SUPERB initial drill results from BGS, a micro-cap with market cap of just $7m.
Less than 25km from Randgold’s 6 million oz Morila mine and not far from RSG or PIR.
As mentioned yesterday, 7c would equal market cap of $50m –not unreasonable with some good follow-up grades.
Plenty of cash too so no need to raise any time soon.
Most significantly from todays announcement -
“Geology and alteration highly analogous to the high-grade, bulk tonnage Morila Gold Deposit (>6 Moz).
The strike extent of the mineralisation at Ntiola is extremely significant when compared to the original deposit at the Randgold Resources (LSE:RRS) operated Morila Gold Deposit (>6Moz), less than 25 km away. The gold mineralisation at Morila has a strike length at surface of less than 250m with high grade gold zones extending 900m down dip. The down dip potential remains to be tested at Ntiola.
The geology and alteration observed in the recent drilling at Ntiola is highly analogous to that reported at the high-grade, bulk tonnage Morila Gold Deposit. This adds weight to the Company’s view that potential for a high grade gold deposit amenable to open pit mining techniques exists within the broader Ntiola Lode.”
BGS Price at posting:
1.2¢ Sentiment: Buy Disclosure: Held
