Gldn Terrace makes second discovery at Richardson Lk

Deeper drilling, to 500 ft, has doubled inferred reserves on the Richardson Lake property, 70 miles east of Red Lake, Ont.

Owned and operated by Golden Terrace Resources the project now has 200,000 tons of gold mineralization.

Recent results include one 18-ft intersection which graded 0.08 oz gold per ton.

“Because of unseasonable weather, we brought our two drills back to further test the promising zone 700 ft west of Discovery One,” President Garry K. Smith says. The 13 holes drilled to date on the West Zone have returned sufficiently good results to recognize it as a second discovery.”

Drilling through lake ice will begin when winter conditions allow. The current 41-hole program should be completed by February, 1988.

The company also plans to drill early in the new year on its 330- claim property near Bancroft Lake.

The company’s objective is to prove up an ore deposit which will attract a major venture partner. .N13

** Bio-leach technology to be marketed by new company **

Wright Engineers, a major privately-owned mining consulting firm in Vancouver, has teamed up with publicly-traded Giant Bay Resources to provide complete turnkey bioleach gold mills to the mining industry.

The two companies, both of which have done extensive research work in this relatively new field of mineral processing technology, (Giant Bay for the last four years) have formed a new company called International Bioleach Inc.

It will provide mining companies with conceptual design, detail engineering, construction management, and construction of mills using this bio-technology. No commercial bioleaching mill for refractory gold ores has been constructed to date.

The technology’s commercial viablility was proven earlier this year when 311 oz of gold were recovered highly refractory gold ore near Yellowknife, N.W.T., using a 10- ton-per-day pilot plant. Potential users

Giant Bay has reached an agreement in principle with St. Joe Canada Inc. to earn an interest in two grassroots exploration properties, both in Ontario, where the technology may potentially be put to use.

The company can earn a 40% interest in the 5,300-acre Gordie Lake property located in the Coldwall Complex and a 49% interest in the Pinecone Point property, 80 km southwest of Timmins.

Giant Bay will fund some $285,000 in initial work on the properties with flow-through shares issued at $4.41 per share.

The Gordie Lake property has a sulphide zone with elevated copper, palladium and platinum values. Rock-chip geochemical anomalies conincident with geophysical anomalies have defined several drill targets. Drilling is to start next week.

If bioleaching is eventually used on the property, Giant Bay will be entitled to an additional royality.

Trenching on the Pinecone Point property, in the Swayze area, has returned gold values of 2.6 oz per ton. Giant Bay can earn 49% by spending $135,000 on drilling.