Acadian’s resources surpass 1-million-oz. mark

A successful year of drilling and data compilation at four gold prospects in central Nova Scotia has allowed Halifax-based Acadian Gold (ADA-V) to tally up a gold resource exceeding 1 million oz.

The latest resource estimates are as follows:

* Forest Hill: 245,000 measured and indicated tonnes grading 13.21 grams gold per tonne and 818,000 inferred tonnes of 9.33 grmas gold, or a contained 349,000 oz.;

* Tangier: 294,000 measured and indicated tonnes of 5.48 grams gold and 899,000 inferred tonnes at 5.79 grams gold, or 220,000 contained oz.;

* Beaver Dam: 1.3 million measured and indicated tonnes of 2.38 grams gold and 3.8 million inferred tonnes of 2.73 grams gold, or 436,000 contained oz.; and

* Goldenville: 157,000 measured and indicated tonnes at 6.7 grams gold and 885,000 inferred tonnes at 9.11 grams gold.

In total, Acadian now has 291,000 oz. gold in the measured and indicated categories and another 1 million oz. in the inferred.

These resource figures are compliant with National Instrument 43-101 standards and were calculated by Peter Webster of consultants Mercator Geological Services.

The figures are based on uncut gold grades, a lower cut-off grade of 1 gram gold, and a minimum 1.2-metre true width of mineralization.

Acadian is looking to a “Ribbon” model to explain the properties’ style of mineralization — similar to the model developed for the historic Bendigo mining camp of Australia (for an-depth history of Acadian, see (T.N.M., March 5/04).

Acadian carried out 12,000 metres of drilling last year and plans on completing an initial 5,000-metre program this year.

Work will begin with 10-12 holes poked into Forest Hill, with attention paid to a new gold discovery at the eastern end of the property, called the Fraser-Alimak zone. There, Acadian has recognized a new gold-mineralized horizon at surface and traced it for 500 metres to the east, where it is still open.

“We’re keen to build ounces at Forest Hill, because it could be quickly brought back into production,” says Acadian President Will Felderhof. “Overall, we’re making good progress and we’re going to push ahead this year with advancing these four projects.”

Acadian’s grand plan is to prove up sufficient material at several sites to recommence open-pit and underground mining, with processing at a single, central mill.

“There’s no doubt in my mind that as time passes, Nova Scotia’s goldfields will became more and more recognized as a very interesting and high-potential camp,” says Felderhof, pointing to the success of Australian-listed Diamond Ventures in developing its Touquay-Moose River gold project in central Nova Scotia, where open-pittable resources stand at 8.4 million tonnes grading 2.1 grams gold, or 571,000 contained oz. gold.

“The key to Nova Scotia gold is uniformity of gold mineralization within the high-grade chutes and predictability of these chutes, and I think that’s the hurdle that’s being crossed here by us and others,” says Felderhof. “And then add to that the recognition of disseminated gold in siltstones and certain greywacke packages.”

In December, Acadian raised a gross $1.4 million by privately placing 7.6 million units at 18 per unit, with each unit comprising a share and half a warrant, and each warrant exercisable at 27. The company raised another $590,000 by placing 2.4 million flow-though shares at 25 apiece.

The money will be directed towards this year’s exploration programs at Forest Hill, Beaver Dam, Tangier and Goldenville.