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Gold Bull Resources (TSX-V: GBRC)(OTC: GBRCF) CEO Cherie Leeden on Significant Increase in Gold Grades & Start of 5,000-Meter Drill Program at Flagship Sandman Gold Project, Nevada
Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is the CEO of Gold Bull Resources — Ms. Cherie Leeden. Cherie, how are you today?
Cherie Leeden: I am very well, thank you. How are you?
Gerardo Del Real: I am well. Thank you for asking. It's good to catch up. The last time you and I spoke, we talked about visible gold in the samples. And I said then that I was ‘no geologist’ but I would much rather have visible gold than not have it, right?
Cherie Leeden: Absolutely.
Gerardo Del Real: And so today you had a release. And let me read the headline and then I'll provide a bit of context and we can chat about it. The headline reads:
Gold Bull encounters coarse gold in samples at Sandman - Improved laboratory assay analysis underway - Higher grades expected
And you highlight an intersection in hole SA-0004 where assays determined fire averages of 19.76 grams per tonne gold from 41.1 meters to 54.9 meters versus 10.95 grams per tonne gold.
Now, last time we chatted, I said I was ‘no geologist’ and I am ‘no mathematician’ — but I know if I'm looking for a gold deposit, I would much rather have a grade of 19.76 grams per tonne gold than 10.95 grams per tonne gold… though I'll take either! Can you provide some context on the release today, Cherie?
Cherie Leeden: Yeah, sure. I mean, coarse gold is a good problem to have as problems go. However, your average laboratory is not set up for expecting such high grade gold samples from exploration results. So we've had to go back to the lab and work with them. And we picked up this issue because some of our visible gold grade samples were not coming back as high as we would expect for visible gold.
So we got to the bottom of it. We engaged world-class geochemical experts. And many other coarse gold deposits have had similar issues. So we've been able to use their laboratory techniques to ensure that the laboratory is not accidentally missing that coarse gold fraction. And the net result has been very positive to that particular interval.
Gerardo Del Real: If I was to play devil's advocate, I would say, “Well this is going to lead in a bit of a delay.” But taking the other side of it, I recall from our conversation that you use that network of yours to kind of leverage some pretty quick turnarounds in the very first place.
So it's probably a wash here at the end, right, because you were already turning around assays much faster than most of your peers.
Cherie Leeden: That's true. However, this has taken us a few weeks to sort out. Just trialing different types of lab techniques. And we've been playing around with how much bullion / how much of a massive sample we need to get the true representative number and repeatable number and make our duplicates match.
That's added a few weeks… and now we've got to redo the analysis using the preferred technique of the geochemist which is going to take a few more weeks. So I apologize that our lab results have been delayed a little bit due to this coarse gold issue. However, I am hopeful that, I think, the overall result is that we'll have a slight increase in our gold results.
And that hole SA-0004 is an example where our grade has gone from 11 grams a tonne to almost 20 grams a tonne over a 14 meter interval. So it's certainly worth the wait and worth us being thorough and systematic and getting this right with the laboratory.
Gerardo Del Real: I know you're also busy on the M&A trail. I also know that you can't comment much on that. But you probably can comment on the fact that you'll be continuing the drilling program, I believe, this first week of June, right?
Cherie Leeden: Absolutely. We are about to commence drilling, I think, this coming weekend. We’re waiting on confirmation from the drill rig but it's going to be very close to this weekend or Monday of next week that we'll have the rig back on site.
Drilling for both resource extension holes, which are considered low-risk, high-reward — and then there's also the high-risk, higher-reward exploration holes. And we're going to be doing a combo of both. There's a number of geophysical targets that are just begging for a couple of drill holes.
Gerardo Del Real: Do you have an estimate on the meters that you plan on drilling or will some of that be dictated by the results as you receive them?
Cherie Leeden: We're fully funded and have planned a 5,000-meter RC drill program. So it's a 5,000-meter program at the moment. We're humming and hawing whether we drill that in two phases or in one hit just because if we drill 2x two and a half thousand meter programs — that gives us a bit of a break to get the assay results in the middle.
So that's the only thing for debate. But a 5,000-meter program is about to commence.
Gerardo Del Real: Excellent! A lot going on. Anything to comment on on the M&A front or are we staying quiet for now?
Cherie Leeden: Staying quiet but still really focused on a couple of assets and in advanced negotiations on those assets… trying to get the best deal for our shareholders.
Gerardo Del Real: Excellent. Cherie, I look forward to being able to chat about it. Thank you so much for the update. Anything else to add?
Cherie Leeden: No, I appreciate your time. Thank you, Gerardo.
Gerardo Del Real: Thank you. We'll chat soon. Bye now.
Cherie Leeden: Bye.