“This has been a very exciting exploration season for us; as our VP Exploration,” Paul Gray says. “Every target we drill on the property, we find gold.” Based on the successful results across numerous targets, we are pleased to announce that the 2017 exploration budget has been more than doubled, from $6.2M to $12.5M. August 28 VIT press release
When I was visiting VIT gold in early July, Paul Gray drove us around the Dublin Gulch site. On the one hand, we could see the side of a mountain VIT will be taking down and heap leaching, but we also saw the drill sites which were being targetted in Gray’s drilling program. Today’s results are the first of what I expect will be a flood of results coming in over the next few months.
Victoria has already begun construction of its mine and it has the funds to build that mine. What the exploration program is designed to do is add ounces to the property. Knowing VIT’s history, the exploration budget would not have been doubled if Gray has not located some very prospective targets.
VIT is trading up all of a penny on the news despite gold itself breaking through $1300. To some extent, the lacklustre share price reflects “the dead zone” during which a mine is being constructed. But every positive drill hole is extending the potential life of the VIT mine.
Given the majors’ activity in the Yukon, as more and more ounces are racked up and more and more mine construction is completed, VIT is becoming an increasingly de-risked takeover target.