Nevada King Gold Corp. (TSXV: NKG) (OTCQX: NKGFF) has announced a significant expansion of its Atlanta Gold Mine Project, staking an additional 947 lode claims and increasing the total claims to 1,562.
The project is located in the Battle Mountain Trend, 264 kilometres northeast of Las Vegas, Nevada.
The company also announced Tuesday it has initiated a Phase II CSAMT survey to provide critical geological information, building on the Phase I survey conducted in 2022.
This expansion covers an area of 131 kilometres squared or 13,100 hectares. The new land package now encompasses all high-priority gold prospects in and around the Atlanta district, which were identified through historical records and Nevada King’s comprehensive studies since 2019.
Nevada King has also initiated a Phase II CSAMT (Controlled Source Audio-frequency Magneto-tellurics) survey. This low-impact, non-intrusive, ground geophysical survey method is designed to provide crucial information about geologic structure and lithology, especially in debris-covered terrain such as Atlanta.
“Nevada King’s initial interest in acquiring the Atlanta Project centred on the district-scale potential connected to hydrothermal activity localized around the perimeter of the Indian Peak caldera,” Nevada King CEO Cal Herron said.
“Our drilling within the West Atlanta Graben target in late 2022 and early 2023 revealed potential for a much larger deposit hosted within the Tertiary volcanic section above the basement Paleozoic carbonates and quartzite.”
Current distribution of claims owned by Nevada King at Atlanta. Photo via Nevada King Gold Corp.
Read more: Nevada King Gold doubles drill program at Atlanta Gold Mine
Read more: Nevada King drilling campaign returns high grades at Atlanta Mine Fault Zone
New CSAMT data will enhance existing exploration model
In 2022, Nevada King conducted a 51-line kilometre Phase I CSAMT survey that covered 8.3 kilometres squared centred over the current resource zone. The results of this survey outlined known structural features and faults and identified several new structures and high-priority targets in Atlanta. Two of these led to the development of the East Ridge and South Extension Targets.
Given the high degree of accuracy of the CSAMT survey in locating mineralized structures, the company has decided to expand the survey to 111 line kilometres. This expansion aims to cover potential distal target areas throughout the Atlanta district.
The new CSAMT data will be integrated with 56 kilometres squared of detailed ground gravity, 119 kilometres squared of drone magnetic surveys and geochemical data. This integration will enhance the existing exploration model. Nevada King anticipates releasing a detailed review of district targets in Atlanta in the coming weeks.
Nevada King Gold stock dropped by 2.2 per cent on Tuesday to $0.44 on the Canadian Venture Exchange.
Location of Phase 1 and Phase II CSAMT lines in relation to Atlanta pit, visible on top right. Photo by Nevada King Gold Corp.
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Nevada’s Battle Mountain, a popular mining area
The Battle Mountain Trend in Nevada is a prime location for mining due to its rich deposits of gold and silver, a result of the area’s complex geological history involving volcanic activity and tectonic movements.
Its well-developed infrastructure, including roads, power, and water supply, facilitates mining operations. Additionally, Nevada’s supportive regulatory environment and clear permitting process make it an attractive region for mining companies.
Besides Nevada King Gold, other big players operating in the area include Newmont Corporation’s (NYSE: NEM) (TSX: NGT) which operates the Nevada Gold Mines in partnership with Barrick Gold Corporation (NYSE:GOLD) (TSX:ABX).
Other successful operators in the area include NevGold Corp. (TSXV: NAU) (OTCQX: NAUFF) which recently discovered new and untested areas of its Limousine Butte Project during a six-month period where it analyzed and re-interpreted data from its 2022 drilling campaign.
NevGold Corp. is a sponsor of Mugglehead News coverage
