37% Increase Follows Strategic Review Around Local Properties
Matador Mining Limited (ASX: MZZ; OTCQX) has increased its landholding in Newfoundland by 37% to 750 sq. km following a major strategic review of the ground around its current tenements as well as prospects within the broader region.
Two blocks (127 sq.km) adjacent to the Cape Ray Gold Project area have been acquired. The Hermitage Project is to the east of the Cape Ray Gold Project, along 27km of continuous strike (150 sq. km) on the Hermitage Flexure, a splay off the main Cape Ray Shear Zone (CRSZ)
Hermitage is on a similar structural setting to New Found Gold’s (TSXV: NFG) Queensway Project as well as Labrador Gold Corp’s (TSXV: LAB) Kingsway Project .
Executive Chairman, Ian Murray, said the Hermitage region was previously explored by Teck, Falconbridge and INCO. A review of historical work, which includes geochemistry, airborne magnetics and electromagnetics is underway.
“Newfoundland has become one of the most exciting jurisdictions for gold exploration in North America, largely due to the high-grade Queensway gold discovery by New Found Gold. This success has put a spotlight on Newfoundland gold prospectivity resulting in a staking rush and a significant increase in exploration activity,” Mr Murray said.
“Whilst we believe we already have one of the most attractive and under-explored packages in Newfoundland, our exploration team is always assessing new opportunities.
“This work has led to the identification of two new blocks to the West of our tenement holdings that we believe could host large-scale cross structures to the Cape Ray Shear. Work on these areas will form part of this season’s exploration program.
“The Hermitage Project is in a new region of Newfoundland for Matador, where we see excellent potential and believe it has been overlooked historically due to the modest cover (estimated around 20 metres). This ground was identified by Matador’s Principal Geologist – Crispin Pike, a local Newfoundlander who recently joined the company – based on assessment of historic early-stage exploration work and regional structural architecture.
“Both tenement acquisitions are aligned with the company’s strategy of building a sustainable pipeline of highly prospective gold targets throughout Newfoundland.”
Mr Murray said the company continuously reviews available data from the Cape Ray Gold Project, to assess if there are opportunities outside of our current tenements. From this work, two new blocks covering prospective ground to the west of the current tenement package have been identified.
- – Block 1 – North-west of the Central Zone and the Window Glass Hill deposits. This area hosts a major structure parallel to the Cape Ray Shear Zone (CRSZ) and major cross structures, with gold pathfinder anomalism in historic surface samples. Given the proximity of this area to the current work program, the Company anticipates completing Heli-Magnetics and multi-element geochemistry in this area during the 2021 exploration programme.
- – Block 2 – Immediately north of the Malachite Lake prospect, a north-east trending splay off the CRSZ (where a flexure causes the main CRSZ to turn towards the east) has been identified. Heli-Magnetics will be flown over this region in the coming months, with geochemistry likely to be completed during 2022.
