NevGold (NAU.V) has released the results of another batch of re-assayed results from previous drill programs. And just like the previous releases, some of those intervals contain very interesting antimony grades which increase the gold-equivalent grade by several tens of percents. The company’s gold-equivalent calculation uses an antimony price that’s 30% below the current spot price and applies a 70% recovery rate (and 85% for the gold). The entire table with assay results can be found here. It’s also worth mentioning that historical drilling at Limousine Butte had an upper detection limit of 1% antimony. As several drill intervals exceeded this limit, some samples were sent for re-assaying.
The company has also kicked off a new metallurgical test program which will focus on recovering the gold and antimony as efficiently as possible. Additionally, the company will likely include the antimony in a maiden resource estimate and hopefully Limousine Butte will reach the critical mass that will allow it to kick off the start of a PEA.
Disclosure: The author has a long position in NevGold. This post is for educational purposes only; be mindful investing in junior mining stocks is risky and you may lose your entire investment if things go wrong. Please read the disclaimer.
