P2 Gold identifies new gold-copper unit within Sullivan PEA pit shell
A 70.10-metre intercept could reduce waste mining at Gabbs, where a feasibility study is targeted for the first quarter of 2027.
Theo Marchetti
Nevada's Gabbs project has returned gold-copper mineralization in a unit that appears to sit in rock modelled as waste, according to six-hole results released on Wednesday. The 70.10-metre intercept gives P2 Gold Inc. CVEPGLD OTCMKTSPGLDF evidence for a potential reduction in waste mining at Sullivan.
Hole GBR-133 averaged 0.32 grams per tonne gold and 0.18 per cent copper across that interval in Wednesday's release. It began 64.01 metres downhole; true thickness remains undetermined.
P2 shares closed at C$1.35 on the TSX Venture Exchange at 4 p.m. EDT on Oct. 13, according to CVEPGLD. That close preceded the announcement.
The company expects a resource update in the fourth quarter and a feasibility study in the first quarter of 2027. Only holes completed by the end of October will enter the resource calculation.
Mineralization Could Reduce Waste Mining
P2 is an exploration and development company advancing Gabbs on Nevada's Walker Lane Trend. The newly identified unit is predominantly oxide mineralization hosted in gabbro interlayered with thin beds of pyroxenite.
The company interprets the unit as a tabular body, based on intersections in holes GBR-133 and GBR-140. It appears to occupy an area classified as waste in the preliminary economic assessment.
P2 says the new mineralization could reduce Sullivan's strip ratio and improve the economics in the feasibility study. The strip ratio measures how much waste must be mined relative to ore, so a lower ratio could reduce the waste-removal burden.
Hole GBR-140 returned 51.82 metres at 0.32 grams per tonne gold. Copper averaged 0.13 per cent, and the interval began 94.49 metres downhole.
All six reported holes ended in mineralization and were drilled from two pads 50 metres apart. The assays also extend the previously identified Sullivan mineralization downdip.
"All holes intersected the down dip extension of the Sullivan Zone, which remains open at depth," P2 said in the release.
Resource Update Will Support The Feasibility Study
P2 has completed 105 reverse circulation holes since the program began in October 2025. Those comprise 40 at Sullivan and 65 at Lucky Strike, according to Wednesday's release.
Under its Sept. 21 development plan, P2 is studying mill throughput of 12 million tonnes annually from the third year of operations. The 2025 preliminary economic assessment used nine million tonnes annually.
P2 held C$16.38 million in cash and cash equivalents at June 30. Exploration and evaluation spending totalled C$10.65 million in the six months to June 30, according to the same filing.
Elsewhere in Nevada, SSR Mining Inc. TSESSRM NASDAQSSRM outlined a proposed development approach for Converse on Oct. 13 that targets first production in 2033. It estimates potential annual gold production of 150,000 to 170,000 ounces.
Read more: SSR Mining agrees to buy Roxmore Resources for US$464M plus spinout
P2 will include only holes completed by the end of October in the resource update targeted for the fourth quarter of 2026. The feasibility study and planned mining plan of operations filing with the Bureau of Land Management are targeted for the first quarter of 2027.
