The Cape Ray Project is located within the regional-scale gold-bearing Cape Ray Shear Zone, a geological structure that extends approximately 400 km through Newfoundland. It is regarded as one of the most prospective but under-explored regions in Canada. The Cape Ray Shear is a major structural boundary and is defined as the contact between the Dunnage and Gander tectonostratigraphic zones. The shear hosts a large number of the gold occurrences in Newfoundland, including the Valentine Lake deposit (4.22Moz Au at 1.8 g/t Au), which is hosted in rocks analogous to Matador’s Window Glass Hill deposit.
The Company has defined a total resource of 840koz Au across four deposits within a strike of approximately 14km. 96% of this resource is located within less than 200m from surface. The Company had significant success with its exploration program during 2019 as gold was discovered at a cost of US$12/oz or 15oz discovered for every metre drilled.
Matador is the largest holder of continuous ground along the Cape Ray Shear with 120km of continuous strike along the shear. This is the first time this ground has been consolidated under the ownership of a single company. The Company’s total holding in Newfoundland now stands at 425km2. The majority of ground outside of the known resource areas (14km of strike) has had little to no drilling despite numerous historical high grade rock chips and soil samples across the tenement area. The Company plans on increasing its greenfield exploration program in 2020 and beyond to create a solid pipeline of future exploration drill targets.