Olympio chases scale after bonanza Quebec gold hit

Olympio Metals has kicked off phase three diamond drilling program at its Bousquet gold project in Quebec, Canada, as it seeks to determine whether a bonanza-grade hit from March is the first step towards a much larger gold system.

The company has mobilised a rig for a 1500m campaign targeting the lateral and down-dip continuity of a standout intercept at its Paquin prospect that returned 19.4m grading 17.29 grams per tonne (g/t) gold from 172.5m.

The hit included an extraordinary 2m grading 109.51g/t gold from 182.7m, more than 3.5 ounces of gold in every tonne of rock.

Targets for the latest campaign have been refined using preliminary data from the project’s first down-hole televiewer survey, which covered more than 2250m of drilling and has provided new insights into the geometry of the mineralised system.

‘This program will help us define the dimensions of the high-grade lode at Paquin and begin to test the potential of the system at depth.’

Olympio Metals managing director Sean Delaney

Interpretation work is continuing on the remaining televiewer data, with full results expected in the coming weeks. Management believes the survey could improve its understanding of the structural controls on mineralisation and refine the emerging model.

Rather than chasing a new discovery, the program is designed to advance the emerging Paquin lode towards resource-scale potential by testing its strike and depth extensions.

Olympio Metals managing director Sean Delaney said: “We are excited to be back drilling at the Bousquet Gold Project again to follow up the best ever intercept to-date of 19.40m @17.29g/t gold from the Phase 2 drill program. This program will help us define the dimensions of the high-grade lode at Paquin and begin to test the potential of the system at depth.”

Previous drilling at the flagship Paquin and nearby Amadee prospects has linked mineralisation to a 1.3km east-west gold system that remains open to the west. The broader corridor is supported by multiple strong intercepts outside the headline hole, including 9m grading 16.97g/t gold and 1.5m grading 54.2g/t gold.

Olympio’s plan map shows the Paquin lode remains open in multiple directions, leaving ample scope for expansion.

The Bousquet project sits on Quebec’s famed Cadillac Break, a geological structure associated with more than 110 million ounces of historical gold endowment. The trend hosts major deposits and mines including La Ronde, Westwood, O’Brien, Hosco and Heva.

The company’s ground lies within 15km of Agnico Eagle’s 15.8 million-ounce La Ronde complex and Iamgold’s 2.4 million-ounce Westwood mine, placing the project in one of Canada’s most richly endowed gold districts.

Olymio recently advanced its position at Bousquet by earning a 51 per cent interest from Bullion Gold Resources through exploration expenditure and option payments. Management can increase that stake to 80 per cent through further payments, share issues and exploration spending over the next five years, while Bullion retains a 20 per cent net carried interest.

Gold continues to trade near historically elevated levels, keeping investor attention firmly focused on discoveries that could evolve into future mining assets.

The market will now likely be watching for both the pending televiewer interpretation and assay results from the phase-three program, which should provide the clearest indication yet of whether the March intercept represents a standalone high-grade shoot or part of a much larger mineralised system.

With one spectacular intercept already in the bag, Olympio now has a chance to knock it out of the park. If the drill bit can prove up a continuous high-grade shoot along one of Canada’s most prolific gold trends, the company could rapidly shift from chasing a discovery to defining a meaningful gold resource.

Is your ASX-listed company doing something interesting? Contact: mattbirney@bullsnbears.com.au