North Peak Resources (TSXV:NPR) has announced the next phase of its drilling program at the Prospect Mountain Property in Eureka, Nevada. The company has completed preliminary testing of the Industry and Silver Connor fault network and is now shifting focus to the West side of the mountain.

Mike Sutton, Director & Geologist, commented in a press release: “Wabash was the focus of a systematic drilling campaign in 1999 and the intersections that were returned were interpreted as shallow dipping pods of mineralization. A new interpretation is that the intersections are aligning with the steeply dipping faults and if so, continuity of mineralization greatly improves and increases the tonnage potential and this has been supported by the finding of a sub-vertical mineralized fault at surface. The historical vertical holes are not suited to cut across sub-vertical zones.”

The new drilling targets the Duke, Banner, and Silver Connor fault system in the Wabash area, which contains several historical mines including Wabash, Williams, and Silver Connor. These fault systems are known conduits for gold-bearing fluids in the region’s deposits. The northern part of the property shows geological similarities to i-80’s Archimedes/Hilltop area and the historic Richmond/Eureka/Fad zones.

The Eureka mining district has a significant production history, with over 2.9 million ounces of gold extracted to date. This figure includes 1.45 million ounces from the Richmond-Eureka mine between 1869 and 1901, and 1.46 million ounces from the Archimedes Pit between 1998 and 2020.

The Wabash area was previously explored in 1999 by European American Resources, which conducted a 27,618-foot (8,418-meter) reverse circulation drilling campaign. Historical drill results from this program included several notable intersections, such as 24.4 meters grading 8.2 g/t gold and 22.6 g/t silver in hole PM-W-92, and 21.3 meters grading 4.5 g/t gold and 35.0 g/t silver in hole PM-W-12.

Mike Sutton, Director and Geologist at North Peak Resources, commented on the new interpretation of these historical results: “The intersections were originally interpreted as shallow dipping pods of mineralization. Our new interpretation suggests they may align with steeply dipping faults, which could significantly improve continuity of mineralization and increase tonnage potential.”

The current drilling program will include holes up to 900 feet in length, with several angled to test this new interpretation. Some holes will also twin historical intersections to verify previous results.

Multi-element assays from the reverse circulation drill holes have indicated anomalous antimony and high arsenic levels, with relatively low lead and zinc. This geochemical signature is consistent with historical smelter observations and suggests the mineralization is of an “Intermediate” style, exhibiting mainly Carlin-type characteristics but also showing a carbonate replacement deposit (CRD) signature.

The Prospect Mountain Property is situated within the Battle Mountain Eureka trend, in an area known as the Southern Eureka Gold Belt. This region is known for three styles of mineralization: Carlin-style gold and silver, carbonate replacement gold, silver, lead, and zinc (CRD), and carbonate-hosted porphyry-related skarn lead, zinc, and gold associated with Cretaceous intrusions.

A Plan of Operations is in place for part of the property, covering 81 acres. This plan allows for surface exploration, underground mining of up to 365,000 tons per annum, and certain infrastructural works, including water extraction and containment facilities.

North Peak Resources is a Canadian-based gold exploration and development company listed on the TSX Venture Exchange. The company focuses on acquiring historic sites with low-cost producing gold and other metals properties that have near-term production potential and an expected mine life of at least 8 years in the northern hemisphere. In May 2023, North Peak acquired an initial 80% interest in the Prospect Mountain Mine complex.

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.