Most gold plays are finding it tough sledding on Thursday, as prices retreat for the precious yellow metal, but Erdene Resource Development Corp. (TSX:ERD) is an exception. Shares of the Halifax, Nova Scotia-based resource company are amongst the top movers of TSX-listed companies following news of drill results from its 100%-owned Bayan Khundii Gold Project in southwest Mongolia,
Drilling has confirmed several facets of the project, including the greater depth potential south of the Midfield Zone, which is now shown to extend down dip and potential may intersect the Striker Zone. Drilling also established a wider, higher-grade quartz adularia feeder veins at the Midfield Zone, improving confidence in the continuity of the high-grade potential within the zone.
Assays from four drill holes showed compelling gold values. For example, Hole BKD-98 cut 80 meters grading 6.03 grams per tonne gold, including 8 metres grading 51.0 g/t gold. Hole BKD-99 intersected 56 metres grading 6.13 g/t gold, including 4.0 metres @ 69.0 g/t gold.
So far in the 2017 drill program, 11 holes have been completed along with three additional hole extensions. The company now has brought in a second drill rig, which is operating and testing the high-grade intersection in the Discovery Zone at the Erdene's neighbouring Altan Nar gold-polymetallic project.
This stock has been an absolute beast since hitting 6.5 cents in October 2013. Shares have been uptrending ever since, including tacking-on another $0.20 today to $1.33, representing a gain of 17.7% so far on the day and a new multi-year high.
