0.72 | ||||
| 3A23-363 | 184.4 | 9.1 | 10.7 | 1.6 | 3.60 | Spades SE | |
| 13.7 | 15.2 | 1.5 | 2.94 | ||||
| 164.6 | 172.2 | 7.6 | 0.47 | ||||
| 3A23-364 | 173.7 | 92.7 | 98.8 | 6.1 | 1.30 | Spades SE | |
| 3A23-365 | 166.1 | 68.6 | 73.2 | 4.6 | 0.44 | Spades SE | |
| 86.9 | 94.5 | 7.6 | 0.40 | ||||
| 3A23-366 | 312.4 | including | 207.3 | 288.0 | 80.7 | 0.22 | Spades SE |
| 207.3 | 210.3 | 3.0 | 1.85 | ||||
| 3A23-369 | 195.1 | 27.4 | 29.0 | 1.6 | 1.85 | Spades Plunge | |
| 3A23-373 | 297.2 | including | 262.1 | 294.1 | 32.0 | 1.10 | Hearts |
| 262.1 | 271.3 | 9.2 | 2.54 | ||||
| 3A23-376 | 260.6 | 251.5 | 260.6 | 9.1 | 0.29 | Hearts SE | |
| 3A23-377 | 230.0 | including | 123.3 | 130.5 | 7.2 | 7.59 | |
| 123.3 | 124.3 | 1.0 | 46.40 | ||||
| 137.5 | 143.5 | 6.0 | 0.55 | ||||
| 3A23-378 | 266.7 | 147.8 | 153.9 | 6.1 | 0.35 | Hearts W | |
| 166.1 | 176.8 | 10.7 | 0.41 | ||||
| 3A23-380 | 603.0 | 332.0 | 334.0 | 2.0 | 2.83 | Hearts NE | |
| including including | 527.0 | 540.0 | 13.0 | 0.87 | |||
| 527.0 | 534.0 | 7.0 | 1.23 | ||||
| 528.0 | 530.1 | 2.1 | 2.43 | ||||
| 3A23-381 | 288.3 | including | 19.8 | 35.1 | 15.3 | 1.83 | Clubs |
| 21.3 | 25.9 | 4.6 | 5.42 | ||||
| including including | 138.7 | 249.9 | 111.2 | 0.81 | |||
| 146.3 | 187.5 | 41.2 | 1.52 | ||||
| 172.2 | 187.5 | 15.3 | 2.10 | ||||
| 3A23-383 | 294.1 | 176.8 | 182.9 | 6.1 | 0.90 | Hearts W | |
| including including | 239.3 | 283.5 | 44.2 | 1.00 | |||
| 253.0 | 257.6 | 4.6 | 4.80 | ||||
| 271.3 | 272.8 | 1.5 | 2.70 | ||||
| 3A23-384 | 477.0 | including | 159.0 | 163.1 | 4.1 | 2.10 | Spades SE |
| 160.0 | 162.0 | 2.0 | 3.10 |
Results reported herein are estimated to be
Rigorous quality control/quality assurance protocols were used in this drilling program, consisting of blind blank, duplicate and certified reference standards inserted in the sample submissions. Assays were preformed by Bureau Veritas laboratory in Vancouver BC with all intervals being analysed by 50g lead collection fire assay fusion and 35 element ICP-EM. Select intervals are reanalyzed using 500g samples screened through 150 mesh screens producing fire assays for the coarse fraction and fine fraction with gold reported for both fractions and the total of the sample.
Exploration activities on the 3 Aces project are being conducted under the supervision of William E. Threlkeld, Registered Professional Geologist, Senior Vice President of the Company and a Qualified Person as defined by National Instrument 43-101. Mr. Threlkeld has reviewed and approved this news release.
Seabridge holds a
Neither the Toronto Stock Exchange, New York Stock Exchange, nor their Regulation Services Providers accepts responsibility for the adequacy or accuracy of this release.
This news release includes certain forward-looking statements or forward-looking information. This information and these statements, referred to herein as "forward-looking statements" are made as of the date of this news release. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding: (i) the likelihood of continuous mineralization between previously isolated historical deposits in the Central Core Area; (ii) the recognized controls that appear to have resolved the continuity issue at 3 Aces and offer a path for bringing the property's extensive gold mineralization into resource configurations; (iii) the multiple F2 synforms and antiforms serving as a trap for the deposition of gold-bearing massive quartz veins or quartz-arsenopyrite breccia; (iv) the process of following the marginal grade fold features toward stratigraphic contacts is expected to lead to new discoveries; and (v) the reported results being
ON BEHALF OF THE BOARD
"Rudi Fronk"
Chairman and C.E.O.
For further information please contact:
Rudi P. Fronk, Chairman and C.E.O.
Tel: (416) 367-9292 • Fax: (416) 367-2711
Email: info@seabridgegold.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/197673
FAQ
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