02:57 PM EDT, 05/28/2024 (MT Newswires) -- MacDonald Mines Exploration Ltd. ( MCDMF ) is trading slightly lower and at 52 week lows Tuesday as market watchers pick up on news that the company issued late last Friday night.

According to the company it has "discovered inconsistencies" in certain assay results from the Scadding gold prospect that were previously publicly announced by way of press releases and which may also have been disclosed or used in certain other disclosure documents, such as the National Instrument 43-101 technical report on the Scadding gold project dated Oct.18, 2019. Accordingly, the company has withdrawn all its previously announced assay results for the Scadding gold project and advises that such results and the disclosure that such results are based on should not be relied upon.

The company said it is conducting a detailed review and comparison of the assay results from the Scadding gold project with the company's disclosure documents in order to identify and quantify the extent of any incongruities.

These inconsistencies, it said, are limited to the Scadding gold project which is not a flagship project for the company nor is there a resource of any kind associated with it. The Glade and Alwyn properties are unaffected, it added.

Meanwhile, The Globe and Mail newspaper noted today that MacDonald Mines is the second junior Canadian exploration company this month to blindside investors with assay problems.

The Globe noted Toronto-based Red Pine Exploration Inc. ( RDEXF ) a few weeks ago said it found inconsistencies in some of its drilling results at its Wawa gold project in Ontario, and accused its former CEO of manipulating hundreds of gold assays. The Globe also noted Red Pine stumbled upon the assay inconsistencies by accident after one of its geologists discovered an anomaly in its drill results.

The Globe noted MacDonald Mines has not disclosed how it discovered the problems with its assays, or who it believes is responsible. Mike England, the interim CEO of MacDonald Mines did not respond to a request for comment.

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