Posts Tagged Cariboo Mining District
Three New Zones of Pyrite Gold Mineralization Discovered at Bonanza Ledge – New Drill Program Begins
Posted by admin in Corporate Updates, News Releases on November 16th, 2009
International Wayside Gold Mines announced today that it has identified three new zones of replacement style gold mineralization at its Bonanza Ledge gold project and that a new drill program has been initiated. A full drill program is currently being planned to incorporate recent results to delineate the new zones.
Diamond drill hole BC09-14B, part of the 18 hole in-fill program at Bonanza Ledge, hit 20.0 feet of 1.28 g/t replacement style gold mineralization between 471.0 feet and 491.0 feet below surface and underneath the proposed open pit at Bonanza Ledge (summary in table below).
Hole MW09-01 hit two zones of Bonanza Ledge style pyrite replacement mineralization approximately 290 meters southwest from the center of the proposed gold mine in a rock sequence referred to as the Lowhee Unit. The two replacement zones included 1.3 meters (4.4 feet) of 1.86 g/T (0.054 oz/t) gold between 17.6 and 22 feet below surface, and 0.5 meters (1.5 feet) of 2.58 g/T (0.075 oz/t) gold between 90.8 and 92.3 feet below surface (summary in table below). MW09-01 was one of eight water monitoring holes drilled in preparation to open pit mine the Bonanza Ledge gold deposit.
Company President and CEO J. Frank Callaghan stated, “Management and our exploration team are very encouraged with the recent drill results. Hole BC09-12 was our best drill hole to date having an intercept 100 feet longer than any other previous drill hole and the best grades to date. Furthermore, the Company has discovered Bonanza Ledge style mineralization at depth and below the proposed Bonanza Ledge open pit mine, as reported in both BC09-14B and BC09-16. Both of these holes intersected gold mineralization 200 — 300 feet below the original resource depth of approximately 250 feet, opening the exploration potential at depth substantially. On October 7 the Company announced the discovery of Bonanza Ledge style mineralization 2200 meters northwest of the Bonanza Ledge Zone on Cow Mountain and the Company has now discovered the same type of mineralization 290 meters southwest of the proposed Bonanza Ledge open pit mine. An extensive exploration program is currently in planning for the purpose of further extending and defining these new zones.”
The recently completed infill diamond drill program in the Bonanza Ledge Zone will upgrade its existing NI43-101 resource from an inferred to indicated category. Company consultants Mintec Inc. is currently upgrading the resource based on these results.
Happy Creek Expands Zone 2 in 2009 Highland Valley Drill Program
Posted by admin in Corporate Updates, Drill Results, News Releases on November 13th, 2009
Happy Creek Minerals announces the completion of its 2009 drill program on its Rateria property that adjoins Teck Resources Ltd.’s Highland Valley copper mine property and is approximately ten kilometres southeast of the concentrator, in south central British Columbia. The Highland Valley Copper mine is North America’s third largest copper producer.
The 2009 diamond drilling program totaled approximately 2,000 metres in nine holes. The objectives of the program were to test for mineralization in a five kilometre long and 500 metre to one kilometre wide portion of the property in which Zone 2 occurs at the northern end, and test the new “High-Res” target located to the east of Zone 2. Drill core assay results are pending for the drill program.
Three drill holes in Zone 2 have expanded its length from 200 to over 450 metres. Copper minerals are dominantly bornite and chalcocite (copper sulphides). During 2008, the first drilling in Zone 2 returned two higher grade intervals including 27.0 metres containing 1.05 percent copper, 0.02 percent molybdenum, 5.0 g/t (grams per tonne) silver and 0.24 g/t gold, and 17.5 metres containing 1.12 percent copper, 0.01percent molybdenum, 5.46 g/t silver and 0.02 g/t gold. These intervals occur within a mineralized envelope containing 177.0 metres grading 0.37 percent copper and 103 metres grading 0.33 percent copper, respectively. Currently, Highland Valley Copper is profitably mining an average grade of 0.32% copper (SEDAR: TCK third quarter MD&A). Zone 2 remains undefined and open to expansion in several directions. Geophysical and geological information strongly suggests Zone 2 may be over one kilometre in length, with a 500 metre portion that is untested by drilling. Importantly, Zone 2 contains elevated molybdenum, gold and silver credits that occur with the copper values.
Further to the southwest of Zone 2, four widely spaced reconnaissance holes within a three kilometre portion of a large geological corridor contain favorable degrees of fracturing and alteration with minor concentrations of bornite, chalcocite and chalcopyrite copper minerals. During 2008, two drill holes within this corridor returned 114.0 metres grading 0.09% copper and 334 metres grading 0.07% copper, respectively. The 2008 and 2009 drill holes are thought to reflect excellent potential for copper deposits to occur within this corridor and large areas remain untested by drilling.
One drill hole tested the new “High-Res” target approximately two kilometres to the east of Zone 2. Drill core contains bornite and chalcopyrite near the top of the hole, and starting around 75 metres depth, reasonably consistent trace concentration of very fine grained native copper to 200 metres depth and the end of the hole. The High-Res target is overall approximately 1.2 kilometres by 1.6 kilometres in dimension, and the Company considers this first drill hole as positive and reflecting potential for significant copper mineralization in a different geological setting than Zone 2.
Previous drilling results from Zone 1 include 100.0 metres grading 0.29 percent copper, 84.0 metres of 0.30 percent copper, and 10.4 metres grading 1.55 percent copper. Several holes ended in copper mineralization, and this zone also remains undefined and open in extent.
Happy Creek has assembled a 100 percent interest in over 140 square kilometres of mineral claims that are close to North America’s third largest copper producer. The property is largely covered by glacial till from approximately three to over thirty metres in thickness, and the most effective exploration method has been to perform geophysical surveys followed by drilling. Happy Creek has discovered by drilling two new zones containing significant copper and associated molybdenum, silver and gold values that remain open in extent, and identified several other prospective targets. Complete results for the 2009 drill program are expected within six to eight weeks. The Rateria property is now fully permitted for up to 26 drill holes during 2010, and further drilling is planned.
The Company also wishes to announce it has engaged Strike Communications Inc., a Vancouver based investor relations firm. The Company has also granted a total of 650,000 options exercisable at a price of $0.12 per share for a period of five years to directors, officers, employees and consultants to the Company.
Taseko Announces Third Quarter Financial Results
Posted by admin in Financials, News Releases on November 12th, 2009
Taseko Mines announces the results for the three and nine months ended September 30, 2009. This release should be read with the Company’s Financial Statements and Management Discussion & Analysis, available at www.tasekomines.com and filed on www.sedar.com. Currency is Canadian dollars unless otherwise indicated.
For the quarter ended September 30, 2009, the Company reports an operating profit of $9.4 million and earnings before tax and other items of $4.7 million, compared to an operating profit of $5.2 million and a loss before tax and other items of $1.8 million for the three months ended September 30, 2008. Other items include unrealized (non cash) loss attributable to derivative instruments. For nine months ended September 30, 2009, the operating profit was $32.7 million and earnings before tax and other items were $24.0 million, compared to an operating profit of $49.3 million and earnings before tax and other items of $29.9 million for the nine months ended September 30, 2008.
Revenue was $40.1 million from the sale of 12.7 million pounds of copper and 149,000 pounds of molybdenum at an average realized price of US$2.65 per pound for copper and US$12.37 per pound for molybdenum.
Russell Hallbauer, President and CEO of Taseko commented, “Taseko ended the third quarter in excellent financial shape, with over $40 million in cash on hand. The US$20 million added to our debt facility, which was funded in September, will provide the required cash to complete Gibraltar expansion plans.
The newly installed tower regrind mill is being integrated into the concentrator circuit and the Gibraltar operations team is making steady progress on its optimization. Construction continues on the remaining projects which will increase Gibraltar production capacity to 115 million pounds of copper per year. We expect to increase the ore crushing capacity by mid-2010 with the completion of the new in-pit crusher and overland conveyor system. To better optimize the Semi-Autogenous Grinding (”SAG”) mill performance, design is underway to bypass the current stockpile feed system, eliminating the expensive secondary crushing system. We expect to start construction in the spring of 2010.”
Mr Hallbauer continued, “In regards to the Prosperity project, the reserve increase just announced1 affirms the inherent value and importance of the project to all Taseko stakeholders. With 7.7 million ounces of recoverable gold and 3.6 billion pounds of recoverable copper, Prosperity has the largest gold reserve of any mining project in Canada and will be one of the largest mines built in the last decade.
The Environmental Review of our Prosperity Project is very close to completion. We remain extremely confident that the Environmental Assessment Office will not find any obvious encumbrances with the project and that the Provincial government will make their decision early in 2010. The Federal government review process also continues and the Panel will hold public hearings as early as mid-January. Following conclusion of the hearings, the Panel has 45 days to submit their findings to the Federal Minister of Environment for a decision.”
Wayside’s Trench Sampling Returns 30 Feet of 26.8 g/T Gold in Trench 1 and 9 Feet of 97.4 g/T Gold in Trench 2
Posted by admin in Field Work, News Releases on November 9th, 2009
International Wayside Gold Mines announced today that the database of results from both the 2009 infill drill program and 148 channel samples from three trenches on the surface of the Bonanza Ledge gold deposit were sent to Mintec Inc., an independent consulting company contracted to upgrade the resource at the Bonanza Ledge deposit.
The Company sampled three trenches, which totalled 55 meters (180 feet) long, to provide metallurgical and ore zone data for oxidized mineralization at bedrock. The trenches ranged from 5.5 to 11.3 metres (18 to 37 feet) wide at the toe and were from 4.6 to 6.1 metres (15 to 20 feet) deep.
The trenching was highly successful in defining the top of portions of the gold deposit, and in showing that the high grades encountered in the drilling, continue to the top of bedrock. The following summarizes the results, while detailed descriptions are found in Table 1.
- Trench 1 – Northeast side of the proposed Bonanza Ledge open pit mine
- 9 ft @ 11.0 g/T in channel closest to collapse
- 3 ft @ 23.8 g/T in channel 10 feet east of the first channel
Most of trench one was completed north of the main mineralization trend. In its southern extension, strongly sericite altered argillite carried good gold grades.
- Trench 1-South – East and southeast of the center of the proposed open pit
- 30 ft @ 26.8 g/T in channel closest to the proposed open pit
- 15 ft @ 18.3 g/T in channel 10 feet east of the first channel
- Trench 2 – Southwest of the proposed open pit
- 9 ft @ 97.4 g/T in channel closest to proposed open pit
- 15 ft @ 26.7 g/T in channel 10 feet to the west of the first channel
- 6 ft @ 19.6 g/T in channel 20 feet to the west of the first channel
- 9 ft @ 7.1 g/T also in the channel 20 feet to the west of the first channel
The second trench exposed the strongly graphitic Footwall Fault and vein near its southern end. Immediately north of this fault, the argillite is bleached white, shows extreme sericite alteration, and returned very strong gold grades, up to 146 g/T.
- Trench 3- Centered approximately 45.7 meters (150 feet) east of the proposed open pit
- 6 ft @ 11.3 g/T in channel just west of the center of the trench
- Several scattered samples between 1 g/T and 5 g/T
The third trench exposes an area of transition, from weak gold mineralization to the immediate west, and strong gold bearing mineralization to the east. Near the middle of the trench, a northerly trending zone of quartz was encountered, suggesting that a northerly fault is controlling the mineralization. There was also a graphitic quartz vein in the southwest corner of the trench, which might be an offset extension of the Footwall Fault.
The contact between the overburden toe and the bedrock was surveyed with a theodolite, as was the crest, which provided elevation data for the bedrock surface and overburden thickness. The channel sample lines were 3.0 metres (10 feet) apart, with samples collected every 0.9 metres (3 feet) along the lines. Since metallurgical tests were anticipated, sample volumes averaged one half of a five gallon bucket. Concurrent with the sampling, the geology of the bedrock surface was mapped.
A total of 148 samples were collected from the trenches and sent to Eco Tech Laboratory Ltd., in Kamloops, B. C., for 28-element ICP geochemistry, plus gold by fire assay with atomic absorption finish.
Taseko Announces a New 7.7 Million oz Gold and 3.6 Billion lb Copper Reserve at Prosperity
Posted by admin in Corporate Updates, News Releases on November 2nd, 2009
Taseko Mines Limited is pleased to announce a 70% increase in mineral reserves at its 100% owned Prosperity Project, from 487 million tonnes to 830 million tonnes.
The reserve increase will add 3.0 million ounces of recoverable gold and 1.6 billion lbs of recoverable copper to the Prosperity reserve base, bringing total recoverable metal to 7.7 million ounces of gold and 3.6 billion lbs of copper.
This increase in recoverable metal, under present mine design criteria, extends Prosperity’s mine life from 20 years to 33 years.
Reserves were previously based on a $5.25 Net Smelter Return (”NSR”) cut-off using gold and copper prices of $500/oz and $1.50/lb, respectively. Current reserves are based on a $5.50 NSR cut-off using gold and copper prices of $650/oz and $1.65/lb, respectively.
Russell Hallbauer, President and CEO of Taseko commented, “In keeping with our historically conservative approach to reserve calculations, we have modestly adjusted our gold and copper price assumptions to better reflect longer-term metal price expectations. This increase in metal price assumptions will allow us to mine deeper, higher grade mineralization.
Prosperity now has the largest gold/copper reserve base of any mining project in Canada. At present gold and copper prices the projected operating costs per ounce of gold, net of copper credit, will be negative US$330/oz. With the size of this reserve and the longevity of its mine life, Prosperity will be one of the great mines of Canada. The 64% increase in recoverable gold and 80% increase in recoverable copper will allow Prosperity to operate for over 3 decades.
We look forward to the upcoming completion of our Environmental Assessment Review and getting on with building a mine that can benefit so many local, provincial and national stakeholders.”
|
Mineral Reserves @ C$5.50 NSR/t Cut-Off |
|||||||
|
|
Size |
Grade |
Recoverable Metal |
Contained Metal |
|||
|
Au (g/t) |
Cu (%) |
Au (M oz) |
Cu (B lbs) |
Au (M oz) |
Cu (B lbs) |
||
| Proven |
481 |
0.46 |
0.26 |
5.0 |
2.4 |
7.1 |
2.8 |
| Probable |
350 |
0.35 |
0.18 |
2.7 |
1.2 |
3.9 |
1.4 |
| Total |
831 |
0.41 |
0.23 |
7.7 |
3.6 |
11.0 |
4.2 |
Note: Recoveries for Cu and Au are 87% and 69% respectively
Remaining measured and indicated resources are grading 0.40 g/t gold and 0.30% copper containing 2.3 million ounces of gold and 1.2 billion lbs of copper (no recoveries applied).
The mineral resource and reserve estimations were completed by Taseko staff under the supervision of Scott Jones, P.Eng., Vice-President, Engineering and a Qualified Person under National Instrument 43-101. Mr Jones has verified the methods used to determine grade and tonnage in the geological model, reviewed the long range mine plan, and directed the updated economic evaluation. The estimates for the reserves used long term metal prices of US$1.65/lb for copper and US$650/oz for gold and a foreign exchange of C$0.82 per US dollar. Mr Jones has reviewed this release. A technical report will be filed on www.sedar.com.
Cariboo Rose and Astorius Start Drilling at Pat Property
Posted by admin in Corporate Updates, News Releases on October 6th, 2009
Cariboo Rose Resources Ltd. and Astorius Resources Ltd. have begun drilling on the Pat mineral property located approximately 15 kilometres east of Horsefly, in the Cariboo region of central British Columbia.
The Pat project, encompassing 1,330 hectares, covers a prominent magnetic anomaly indicated in government surveys within the prolific Quesnel trough. The magnetic feature at Pat is approximately four kilometres across and is roughly circular. Four to five wide-spaced holes are being planned to explore this target.
The Pat property is bounded to the south and west by the Woodjam North property owned by Cariboo Rose and Fjordland Exploration Inc., which recently became subject to an option agreement with a member of the Gold Fields Ltd. group of companies.
The Pat property is owned by Cariboo Rose and is subject to an option agreement which gives Astorius the right to earn a 60-per-cent interest in it by completing $1.2-million in exploration, paying $150,000 in cash and issuing 200,000 shares to Cariboo Rose before July 9, 2011.
Wayside Drills 51.5m (170 Feet) of 7.17 g/t Gold Including 20.2m (66.4 Feet) of 14.6 g/t Gold
Posted by admin in Drill Results, News Releases on October 5th, 2009
International Wayside Gold Mines Ltd. has received more results from its infill diamond drill program in the Bonanza Ledge zone on Barkerville Mountain and from one of the three diamond drill holes testing the mine grid west extension of the B.C. vein on Cow Mountain.
The proposed 17-infill-diamond-drill program in the Bonanza Ledge zone will upgrade its existing National Instrument 43-101 resource from an inferred to indicated category. To date, 16 of 17 drill holes have been completed with BC09-01 through BC09-05, BC09-07 through BC09-09, and BC09-11 returning promising intercepts containing gold mineralization.
Drill hole BC09-08 intercepted:
- 18.3 metres (60 feet) of 1.15 grams per tonne (g/t) gold;
- Including 0.43 metre (1.4 feet) of 21.8 g/t gold;
- 24.4 metres (80 feet) of 1.14 g/t gold.
Drill hole BC09-09 intercepted:
- 24.4 metres (80 feet) of 5.39 g/t gold;
- Including 0.85 metres (2.8 feet) of 102 g/t gold.
Drill hole BC09-11 intercepted:
- 51.5 metres (170 feet) of 7.17 g/t gold;
- Including 20.2 metres (66.4 feet) of 14.6 g/t gold.
Results from the remaining holes in the infill program are forthcoming.
Drill holes CM09-01 through CM09-03 were completed beside the Lowhee Creek on Cow Mountain and confirm the mine grid west extension of the B.C. vein. The results verify that strike quartz veins including B.C. vein exist on Cow Mountain, though more drilling needs to be conducted to confirm the total length and depth along strike. Gold values returned from the strike vein are up to 22.7 g/t.
Drill hole CM09-03 intercepted a fine-grained pyrite replacement body in a fault zone, which contains up to 60-per-cent fine-grained pyrite and returns up to 22.7 g/t gold.
The company has also entered into a letter of intent with 0373849 B.C. Ltd. (formerly Cross Lake Minerals Ltd.), pursuant to which Wayside will purchase a subsidiary of Cross Lake holding all of Cross Lake’s interest in the QR mine and mill (sale transaction). Concurrently with the completion of the sale transaction, Wayside will enter into a spin-off transaction to transfer all of its properties, including the QR mine and mill, Cariboo gold project, and its assets, liabilities and obligations, to Barkerville Gold Mines Ltd., a wholly owned subsidiary of Wayside, in exchange for shares of Barkerville and will then distribute the Barkerville shares to the shareholders of Wayside on the basis of one Barkerville share for each share of Wayside. The sale transaction and spin-off transaction (together, the transactions) will be structured as a plan of arrangement involving Wayside, its securityholders, Cross Lake and Barkerville pursuant to the provisions of the B.C. Business Corporations Act. The final terms of the transactions will be modified to the extent necessary to give effect to tax and legal advice to be sought by the parties.
Barkerville will make an application to list its shares on the TSX Venture Exchange. This transaction is subject to meeting the usual listing requirements of the TSX-V, which will include having the necessary funds to meet the obligations of operating the QR mine and mill, conduct recommended work programs on its Cariboo gold exploration projects, satisfy the necessary general and administrative expenses, and having unallocated working capital.
Completion under the plan of arrangement will also be subject to obtaining the necessary shareholder, regulatory and court approvals.
The technical information in this news release has been reviewed and approved by chief geologist Jim Yin, PhD, PGeo, a qualified person as defined in National Instrument 43-101.
Happy Creek Updates on the Hen Property
Posted by admin in Corporate Updates, News Releases on October 1st, 2009
Happy Creek Minerals Ltd. has completed 842 metres of trenching on its 100-per-cent-owned Hen property, located approximately 45 kilometres northeast of 100 Mile House and 10 kilometres southeast of the former Boss Mountain molybdenum mine in south-central British Columbia.
The Anomaly Creek prospect
The company recently completed 371 metres in 12 trenches covering portions of a positive 3-D induced polarization and magnetic geophysical anomaly and widespread positive copper, lead and zinc values in soil and surface rock samples. This prospective area is approximately one kilometre by one kilometre in dimension and is part of a much larger mineralized system that remains open in extent. Trenches were located on the west and east side of a northerly trending swampy area that is approximately 500 metres to a kilometre in width and over two kilometres in length.
Geologically, the Anomaly Creek area is underlain by the northerly trending contact between rocks of monzodiorite to quartz diorite composition and volcanic and minor sedimentary rocks of the Nicola group. Dikes of intermediate to mafic composition cut the volcanic and intrusive rocks. All rocks are moderate to strongly fractured and contain variable amounts of dominantly quartz and sericite alteration minerals that are either in veinlets or disseminated. Trace to 15 per cent pyrite (iron sulphide) and variable concentrations of gypsum and chalcopyrite (copper sulphide), sphalerite (zinc sulphide), and galena (lead sulphide) occur in all trenches.
The results to date from the Anomaly Creek prospect are thought to reflect potential for a new bulk-tonnage copper deposit that remains untested by drilling.
The Hen prospects
To the east of the Anomaly Creek prospect, the Hen and Ledge prospects were trenched with 471 metres in 11 trenches. This work was focused on the Dyke zone, where previous chip sampling returned 3.5 metres grading 3.46 grams per tonne gold that remained open in extent, and grab samples contain up to 35.0 g/t gold. Farther east, the Ledge and Southeast skarn showings have returned grab samples containing a large number of geochemically anomalous samples (greater than 40 parts per billion) up to 1.10 g/t gold.
These positive gold values occur along a three-kilometre easterly trending zone of hornfelsed, calc silicate and quartz-carbonate-altered volcanic and sedimentary rocks and contain abundant pyrrhotite, pyrite (iron sulphides) and locally arsenopyrite (arsenic sulphide), stibnite (antimony sulphide) and chalcopyrite (copper sulphide) trace elements.
Hawthorne Gold and Eureka Resources Announce Independent Mineral Resource Estimate for Frasergold Project Confirms Gold System
Posted by admin in Corporate Updates, News Releases on October 1st, 2009
Hawthorne Gold Corp. and Eureka Resources Inc.’s independent mineral resource estimate has been completed using information from the 2007-2008 drill program on the Main zone of the Frasergold project, located approximately 100 kilometres to the east of Williams Lake, B.C.
“Hawthorne is pleased to see not only the completion of the estimate at Frasergold, but also the results of that estimate at Frasergold, and looks forward to publishing the National Instrument 43-101 technical report and mineral resource estimate. The mineralized system has been traced for 10 kilometres and completing a resource estimate on approximately 1.5-kilometre portion of the zone is an important milestone for the project. The company is now determining its action plan for both the Frasergold project and the surrounding exploration camp,” commented Richard Barclay, president and chief executive officer of Hawthorne.
SUMMARY OF MINERAL RESOURCE ESTIMATE AT
A 0.30-GRAM-PER-TONNE AU CUT-OFF
Zone Class Tonnes Au (g/t) Au (grams) Au (ounces)
Main Measured 11,470,000 0.595 6,824,650 219,418
Main Indicated 22,610,000 0.540 12,209,400 392,541
---------- ----- ---------- -------
M+I 34,080,000 0.559 19,034,050 611,959
---------- ----- ---------- -------
Main Inferred 26,530,000 0.473 12,548,690 403,450
NW Inferred 45,790,000 0.538 24,635,020 792,034
SE Inferred 2,990,000 0.343 1,025,570 32,973
---------- ----- ---------- ---------
Inferred 75,310,000 0.507 38,209,280 1,228,457
---------- ----- ---------- ---------
“Eureka originally acquired the Frasergold project as our management team believed it to contain a significant gold system that extended over an approximate length of 10 kilometres. This estimate confirms Eureka’s historical exploration work on the property in the 1980s and 1990s, and Hawthorne’s work over the past two years. The resource estimate only tested a small portion of the mineralized system and we look forward to defining the full potential of this deposit through our continued relationship with Hawthorne Gold,” stated John J. O’Neill, chief executive officer and president of Eureka Resources.
The Frasergold project is a large-tonnage, low-grade gold deposit, and is located in the Cariboo gold district of British Columbia. The resource estimate was prepared by Dr. K.V. Campbell, PhD, PGeo, of ERSi Earth Resource Surveys Inc., and G.H. Giroux, MASc, PEng, of Giroux Consultants Ltd.
The 2009 Frasergold resource estimate is based on a total of 160 diamond drill holes and 242 reverse circulation holes sampling a combined 49,691 metres. The drilling was completed by Eureka and optionees, from 1983 to 1993, and Hawthorne Gold Group in 2007 and 2008. Hawthorne geologists determined three-dimensional solids for a high-grade zone surrounded by a lower-grade envelope and two less densely drilled extensions, one projecting the mineralization to the northwest and the other to the southeast. Individual drill hole assays were tagged, sample statistics were run and erratic high assays were capped for each zone. Uniform five-metre downhole composites were formed and modelled using pairwise relative semi-variograms. Blocks 10 by 10 by five metres in dimension were estimated for gold by a combination of ordinary and indicator kriging. The bulk density was established from 128 core samples measured at site. Blocks were classified as measured, indicated or inferred based on grade continuity as established from the semi-variograms analysis.
Due to the uncertainty of inferred mineral resources it cannot be assumed that all, or any part of this resource will be upgraded to an indicated or measured resource as a result of continued exploration. To justify upgrading of the mineral resource to a mineral reserve, demonstrated economic viability is required. Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant issues.
About Frasergold project
The Frasergold project, optioned from Eureka Resources, is located in the Cariboo gold camp, situated in the historic Quesnel trough area of central British Columbia, and has a long history of continued exploration since the 1970s. A combination of quartz veins and knotted phyllites host gold mineralization containing coarse free gold and finer-grained sulphide-bearing gold. Previous operators identified a 10-kilometre belt of gold mineralization on the property through drilling, soil sampling, induced polarization geophysical surveys and surface exploration.
In 2007, the Hawthorne completed a 16-hole diamond drill program (3,617 metres), a series of 211 vertical channel samples taken across the entire 130-metre strike length of the underground workings and a series of 11 200-kilogram bulk samples across the same length of the channel samples. In addition, an airborne geophysical survey was completed by Aeroquest International Ltd. The survey covered the entire area between the Frasergold project and Crooked Lake, encompassing the Eureka Frasergold claims, the optioned Dajin Resources Corp. claims and claims acquired or optioned in 2007.
Subsequently, in 2008, Hawthorne completed a 58-hole 10,405-metre diamond drill program, a soil sampling program and a reconnaissance exploration exercise. Total drilling on the property now exceeds 50,000 metres, including work from 2007-2008 and in the 1980s and 1990s. The 2008 exploration program focused within the Main zone, located in the centre of the identified 10-kilometre mineralized zone. The total land position, totalling 11,293 hectares or 41 claims, is under option agreements with Eureka Resources and Dajin Resources.
For further information on the Frasergold project, including additional information on lab and assay procedures, please refer to Hawthorne’s website.
Mr. Giroux carried out the mineral resource estimate of the Frasergold deposit, and both Mr. Campbell and Mr. Giroux are qualified persons in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects. They have verified the mineral resource information presented in this news release. Mr. Campbell and Mr. Giroux are currently preparing the National Instrument 43-101 technical report and mineral resource estimate on the property, which will be filed on SEDAR within 45 days from the date of this press release. Mr. Campbell and Mr. Giroux have visited the site and reviewed all the quality assurance-quality control data received to date.
Michael Petrina, PEng, the company’s vice-president of mining and a qualified person as defined by National Instrument 43-101, has reviewed and approved the technical disclosure contained in this news release.
About the Frasergold option agreement
Pursuant to an option agreement dated Oct. 31, 2006, between Hawthorne and Eureka, Hawthorne can earn a 51-per-cent interest in the Frasergold project by completing sufficient exploration expenditures totalling $3.5-million (expended), completing a feasibility study by April 30, 2010 (April 30, 2012, with extensions), and making cash payments totalling $175,000 ($125,000 paid to date) before Oct. 31, 2009. Hawthorne can earn a further 9 per cent (for a total of 60 per cent) by arranging financing for 70 per cent of the estimated capital costs for production.
International Wayside Drilling Results
Posted by admin in Drill Results, News Releases on September 18th, 2009
International Wayside Gold Mines Ltd. has received results from the first phase of its infill diamond drill program in the Bonanza Ledge zone on Barkerville Mountain and from three diamond drill holes testing the mine grid west extension of the BC vein on Cow Mountain.
The proposed 17-hole infill diamond drill program in the Bonanza Ledge zone will upgrade its existing NI 43-101 resource from an inferred to indicated category. To date, eight of 17 drill holes have been completed with BC09-01 through BC09-05 returning promising intercepts containing gold mineralization.
Results from the remaining holes in the infill drill program are forthcoming.
Drill holes CM09-01 through CM09-03 were completed beside the Lowhee Creek on Cow Mountain and confirm the mine grid west extension of the BC vein. The results verify that strike quartz veins including BC vein exist on Cow Mountain, though more drilling needs to be conducted to confirm the total length and depth along strike. Gold values returned from the strike veins are up to 20.5 g/t.
The potential gold resource of the BC vein has been significantly increased as it is now confirmed to extend approximately 1,600 metres from Barkerville Mountain to Cow Mountain. CM09-01 also confirms the existence of volcanic rocks and conglomerate in the Lowhee unit on Cow Mountain.

