Golden Summit drill planning underway

Freegold Ventures Ltd. June 7 said it is putting together plans for a drill program aimed at expanding the oxide resource at its Golden Summit gold property near Kinross Gold Corp.’s Fort Knox Mine in Interior Alaska.

Located along a paved highway about 30 minutes north of Fairbanks, Golden Summit hosts 61.5 million metric tons of indicated resource averaging 0.69 grams per metric ton (1.36 million ounces) gold; and 71.5 million metric tons of inferred resource averaging 0.69 g/t (1.58 million oz) gold.

The oxide portion of this deposit, largely within the upper 60 meters, has 16.2 million metric tons of indicated resource averaging 0.66 g/t (345,000 oz) gold; and 9.6 million metric tons of inferred resource averaging 0.59 g/t (183,000 oz) gold.

In 2016, Freegold published a preliminary economic assessment that evaluates a 10,000 metric-tons-per-day heap leach facility to process the oxide material and a 10,000 tpd plant for the sulfide material.

A drill program completed early in 2017 set out to expand the heap-leachable oxide resource to the north of the Dolphin deposit with a series of rotary-air-blast holes.

Highlights from this drilling include 60 meters of oxide material averaging 0.36 g/t gold; 39 meters of oxidized material averaging 0.72 g/t gold; 56.5 meters averaging 0.51 g/t gold; 52.5 meters of 0.56 g/t gold; and 54 meters of 1.09 g/t gold.

The spring program demonstrated the expandability of the shallow, heap-leach portion of Dolphin.

The 2017 program at Golden Summit also included a ground geophysical program to the west of Dolphin.

Combined with soil geochemistry, this induced polarization survey outlined an expansion target covering a 1,500- by 300-meter area west of the previously identified expansion area.

The 2018 program currently under consideration is expected to focus on target areas to the southwest and to the west of the current oxide resource as well as the planning for an initial drill test of an area located 1,500 meters west of the Dolphin Resource, where the 2017, geophysical and soil sampling programs were carried out.

Follow up drilling is also being planned on what Freegold believes may be the extension of the high-grade Cleary Hill Vein, in an area of no previous drilling. The historical Cleary Hill Mine produced 281,000 ounces of gold from ore averaging 1.3 oz/t gold until its closure during World War II.

In addition to the oxide expansion, Freegold said further infill and definition drilling on both the oxide and sulfide material; additional metallurgical testing; and significant baseline studies will need to be completed to advance Golden Summit to the pre-feasibility stage.

Shorty Creek

Freegold is also exploring Shorty Creek, a porphyry copper-gold project about 75 road miles northwest of Fairbanks.

The company first tapped porphyry style mineralization at Shorty Creek in 2015 and expanded upon its find over the ensuing two seasons.

Hole SC 16-01, drilled at the property's Hill 1835 target in 2016, cut 434.5 meters averaging 0.57 percent copper-equivalent, which accounts for the value of the copper, gold and silver.

The bottom 12 meters of this deepest hole at Hill 1835 averaged 0.55 percent copper, 0.145 grams per metric ton gold and 9.67 g/t silver.

In addition to the copper, gold and silver, the 2016 drilling also tapped significant tungsten in the form of wolframite.

SC 16-01 cut 207 meters averaging 0.045 percent tungsten trioxide; and SC 16-02 cut 409.6 meters averaging 0.03 percent tungsten trioxide.

Last year, Freegold drilled several step-out holes testing the extent of the porphyry target at Hill 1835.

Hole 17-01 cut 360 meters averaging 0.24 percent copper 0.07 g/t gold, 4.04 g/t silver, 0.01 percent cobalt and 0.03 percent tungsten trioxide; 17-02 cut 408 meters averaging 0.27 percent copper 0.05 g/t gold, 4.97 g/t silver, 0.009 percent cobalt and 0.05 percent tungsten trioxide.

Hole 17-03, which was lost at a depth of 362.2 meters in strong copper mineralization, cut 105.2 meters averaging 0.27 percent copper, 0.05 g/t gold, 6.75 g/t silver, 114 ppm cobalt and 0.06 percent tungsten trioxide at the eastern end of a magnetic high geophysical anomaly at Hill 1835.

17-04, which encountered significant fault material in the same area, cut 192 meters averaging 0.11 percent copper, 0.13 g/t gold, 1.48 g/t silver and 56 ppm cobalt.

Hole 17-05A, drilled about 125 meters north of 15-03, cut 165 meters averaging 0.29 percent copper, 0.18 g/t gold, 6.81 g/t silver and 0.014 percent cobalt.

Hole 17-07, drilled 90 meters northeast of 17-05, was only made to a depth of 41 meters before winter conditions caused drilling to halt before the hole was finished. However, the top 34 meters returned 0.07 g/t gold and 1.7 g/t silver. Freegold plans to complete this hole when drilling resumes at Shorty Creek.

Freegold has commissioned an initial metallurgical program aimed at determining potential copper recoveries with associated by-product credits, notably gold, silver and tungsten. Results of this program, when completed, will guide the future drilling at Hill 1835 and the other high priority targets.

–SHANE LASLEY