Reunion Gold’s shares jump on high-grade find in French Guiana

Reunion Gold’s (TSX-V: RGD) shares jumped Wednesday after the Canadian miner reported a new high-grade gold discovery at the Saint-Michel prospect, part of the Boulanger project in north-central French Guiana. 

Reunion Gold’s projects are in the Guiana Shield, the northern segment of the Amazonian Craton of South America. 

In February, Barrick Gold (TSX:ABX)(NYSE:GOLD), the world’s top bullion producer by volume, entered into a 50-50 strategic alliance with Reunion to jointly explore for and develop projects in the highly prospective and under-explored Guiana Shield gold district.

Sampling over an area of 260 meters by 95 meters at the Saint-Michel prospect returned an average grade of 17.3 g/t gold, Reunion said in a media release. 

Systematic sampling of the Saint-Michel mineralized stockpiles extracted from past artisanal workings returned an average of 17.3 g/t gold from 42 samples with the highest assay at 45.9 g/t gold, the miner said.  

 “Our preliminary sampling of the Saint-Michel prospect shows some of the best gold grade our team has ever encountered in the Guiana Shield, and we look forward to systematically exploring this area as we move the Boulanger Project forward,” Réjean Gourde, Reunion Gold´s CEO said.  

At market close Wednesday, Reunion’s shares were up 12%, with the day’s trading volume over 3 times the average. The company has a C$116 market capitalization