VANCOUVER – Ethos Gold Corp [ECC-TSXV] shares rallied in active trading Monday after the company released impressive sampling results from its Toogood property in Newfoundland.
The company said samples taken from an area located 420 metres east of a new high-grade surface trend on the Toogood property assayed at 7,877 g/t gold. Other sub-crop grab samples also contained visible gold, assaying 1,276, 1,413, and 226 g/t gold.
The company that the surface samples are grab/select samples and are not necessarily representative of mineralization hosted on the property.
However, Ethos shares advanced on the news, rising 9.3% or $0.04 to 47 cents on volume of 1.18 million. The shares were previously trading in a 52-week range of 44.5 cents and 16 cents.
Ethos Gold, a Discovery Group company, has accumulated a portfolio of district-scale projects in British Columbia, Ontario, Quebec and Newfoundland. The company’s technical team is led by Rob Carpenter, the former CEO of Kaminak Gold Corp. Carpenter led the Kaminak team from an initial listing in 2005, through the acquisition and discovery of the multi-million-ounce Coffee Gold Project in the Yukon.
Ethos can earn a 100% interest in the Toogood project, which covers 11,825 hectares and is located on the same geological belt that hosts several gold discoveries, including Marathon Gold Corp.’s [MOZ-TSX, OTC-MGDPF] Valentine gold project.
The company said visible gold has been identified in bedrock over a structural corridor of more than 5.0 kilometres. Reported high-grade assays from grab samples include 346 g/t, 245 g/t, 127 g/t and 99.7 g/t gold.
Plans for 2021 include a 7.0-hole drill program in the fall, as well as historical data review, mapping, prospecting and sampling as well as ground-truthing.
The company said grab samples announced Monday are angular, loose, weathered, palm sized quartz vein material in an area of thin cover. The are interpreted to be close to source, covering an area of approximately 40 metres by 10 metres.
The Toogood project area lacks significant glacial till or erratic boulders due to a low-lying marine incursion approximately 12,000 years ago. As a result, soil and boulder are interpreted as in place weathered sub crop.
“These additional bonanza high-grade gold results from our initial sampling program continue to add significant discovery potential at Toogood and we are excited to continue exploring untested areas,’’ said Ethos President and CEO Alex Heath.
Late last week, Ethos announced that it has raised $2.26 million from a previously announced non-brokered private placement of units.
Ethos recently launched its first drill program at the Perk-Rocky copper-gold porphyry project, 200 kilometres west of Williams Lake in British Columbia.
Perk-Rocky is a large copper-gold-porphyry which is situated in a major geological trend that also hosts Teck Resources Ltd.’s (TECK.B-TSX, TECK.A-TSX, TECK-NYSE) Highland Valley, and New Gold Inc.’s (NGD-TSX, NYSE American) New Afton as well as Taseko Mines Ltd.’s [TKO-TSE] New Prosperity mines.