“We are confident that given the additional mineralisation we have already identified and the fact that it is open in all directions, ongoing drilling will drive the resource and create substantial shareholder value over coming months,” the company said in a statement to the ASX.
The 3 million tonnes grading 5 grams per tonne at the company’s namesake project in Quebec is within five lodes and compares to the historical Canadian resource at the project of 2.1Mt at 7.1gpt gold for 479,000oz.
Labyrinth also reported “exceptional metallurgical results”, with an initial bulkleach extractable gold (BLEG) test returning 97.1% recovery.
Labyrinth, which was formerly Orminex and before that failed South African gold producer Mintails – an administrator was appointed in January 2016 – got involved in the Canadian scene last year.
The company had A$2.3 million at the end of the June quarter, with $570,000 cash (plus escrowed shares) subsequently received for the divestment of Australian assets.
