Gold Terra set to begin summer drilling in Yellowknife

Junior mining exploration company Gold Terra Resource Corp. says it plans to start a 10,000-metre summer drilling program at its Yellowknife City Gold project next month to test high-grade gold targets.

Starting mid-August, the first phase of drilling will happen at the Crestaurum gold deposit.

The second phase of drilling will be at Campbell Shear, located north and south of the former Con and Giant mines. That area produced millions of ounces of gold during the life of the two former mines, the company said in a news release issued Tuesday.

Gold Terra says it plans to drill seven holes totalling 3,700 metres at the Crestaurum site, over a strike length of more than one kilometre. If successful, Gold Terra says it could add more drilling holes.

The company plans to drill 400 metres below the surface. It says high-grade gold has been found above 200 metres before.

"We are confident in the potential to expand the Crestaurum deposit along strike and at depth and very excited about the potential of a discovery along the Campbell Shear structure," the company's president and CEO, David Suda, stated in the news release.

On July 14, the company announced it had closed a $7.13-million financing deal, money it plans to put toward exploration in Yellowknife.

Gold Terra's Yellowknife City Gold project covers 783 square kilometres of land immediately north and east of the former Giant Minenear Yellowknife.

Formerly known as TerraX Minerals, the company started exploration activities in 2013 on an initial 37 square kilometres of property.