Golden Arrow Resources (GRG.V) announced new drill results at their Chinchillas Project in Jujuy, Argentina and exceeded the planned 6,500 meter drill program by completing 7,286 meters
Highlights of the drill program are 26 meters at 274g/t silver in hole CGA-69 which we assume was meant to double check the historical drill results on the property. We find this interesting as these results are much better than the historical results reported. Also of interest are the deeper holes CGA 60 which intersected 20 meters at 141g/t silver and 35 meters at 104g/t silver.
Brian McEwen, VP Exploration is excited about these results, as they are both expanding the near-surface mineralized zones and encountering encouraging intersections at depth, which is entirely consistent with the mineralization at Silver Standard’s (SSO.TO, NYSE:SSRI) Pirquitas mine, which is just 30 kilometers away.
The company still expects to release its maiden resource estimate by the end of April which will include 13,500 meters of drilling. We are still awaiting results for the final 19 holes of the Phase II drill program, but feel comfortable reiterating our target of 50Moz Silver Equivalent for this first resource estimate.
Golden Arrow currently has a market capitalization of approximately C$10M, compared to a cash and cash equivalents position of roughly C$11M. As Golden Arrow is trading below its cash position, you basically get all their projects for free.
Disclosure: Golden Arrow Resources Corp. is a sponsoring company. Please see our disclaimer for current sponsor positions.