43,413,767 common shares of NSX Silver will be distributed to NSGold Corp (NSX – $0.46) shareholders at the close of business on Friday, March 16, 2012. For each share held of NSGold, we will receive one share of NSX Silver in our brokerage accounts a few days later.
NSX Silver will commence trading two days prior to the distribution of the shares on the TSX Venture Exchange with ticker symbol NSY. NSGold will continue to hold approximately 2,015,000 shares of NSX Silver to fulfill its obligations towards warrants and options holders of NSGold.
This concludes a long and laborious process, which has taken up a lot of management time. As a result, once the two Companies trade separately, the management team will again fully concentrate on building the Companies and moving the projects in Nova Scotia and Mexico forward.
As far as the Nova Scotian assets are concerned, we’re especially looking forward to the remaining drill results from the Company’s flag ship Mooseland gold property.
NSGold completed a 16 holes drill program at Mooseland between August 2011 and November 2011, totaling 5,020 metres. The objective was to further delineate and expand the mineralized zones and to convert the inferred resource to a measured and indicated resource.
In order to do so, most of the new holes tested promising areas of Mooseland that had only been sparsely drilled or explored in the past. To help the geologists find additional drill targets, a LiDAR survey was conducted on the property in September of 2011.
So far, analytic results from 10 holes at Mooseland have been received back from the lab. A total of 79 samples from these ten drill holes assayed more than 1 gram per tonne of gold, of which 11 assays exceeded 10 grams per tonne.
Once all the drill results have been received, a new resource update will be prepared. Judging from the results so far, it’s clear that the mineralized zones at Mooseland have been expanded.
We expect to hear something about the start of the Phase II program at the Dios Padre silver project, which includes the first substantial drill campaign at the property.
We already know from geophysical and geochemical work, conducted during the second half of 2011, that Dios Padre holds several high prospective zones. That makes us very curious to find out, through drilling, what’s really there.
Also, remember that the geophysical survey revealed a very large conductive anomaly of 600 metres wide by 800 metres long with a depth of at least 300 metres, which was the limit of the effective range of the survey method (see high resolution image below). This mass, which lies just to the north of the most recent historic mining operations, will be drilled as well.
The last couple of months it’s been a bit quiet around NSGold, because management was very busy with the spin-out. Now that the event is almost behind us, we expect that efforts to move both Companies forward will be re-launched.
By the way, shortly after the spin-out is completed we’ll also publish an update Company Report for NSGold and NSX Silver.
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