Gold Co. Initiates Phase 3 Drilling Program

Nevada King Gold Corp. is making serious moves with its Phase III drilling program at the Atlanta Gold Project. Roth MKM analyst Mike Niehuser shared the scoop in a report from December 27, 2024, giving Nevada King Gold Corp. (NKGFF:OTCMKTS; NKG:TSX) a Buy rating and a CA$0.65 target price.

In this latest phase of drilling, approximately 20,000 meters will be drilled across 80 prime targets, following up on the successful earlier Phase I and II efforts. They’re even wrapping up road construction at the South Quartzite Ridge Target to pave the way for more exploration in that area by early 2025. Recent drilling work has already delivered some impressive results. For example, at the Northeast Extension Target, hole AT23NS-177 hit “1.95 grams per tonne of gold over 29.0m from 227.1m, including 6.60 g/t gold over 6.1m.”

The crew at Nevada King Gold Corp. is honing in on mineralized systems within the Atlanta caldera by using broad geophysical surveys across the district. Recent drilling confirms that their geological model is right on target. Just take hole AT23WS-44C for example, which showed “3.95 g/t gold over 106.7m from 218.0m, including 9.39 g/t gold over 38.4m.”

Financially, Nevada King Gold Corp. is sitting pretty with CA$0.5 million in cash and zero debt. However, there are always risks to consider, like political and regulatory hurdles, fluctuations in commodity prices, and the uncertainties that come with estimating resources. As they push on without revenue yet, securing funding is key to moving forward.

Niehuser sees big potential for expansion in resources, suggesting that the Atlanta Gold Project’s current 602,000 oz gold resource could potentially shoot up to 1.5 million oz. If you’re eyeing the numbers, the target price of CA$0.65 represents a potential 132% return from the share price at the time of the report, CA$0.28.