Goldsource shares are up about 240% since the start of 2019, boosted by the announcement mid-January of the new high-grade discovery only 1.5km from the advanced Eagle Mountain project, in Guyana.
At Eagle Mountain, work is focused on delivering a feasibility-level study for a large-scale operation, following pilot-plant scale, gravity-only gold production during 2016-2017.
The first two diamond core holes on Salbora returned 40m (estimated true width) grading 6.52 grams per tonne gold and 17m grading 2.82g/t.
Now the results from the reprocessing and re-interpretation of the 2007 airborne magnetic and radiometric surveys obtained from previous owner IAMGOLD are adding incentive to return to the discovery zone with more firepower in the form of a second diamond drill rig that is currently being mobilised.
"The re-interpretation of the 2007 airborne magnetic and radiometric surveys suggest that Salbora is located within a corridor of strong structural control with several subparallel structures indicating the potential for multiple mineralised zones related to these structures," CEO Yannis Tsitos said.
He said there was a direct relationship between sulphide content and gold grade at Salbora, prompting management to deploy a ground induced polarisation survey to cover about 5sq.km to help identify sulphide-rich zones within 250m from surface. The company would also continue step out drilling at Salbora.
The reinterpretation of the geophysical survey showed steeply dipping non-mineralised dolerite dykes appeared to be associated with strong-lined magnetic responses, trending mostly north-east.
The company said a distinct northwest-southeast trend comprising several subparallel lineaments effectively crosscut the dolerite dykes, which was where the Salbora discovery is.
This suggests the presence of a 400m-500m wide by 3km-long structurally controlled zone with three-dimensional magnetic modelling, suggesting an intrusion is present at a depth of several hundred meters beneath the northern part of this zone.
The company plans to follow up on priority geophysical anomalies with ground IP and high-resolution ground magnetics before the end of June.
Goldsource (TSXV:GXS) has a market capitalisation of C$53.13 million.
