After starting to trade on the TSX Venture in December, Osisko Development (TSXV: ODV) has reported its second set of drill results from the conversion drill program underway at the Cariboo gold project in central B.C.
The latest results are from the Cow Mountain and Valley vein corridors, which lie along strike.
Drill highlights from the Valley zone included 8.4 metres of 8.43 grams gold per tonne, including 0.5 metres of 84.5 grams gold per tonne; 9.2 metres of 6.3 grams gold per tonne; and 7.7 metres of 4.18 grams gold per tonne. Hole CM-20-083, which returned the 8.4-metre intercept, hit mineralization outside of any modelled vein corridors and extended the known mineralization within this area by up to 50 metres.
Notable intercepts from Cow Mountain included 3.8 metres of 5.95 grams gold and 4 metres of 4.38 grams gold.
Nine rigs are working at the property, four of them at the Valley zone.
"The most recent high-grade results from the Valley Zone certainly go to the character of this project," Sean Roosen, Osisko Development's CEO, commented in a news release. "We are still seeing many exciting new zones in this project that are within the current mine plan area."
Roosen said the company plans to increase its rig count and scale up its exploration efforts along the 83-km mineralized trend after closing financings totalling $200 million.
Measured and indicated resources at Cariboo stand at 21.4 million tonnes grading 4.6 grams gold, for a total of 3.2 million gold oz., with an additional 21.7 million inferred tonnes at 3.9 grams gold, containing a further 2.7 million gold ounces.
Permitting is underway for a 4,750 tonne-per-day underground operation at Cariboo with a feasibility study expected in the second half of 2021. Osisko Development also holds the 1,000 tonne-per-day QR mill within its 2,071 sq. km of mineral rights in the area. The project is subject to review under the B.C. Environmental Assessment Act, but not subject to review under the federal Impact Assessment Act.