Black Tusk Resources Inc. (TUSK:CSE; BTKRF:OTCMKTS; 0NB:FSE) has been assiduously testing its flagship gold project, the McKenzie East property, located in the heart of Quebec's prolific gold mining region, Val-d'Or, and is about to commence drilling. Within the last few months the company has conducted a drone magnetometer survey and a 3D induced polarization (IP) survey, and SGS Minerals Lab has analyzed 205 soil samples using its Mobile Metal Ion (MMI) process.
"We've used the most modern and advanced exploration techniques available, and we're currently piecing all the data together to formulate the strongest drill targets," Richard Penn, Black Tusk's CEO, told Streetwise Reports.
"Black Tusk's chart shows a solidly bullish picture with another upleg in the offing." - Technical analyst Clive Maund
The company plans a multi-phase drill program, beginning with a minimum of 1,000 meters of drilling in phase 1, with the first holes targeting depths of 300 to 500 meters. "Phase 1 is designed to test the mineralization potential of several anomalous features that occur within the northwestern section of the 1,676-hectare property. The drilling program will test a corridor of interest that includes elevated gold associated with copper returned from the MMI soil sample results, combined with magnetic anomalies outlined by the detailed drone survey," the company stated.
Grab samples have returned values as high as 241.8 grams per tonne (g/t) gold and 97.3 g/t silver.
Located in Quebec's Val d'Or—literally Valley of Gold—Black Tusk counts numerous miners among its neighbors. "There are very large mines in the area," Penn said. "Agnico Eagle/Yamana's Canadian Malartic Mine—currently Canada's largest gold mine—and Agnico Eagle's Lamaque Mine are within 10-15 minutes."
Black Tusk's McKenzie East is also located 1 kilometer west of Monarch Gold Corp.'s McKenzie Break property; in 2018 Monarch released an estimate there of a pit-constrained Indicated resource of around 50,000 ounces of gold, and an underground Indicated resource of roughly 55,000 ounces of gold, and the firm is actively drilling to expand that resource.
"Our geologists think that McKenzie Break's quartz veins trend from their property onto ours," Penn explained. "One of our head geologists, Dr. Mattieu Piché, worked on Monarch's drill program last year, and now he's working on our drill program. He sees a lot of similarities between the two projects."
One of the goals of the drill program is to try to prove that those quartz veins extend from Monarch's property onto Black Tusk's property.
Black Tusk is permitted to construct 18 drill pads, and the McKenzie East property is accessible for drilling all year round.
"We're planning on drilling all through the fall and all into the winter," Roman Rubin, Black Tusk CFO, said. He explained that phase 1 will drill in areas that are easily accessible right now. "Phase 2, the winter drilling, will be larger and will be done in areas that are easier to mobilize after the ground freezes."
Black Tusk is fully funded for its drill program. The firm recently announced it has arranged a CA$1.5 million, non-brokered flow-through financing and strategic investment from a syndicate led by Palisades Goldcorp Ltd., with an additional non-flow-through component. In addition to McKenzie East, Black Tusk owns 100% of five other properties, four in Val d'Or and one in British Columbia.
"We'll be walking the ground with the geo team pretty much on every single property this fall," Penn said. "And we're going to prioritize what needs to be done; there may be smaller-scale exploration programs happening on some of the projects while we're doing the big drill program at McKenzie East, but McKenzie remains our main focus."
With drilling expected to begin in October and continue through January, "we anticipate much news flow for the next five months," Penn concluded.
Technical analyst Clive Maund follows Black Tusk and wrote on CliveMaund.com on July 2, "We are right now seeing a bullish cross of the moving averages, such as often precedes a big move. . .Because of the extraordinarily bullish setup it is considered going overweight on this one."
On September 9, Black Tusk was one of eight companies that Maund highlighted as being at good entry points. He noted that the company's chart "shows a solidly bullish picture with another upleg in the offing." [NLINSERT]
1) Patrice Fusillo compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
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Clive Maund does not own shares of Black Tusk Resources, and neither he nor his company has a financial relationship with the company.