They hit a Carlin-Type deposit which is characteristic of a high grade zone within a low grade grade halo. The high grade zone intersected 9.26 g/t over 31.13 meters within a low grade halo that grade .43 g/t over 34.07 meters. The initial potential area of the discovery is within a 150m x 500m gold-arsenic anomaly. Now cubing a hole never a good idea b/c there are so many factors that create a deposit, but it gives you some idea of the potenial of the project. Only drill results will tell what is really there but if you multiply the potential area by the initial drill result you get a 5,000,000 t deposit at 4.65 g/t which turns out to be around 750,000 oz's. Now you know why ATC is up 30% on the day today releasing news of a possible and most likely a 1M+ oz discovery at the Osiris Target.
ATC will continue to be a hot momentum play as they are ramping up exploration in this area and can expect a steady news flow as 4 of 6 drill holes have been completed and assays are pending as well as drill pads are being constructed to test another large gold-arsenic anomaly, a 150m * 900m zone where grab samples ranged 1.48 to 23.90 g/t gold.
ATC became one of our top gold stocks in the Yukon White Gold District once our initial pick Underworld Resources got taken out by Kinross and have been closely following since their initial discovery at the Tiger Zone last summer. ATC is definitely the most advanced play in the district with Kaminak KAM.V and Northern Tiger NTR.V being our other explorers in the White Gold District that we follow closely. Kaminak has had a great run and seems to be cooling off so I would rotate into ATC.V for momentum of this discovery and anticipation of more drill results that confirm this new major discovery and would also rotate into NTR.V to buy value and potential good news flow coming with NTR.V this fall as the results of their exploration program wrap up.
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