Dryden Gold assays reveal wide mineralization at Sherridon project in Ontario

[Redator]

Dryden Gold (TSXV: DRY) has drilled grades as high as 2.55 grams gold per tonne across 9 metres at its Sherridon project in northern Ontario while it also bought two net smelter return royalties (NSRs) for claims at the site.

That intercept, from 40 metres depth in Zone Four of hole DSH-25-001 included 19 metres grading 1.28 grams gold; and 39 metres at 0.4 gram gold and 7 metres at 1.82 grams gold in Zone Three, the company said Tuesday. Sherridon, part of the company’s larger Gold Rock property, is about 75 km south of Dryden, Ontario.

“While we remain laser-focused on expanding the mineralized footprint at Gold Rock, our regional efforts at Sherridon and Hyndman are beginning to prove the district-scale potential of Dryden Gold’s large strategic land package,” CEO Trey Wasser said in a release.

“I am also pleased to have closed the transaction to buy the royalties on Sherridon. Purchasing royalties, at attractive prices, increases both property and shareholder value.”

Legacy gold property

Dryden’s land package hosts sites of historic gold mines and has been relatively under-explored with modern methods.

Company shares gained 14% to C$0.32 apiece on Tuesday morning in Toronto, valuing the company at C$61.6 million.

Other noteworthy holes in Zone One at Sherridon were DSH-25-002, which returned 136 metres at 0.26 gram gold from 213 metres depth, including 17.6 metres grading 0.68 gram gold. Hole DSH-25-003 cut 76.8 metres grading 0.16 gram gold from 8.2 metres depth.

2% NSRs

The NSRs Dryden Gold purchased, which closed on Oct. 3, come with 2% returns and were bought from two private individuals for C$20,000 in cash, the company said.

The NSRs cover claims at Sherridon that were purchased from Alamos Gold (TSX, NYSE: AGI) subsidiary Manitou Gold last March. The remaining royalty on those claims is 1% which is payable to Alamos. All other claims at Sherridon are royalty free.

The mineralization at Sherridon, about 35 km south of the Gold Rock camp, are the second regional discovery of this year’s exploration program. Its broad zones of gold mineralization are hosted inside an east-west trending deformation corridor with a geophysical anomaly about 5 km long.

Sherridon also sits along a second-order structure that links to the Manitou-Dinorwic deformation zone, a deeply rooted structure which Dryden believes is among the fluid pathways for the Gold Rock Camp targets.

Dryden Gold three main assets are the brownfield Gold Rock project and the early-exploration-stage Lower Manitou and Tremblay projects.