On January 19, 2021, Golden Arrow Resources (GRG.V) reported that it has completed its shallow diamond drilling campaign and its first induced polarization (IP) geophysical program at the Tierra Dorada gold project in Paraguay.
Golden Arrow’s active exploration portfolio includes:
- An epithermal gold project in Argentina
- a base-metal project in Chile
- 180,000 hectares of properties in Argentina
- a district-scale frontier gold opportunity in Paraguay
Six weeks ago, GRG announced the beginning of a trenching & sampling program at the Flecha de Oro Gold Project in Rio Negro Province, Argentina.
“GRG is backed by the Grosso Group—pioneers in the Argentine mineral exploration arena since the region was opened up in the early 1990s,” stated Equity Guru’s Greg Nolan on September 16, 2020., “The Grosso Group has a solid track record of discovery success in Argentina”.
With a modest market cap of $21 million, Golden Arrow’s portfolio is ripe for re-rating, if the company continues to have exploration success.
The 1-year chart suggests that investors are grasping the wealth-creation opportunity here.
Today, we push Chile and Argentina to the side to focus on Paraguay.
The Paraguay programs are working in the Alvaro area to delineate high-grade, quartz vein-hosted gold prospects and refine targets for full-scale follow-up drilling programs.
Highlights include:
143.5 g/t gold over 0.5m, within 6m averaging 14.53 g/t gold at 3-9m depth.
11.8 g/t gold over 3.16m, within 7.75m averaging 6.09 g/t gold at 1.70-9.35m depth.
Coles Notes: there are high-grade narrow gold intercepts right under the boots of the GRG geos.
“The extensive soil and vegetation cover at Alvaro makes exploration challenging, so this shallow drill program was an excellent option to give us a better look at the subsurface than we were able to accomplish with prospecting or trenching,” explained Golden Arrow VP Exploration and Development Brian McEwen, “We are pleased with the results, which in some cases have confirmed continuity of gold mineralization and veins below surface and in others have shown broader veins than expected with higher grades than the surface sampling.”
“The shallow drilling program has provided key insights into the location and behavior of gold mineralized veins at Alvaro,” stated GRG, “which, along with the new geophysical results, will aid in refining the targets for the next stage of work, which is expected to include at least 2,000 metres of diamond drilling by the end of the first quarter of 2021”.
Golden Arrow’s current prospecting permit in the Alvaro area allows drill holes only up to twenty metres in depth.
The property is rural.
GRG must earn and maintain the trust of the locals.
On January 19, 2021 Brian McEwen, VP of Exploration talked to Resource Stock Digest. At minute 6:35 in the You Tube clip below, McEwen responds to a question about relations with the locals, and the permitting process for deeper holes.
“We have a very good relationship with the surface owners,” stated McEwen, “They like the idea of us drilling better than the trenching because they were afraid of livestock stepping into the trenches and breaking legs. We’ve actually got a smaller footprint.”
“As far as the permitting process goes, we had a prospecting/exploration licence, and that allows us to only drill shallow holes,” continued McEwen, “So we were limited on how deep we could drill.”
“We’ve gone back and told them, the following permit we want to get into the deeper exploration,” added McEwen, “So we’ve applied. All the paperwork is in. We have a good relationship with the government. Our plan is to have everything approved and be drilling before the end of the quarter.”
Full McEwen Interview here:
Golden Arrow “is now planning a second, more detailed, drilling program to both test the new geophysical anomalies and to step-out holes around the best intercepts reported in this news release,” confirmed GRG.
“A minimum of 2,000 metres of drilling is expected to be completed by the end of the first quarter of 2021.
Golden Arrow has applied for a full exploration permit to allow deeper drilling.
If those permits are in place, holes will have a depth of approximately 100 metres, otherwise the program will be adjusted and holes will be planned up to 20 metres depth.
The technical team has also started another regional and detailed field program in the southern part of the concession, where historic data includes anomalous gold values of up to 7.04 g/t gold at the Itayuru target, approximately 10 km southeast of the Alvaro target area”.
“The company has three main projects in its portfolio, one in Argentina (Flecha de Oro), one in Paraguay (Tierra Dorada), one in Chile (Rosales), and the way I see it, all three are vying for flagship status,” confirmed Equity Guru’s Greg Nolan.
Full Disclosure: Golden Arrow is an Equity Guru marketing client.
