Banyan Gold rises on Yukon project resource update

[Redator]

A resource update for Banyan Gold’s (TSXV: BYN) AurMac project makes it the second largest resource on the Tombstone Gold belt in Yukon. Shares rose.

The update adds 112.5 million indicated tonnes grading 0.63 gram gold for 2.27 million oz. Banyan reported Tuesday. It includes 280.6 million inferred tonnes at 0.6 gram gold for 5.45 million contained ounces. The road-accessible AurMac is about 360 km north of Whitehorse.

“This update achieved the primary objectives of last year’s program, which were to convert over 2 million oz. into indicated mineral resources with a refined geological model and importantly identify near surface, high-grade areas,” Banyan president and CEO Tara Christie said in a release.

Contained ounces

The update now puts AurMac behind Snowline Gold’s (TSXV: SGD) Valley deposit as the second biggest resource by contained ounces in Yukon. The previous estimate from February last year comprised only inferred resources.

Banyan shares gained 5.6% to C$0.28 apiece in Toronto on Wednesday morning for a market capitalization of C$111 million. Its stock has traded in a 12-month range of C$0.15 to C$0.29.

The update incorporates results from 21,000 metres of drilling across 118 holes last year at AurMac’s Airstrip and Powerline deposits.

The company plans to conduct another 30,000 metres of drilling this year, mostly at Airstrip and Powerline, as well as complete a preliminary economic assessment for AurMac in the fourth quarter.