Delta Resources (TSX-V: DLTA) (OTC: DTARF) has been breaking out of a long consolidation period as shares of DLTA traded in the 30 to 35 cent range for the past few months. However, shares of DLTA have seen some accumulation as of late, with DLTA hitting 43 cents. The stock could pick up some major steam after more great drilling results from the company's DELTA-1 property in Ontario and DELTA-2 property located in Chibougamau, Quebec.
Delta Announced Results from Drilling at DELTA-2 Property
On April 21st, the company announced results from follow-up drilling at the Oli-Gold discovery at the DELTA-2 Gold property in Chibougamau, Quebec. Drill results from its Oli-Gold discovery site showed:
- 27.93 grams per ton over 3.3m with 106 grams per ton over 0.8m.
- 5.74 grams per ton over 1.8m with 12.2 grams per ton over 0.6m.
- 12.13 grams per ton over 3.5m with 56.70 grams per ton over 0.7m.
A total of 1,059 meters of drilling was done during this second phase at the site. Seven drill holes were completed and five of them in the mineralization zone. Four holes yielded visible high-grade gold. Complete assay results are still pending for two of the drill holes, but one of these yielded a 50cm vein with visible gold observed and another revealed a 25cm vein with intense alteration.
Andre Tessier, President and CEO of Delta spoke of the results: “This is an amazing start at Delta-2. These are extremely exciting drill intercepts in wide open, underexplored terrain. We still have some work to do to better understand this mineralization and we will endeavor to pursue our drilling at some point during the summer to acquire this knowledge and test additional gold targets that are emerging.”
After the drilling done at the Delta-2 site, it now seems that the quartz-carbonate-tourmaline-fuschite veins that make up the mineralized zones trend between 075 to 080 azimuth and dips to around 70 degrees towards the south of the property. This mineralization zone is approximately one kilometer northeast of the R-14 Gold Property. Gold grades there have been reported of up to 142.29 grams per ton over a core length of 2.44m in the past. The part of the property between the R-14 prospect and the new discovery has never been drill tested—in spite of two gold surface occurrences.
Delta Started Drilling at Its DELTA-1 Property in March
Delta began its drilling program at the DELTA-1 Gold Property in Thunder Bay, Ontario in March 2021. The goal of the drilling was to test a gold target one kilometer long that is believed to contain gold. The target coincides with the Shebandowan Shear Zone, which is a deep-seated structure marking the northern extent of the Shebandowan greenstone belt.
Till surveys conducted in the summer and fall of 2020 identified a gold grain dispersion trail extending one kilometer on the east-west axis and at least one kilometer on the north-south axis, with the extent toward the south remaining open. This trail of gold dispersion appears to stop at the Shebandowan Shear Zone, which is anticipated to be the bedrock source of the gold grains.
Delta Raised Private Placement Funding from Two Quebec-based Entities in February
Delta announced the closing of a private placement offering with SIDEX and DBJ where 857,142 units of the company were issued at 35 cents a unit in return for gross proceeds of $300,000. The net proceeds of this funding were to be used for exploration drilling at the DELTA-2 site at Chibougamau, Quebec. This move by Delta is consistent with their philosophy of building ties with local authorities and residents.
Delta (TSX-V: DLTA) Stock Is Fighting to Come out of a Ranging Environment
Delta’s stock has been moving sideways for several months and had its 50-day moving average dip below its 200-day moving average in the middle of March. From the 15th through the 22nd of April, the stock built a streak of gains and turned bullish on the MACD technical indicator on the daily chart. The 50-week moving average on the weekly chart has stayed above its 200-week moving average since January 2020. The price has largely maintained itself above its 50-week moving average since May 2020.
Delta Explores for Gold and Base Metals in Quebec and Ontario
Delta Resources Limited is a Canadian company that conducts exploration for gold and base metals at two properties: DELTA-1, a 45-square kilometer site 50km west of Thunder Bay, Ontario; and DELTA-2 GOLD and DELTA-2 VMS on 170 square kilometers in the Chibougamau District of Quebec. DELTA-1 is believed to be significant due to a high gold-in-till anomaly and kilometer-scale gold-bearing alteration halo point. DELTA-2 GOLD holds potential for hydrothermal gold while DELTA-2 VMS has potential for gold-rich VMS (volcanogenic massive sulfide) deposits.
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