StrikePoint begins exploring Willoughby

StrikePoint Gold Inc. July 22 announced that it has raised C$2 million, providing funds to begin exploring its newly acquired Willoughby property in British Columbia's Golden Triangle.

Located roughly 30 kilometers (19 miles) east of Stewart, Willoughby is an intrusion related gold-silver exploration project with similarities to Ascot Resources Ltd.'s Red Mountain Mine project about seven kilometers (four miles) to the west.

Drilling from 1989 through 1995 tapped high-grade gold and silver at in the Main and North zones at Willoughby.

Hole 95-53, drilled in the Main zone, cut 10.5 meters averaging 7.56 grams per metric ton gold and 45.9 g/t silver, and 13 meters of 13.37 g/t gold and 63.43 g/t silver.

Hole 95-36, drilled in the North zone, cut 20.5 meters averaging 24.99 g/t gold and 184.22 g/t silver, and 2.9 meters of 383 g/t gold and 213.6 g/t silver.

Only limited geophysics and prospecting have been carried out at Willoughby since the last hole was drilled in 1996.

Over the ensuing 13 years, rapid deglaciation has exposed new prospective ground for exploration, including extensions to the North and Main zones.

A 2017 program funded by ArcWest Exploration Inc. and carried out by Millrock Resources Inc. discovered important new zones of gold and silver in bedrock recently revealed by the retreat of glaciers and snowfields.

To explore the compelling targets exposed on this property acquired from ArcWest, StrikePoint has completed a C$2.1 million financing that involved the issuance of 6.95 million flow-through units at a price at C16 cents per unit (C$1.1 million) and 8.9 million non-flow-through units at 11 cents per unit (C$1 million). Each unit includes share and one warrant that allows the holder to buy another share at C20 cents for 36 months from closing.

Finders fees and warrants were paid out in connection with the financing.

The net proceeds from the financing are for surface exploration and drilling at Willoughby, as well as for general working capital.

"StrikePoint is now fully funded for an imminent diamond drilling, targeting both the North and Willoughby zones at the high-grade gold Willoughby property. These two zones are over 1,000 meters apart, exhibit geological similarities to both the Red Mountain and Premier Gold deposit, and are wide open for expansion," said StrikePoint Gold CEO Shawn Khunkhun. "Surface exploration activities are underway on the property, including surface mapping and sampling, prior to drilling which is scheduled to commence within the week."

–SHANE LASLEY