Tectonic Metals traded at almost 20 instances its each day common quantity on Monday, and closed the session at C$0.065 apiece for a market capitalization of C$20 million ($14.6m).
“Tectonic is one in all our high ten holdings within the Crescat portfolio. Our assist for Tectonic and their Flat venture is underscored by us doubling our possession degree to 22.3% within the firm final 12 months,” Crescat Capital chief funding officer Kevin Smith mentioned in Monday’s press launch.
Dr. Quinton Hennigh, technical director of Crescat, mentioned that the exploration progress on the Flat gold venture by Tectonic, which has just one 12 months of drilling underneath its belt, has the potential to exhibit the presence of a tier-one gold asset.
“Latest metallurgical take a look at outcomes point out gold mineralization seems to be free-milling and readily amenable to low-cost heap leach processing. Such a big, metallurgically pleasant deposit is very fascinating to an trade in want of such discoveries,” Dr. Hennigh famous.
The Flat gold venture is situated 40 km north of the large Donlin gold venture and hosts mineralization much like that discovered on the Fort Knox mine operated by Kinross Gold, in addition to the Eagle mine in Canada’s Yukon Territory.
The primary goal space at Flat is the Hen Mountain, comprising an open-ended +100 ppb gold-in-soil anomaly extending 3,800 x 600 metres over the core of uncovered intrusion. In keeping with Tectonic, this goal seems to have been the foremost supply of placer gold within the district relationship again to the early 1900s.
Earlier than Tectonic, the venture had seen sporadic exploration from the Sixties to 2003, consisting of surficial geochemical sampling, geophysics, and each reverse circulation and diamond drilling. To this point, roughly 11,000 metres of drilling have been carried out on the property.
“We at present have 1.8 km of drilled mineralized strike at Hen Mountain alone, which is one in all six district-scale intrusion targets on the Flat. To this point, each gap drilled at Hen Mountain for a complete of 74 holes intersected gold mineralization and roughly half of those drill holes led to mineralization whilst deep as 300-metre vertical,” Tectonic Metals CEO Tony Reda mentioned.
The crew led by Reda was the identical that funded the acquisition, discovery and development of the Espresso gold venture within the Yukon, together with the completion of a bankable feasibility research, earlier than promoting the multi-million-ounce gold venture to Goldcorp (now Newmont) for C$520 million in 2016.