Over the last 60 days, WHN stock price has risen from CA$0.53 to as high as CA$0.79 as the current drill program provides confirmation of a high-grade asset.
On June 1, 2021, Westhaven Gold Corp. (WHN:TSX.V) announced results from its ongoing drill campaign at the 17,623-hectare Shovelnose gold property, located within the prospective Spences Bridge Gold Belt (SBGB), which borders the Coquihalla Highway 30 kilometers south of Merritt, British Columbia.
The SBGB was sparked in 1857 by the discovery of coarse placer gold where the Nicoamen and Thompson rivers meet. It drew an estimated 20,000 prospectors to British Columbia, initiating the Fraser River gold rush.
In late 2018 Westhaven Gold drilled the initial discovery holes:
- SN18-14: 17.70m of 24.50 g/t Au and 107.92 g/t Ag
- SN18-15: 46.90m of 8.95 g/t Au and 65.47 g/t Ag
- SN19-01: 12.66m of 39.31 g/t Au and 133.11 g/t Ag
- SNR21-04 (South Zone: Vein Zone 1, 82.00-123.55m)
41.55 meters (m) of 8.17 g/t gold (Au) and 34.64 g/t silver (Ag),
including 6.04m of 52.25 g/t Au and 195.04 g/t Ag,
including 1.22m of 253.05 g/t Au and 889.75 g/t Ag,
including 0.45m of 614 g/t Au and 2,070 g/t Ag.
- SNR21-03 (South Zone: Vein Zone 1, 79.20-154.00m)
74.80m of 3.18 g/t Au and 18.92 g/t Ag,
including 5.13m of 26.13 g/t Au and 158.03 g/t Ag.
Also, 8.00m of 7.41 g/t Au and 55.32 g/t Ag,
including 1.32m of 31.90 g/t Au and 269.00 g/t Ag.
"These high-grade drill intercepts, including 614 g/t gold and 2,070 g/t silver, help further validate the high-grade nature of this project," stated Gareth Thomas, president CEO and a director of Westhaven. "Hole SNR21-04 is one of the shallowest high-grade Vein Zone 1 intercept drilled on Shovelnose to date."
This bonanza intercept was discovered 116 meters deep.
A high-grade near-surface deposit radically changes the economics of a project, de-risking the capital costs of a mine.
"It is encouraging to see the expansion of mineralization and the continuity of high-grade within the South Zone, especially as we continue to drill this area in preparation for an inaugural maiden resource," added Thomas.
Westhaven's project is located not far from the largest mine in BC, Highland Valley Copper, owned by Teck Resources, with 2020 revenues of $993 million.
As a mining jurisdiction, Thomas describes BC as "a good place to be."
According the Fraser Institute 2020 Mining Survey, in the last four years, BC has risen from 27th to 17th on the "Investment Attractiveness Index." In Canada, only Alberta ranks higher.
Westhaven is drilling its high-grade gold/silver asset just a 2.5-hour drive from the City of Vancouver, which gets an annual average of 92 inches of rain but only 8 inches of snow.
"It's a significant advantage that we can work year-round," confirmed Thomas. "In contrast, the Golden Triangle has some fantastic geology but it can be a challenging place to work, due to frigid winter conditions."
"No helicopter required," stated Thomas. "No remote camps, we just keep working and generating news from our drill programs."
Westhaven raised $15 million in March, 2021. Two-thirds of that was taken down by two institutional funds from the U.S.
Westhaven currently has about $10 million in the bank. The company will be receiving another $2 million back from the BC government, though its exploration tax credit.
"For every exploration dollar you spend in the ground, you get 20% of that back the following year. Being in the 'pine beetle kill area' we receive an additional 10% back. So that's a 30% refund which we can put back in the ground."
"We're currently drilling in the South zone. To get a maiden resource, we had to tighten up the spacing and drill in a few places that haven't drilled."
Soon we'll have a good handle on what is there. We've also been conducting ongoing metallurgy tests. Our rock has low sulphidation epithermal characteristics."
"Historically, this type of rock has been favorable to mine," added Thomas, "But the metallurgy gives us certainty regarding recovery rates."
"With the recent exploration success at the FMN Zone (SN21-161: 15.97m of 9.15 g/t Au and 27.43 g/t Ag), and with several high-priority targets generated from ongoing exploration programs including geophysics, geochemistry and prospecting, a third drill is being mobilized to the property," stated Thomas about the June 1, 2021, drill results.
"Within 10 days, we'll likely have our third rig on the Shovelnose property," said Thomas in a June 11, 2021, interview with Streetwise Reports, "So it's going to be busy time and we're hoping to see more Bonanza-grade intercepts.
Westhaven has 126.2 million shares outstanding, 149.7 million shares fully diluted. Directors and officers own 25% of the shares, institutional investors own 25% and retail investors hold about 40%.
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