Sulphides intersected in Yukon

Drilling has encountered sulphide mineralization on the Foot property of Atna Resources (VSE), near Wolverine Lake in south-central Yukon.

The property is 20 km east of, and in the same geological formation as, Cominco’s Kudz Ze Kayah project, which is being fast-tracked for development. (The Kudz Ze Kayah resource is estimated at 13 million tonnes grading 5.5% zinc, 1% copper and 1.3% lead, plus 125 grams silver and 1.2 grams gold per tonne.)

Westmin Resources (TSE) can earn a 60% interest in the Foot claims, as well as the Pak and Toe properties, by incurring exploration expenditures of $3 million over five years. Expenditures to date have totalled $550,000.

Geological surface work has defined a thick sequence of felsic volcanic rocks interbedded with argillaceous and epiclastic sedimentary rocks dipping moderately to the northeast and striking over a distance of 12,000 metres. Altered horizons are characterized by widespread

pyrite-sphalerite-chalcopyrite-bornite-carbonate mineralization.

With limited surface exposure, the mineralized horizons are defined by anomalous soil geochemistry and geophysics which employ associated magnetite iron formations as markers.

The first two drill holes tested a soil geochemical anomaly on the southeastern end of the Foot claims, in an area identified as the Fettish zone.

The discovery hole, WO95-1, intersected 3.9 metres of massive and semi-massive sulphides grading 10.2% zinc, 0.3% copper and 0.49% lead, as well as 59.6 grams silver and 0.34 gram gold over 82.2 to 86.1 metres. The footwall to the mineralized horizon returned a second intersection of 2.7 metres grading 2.5% zinc, 0.83% copper and 0.27% lead, plus 69.1 grams silver and 0.2 gram gold over 87.5 to 90.2 metres.

The second hole stepped out 410 metres to the southeast of the discovery hole and intersected narrow intervals of sulphide mineralization (0.5 to 1.2 metres) over an 18-metre section of altered rhyolite fragmental rock. Assay results are pending.

A third hole has been collared 700 metres along strike to the northwest of the first hole, while a fourth hole is expected to test the downdip extension of the zone encountered in the discovery hole. Drilling will also test another area, referred to as the Fisher zone, which lies 8,000 metres northwest of the Fettish zone.

Meanwhile, the British Columbian government has awarded $61,000 in mineral grants to Atna for its White Bull and Ecstall projects. And the Yukon government has provided $20,000 for the Argus property.

The recently staked, fully owned White Bull property is in north-central British Columbia and centres on a 200-metre-wide vegetation “kill zone,” caused by a high concentration of sulphide mineralization over an area of gossanous rock.

A moderate-to-strong lead anomaly and high electromagnetic response corresponds to the zone.

Drilling is planned for Atna’s fully owned Ecstall property, southeast of Prince Rupert, B.C., and the neighboring Horsefly property in which Atna can earn a 60% interest from Ecstall Mining (VSE).

The Argus property is one of eight properties Atna has optioned from YGC Resources (VSE).

Situated northwest of Cominco’s Kudz Ze Kayah project, the property contains extensive zinc-lead-silver mineralization associated with a black, siliceous, exhalative formation.

Atna can earn a 65% interest in each property by spending $1.5 million and paying $300,000 per property over five years.