Edgewater Exploration (EDW.V) has announced new drill results at their 100%-owned Corcoesto Gold Project in Galicia, Spain. Highlights are in excess of 12 meters at 3.24g/t including 1.5 meters at 13.5g/t. Hole 12w226 intersected almost 15 meters at 1.8g/t at a depth of 235 meters.
The company anticipates to release an updated NI43-compliant resource estimate within the next two weeks, and we are anticipating a large conversion from Inferred resources to the Measured and Indicated categories. We are aiming at 800koz in M&I, and an additional 450koz in the Inferred categories.
This updated resource estimate will be the basis for the Definitive Feasibility Study, expected at the beginning of April. We are quite confident the DFS will be in line with the PEA, outlining a 100kozpa operation at $750/oz for relatively moderate capital expenditures of approximately $135M.
Disclosure: The author holds a long position in Edgewater Exploration Ltd. Please see our disclaimer for current positions.