Drilling at Damoti Lake

While some Canadian juniors do less field work in winter, Gitennes Exploration (ASE) is not among them. The Vancouver-based company is involved in not one but three programs near Damoti Lake in the Northwest Territories.

Iron formation-hosted gold mineralization was first discovered at the Damoti Lake property in 1992. Gitennes, which held a 25% working interest in the play, increased its land position to more than 109,000 acres by optioning a half interest in the adjacent TQY property and acquiring the Fishhook Lake property.

The Damoti Lake camp is within the Slave province, 120 miles northeast of Yellowknife and 150 miles southwest of Echo Bay’s Lupin gold mine (which is hosted in a similar sulphide-bearing banded iron formation containing multiple quartz veins).

Gitennes’ partners on the original property are Consolidated Ramrod Gold (TSE), which is earning a 51% interest and acting as operator, and Athabaska Gold Resources (TSE), which has 24%. An aggressive, 60-hole drill program has resumed, and further drilling is planned for the Horseshoe zone where previous drilling returned high-grade values.

The iron formation is traced over a strike length of more than 6.5 miles. Ramrod has been exploring a 2,000-ft. section which is repeatedly folded. Mineralization occurs within the folded iron formation zones in stacked, east-dipping, subparallel layers up to 250 ft. long and up to 45 ft. thick. The layers strike parallel to the axial planes of major folds and are believed to be clustered near fold hinges.

Drilling is also under way on the Red Badger zone, which forms part of the adjacent TQY property of Tanqueray Resources (ASE). Gitennes expects to complete the earn-in requirements for a half interest during the current phase of exploration. The zone is in an iron formation similar to that which exists at Damoti Lake.

Last December, Gitennes tested the zone by drilling seven widely spaced holes over 1,300 ft. Gold mineralization was encountered in five of the holes. The structure has been traced over a minimum strike length of 2,800 ft. Current drilling will define the zone with a series of stepout and infill holes.

The drill rig will then move on to Gitennes’ Fishhook Lake property which adjoins both Damoti Lake and TQY. Prospecting and geophysics have targeted a number of areas for testing there.

Gitennes has completed a private placement of 1 million common flow-through shares at $1.25 per share for proceeds of $1.25 million. Each share includes one warrant to buy one common share at $1.50 for up to a year.