Maritime Resources has commenced the initial 10,000m diamond drill programme at the Hammerdown Gold Project, an underground mining project located near the towns of Springdale and King’s Point, Newfoundland and Labrador in Canada.

The diamond drill programme aims to assess several prospective areas for new high-grade discoveries, optimise the mine plan outlined in the preliminary economic assessment (PEA) earlier, and expand the existing mineral resource.

Maritime president and CEO Garett Macdonald said: “We strongly believe there is potential for additional discoveries within this largely untested area and will be aggressively exploring this area for new high-grade resources similar to Hammerdown.

“At Hammerdown, we intend to explore the deeper, untested levels of the deposit to determine if an offset of the high-grade gold vein system exists.

“Additional infill drilling will be completed within the PEA mine plan targeting the conversion of inferred resources to measured and indicated classes.

“Maritime and its contractors have consulted with NL Occupational Health and Safety to develop and follow safe work procedures to deal with the Covid-19 virus. The Company plans to provide regular updates to the market in the coming months.”

Hammerdown mine expected to produce approximately 174,000oz of gold

Over an estimated mine life of five years, the mine is expected to produce approximately 174,000 ounces (oz) of gold.

By drilling deeper levels of the deposit at Hammerdown project, Maritime will test for additional high-grade gold systems. Additional infill work is planned for areas outlined in the PEA mine plan to upgrade inferred resources.

The firm will also undertake drilling for grade control testing to evaluate the variability of the gold grade and to assess the 2km strike length between the Hammerdown and Orion deposits.

In March 2020, Maritime Resources signed a non-binding letter of intent (LOI) with Rambler Metals and Mining Canada, a wholly-owned subsidiary of Rambler Metals and Mining.