Juniors flock to site of recent Band-Ore find

Band-Ore Resources’ (CDN) gold discovery in Thorneloe Twp., west of Timmins, Ont., has junior companies taking notice of the potential for mineralization in pyritic quartz-sericite schist occurrences elsewhere in northern Ontario.

Band-Ore has brought South African Minerals (TSE) on board for a joint venture on some of its holdings in Thorneloe and Bristol twps. South African Minerals can earn a half interest in the claims by spending $750,000 on exploration over five years. Band-Ore also receives $300,000 in cash and 100,000 shares of South African.

Hendricks Minerals Canada (CDN) is also active in northern Ontario and has taken an option to earn a 100% interest in a property near Kabinakagami Lake, 100 km northeast of Wawa, Ont.

Called the Kabi Lake Gold Project, the property surrounds the Hiawatha gold mine, a small past producer. Gold showings at the property occur in quartz veins in pyritic quartz-sericite schists with chalcopyrite and molybdenite.

The company plans to test two induced-polarization anomalies about 1 km west of the old mine and has committed to 1,000 metres of drilling.

Hendricks must pay $35,000 to the vendor, company president Donald McKinnon, who retains a 3% net smelter return royalty.

Moss Resources (TSE) has acquired, for $46,800 in cash and shares over four years, a 416-hectare property west of the Hemlo camp. The vendor retains a 3% net smelter return royalty.

The property has old exploration trenches containing pyritic quartz-sericite schist, and gold concentrations of up to 1.5 grams gold per tonne have been recorded in old grab samples.

On the financial front, Band-Ore has arranged two special warrant offerings, including 215,000 flow-through warrants at $9.12 and 500,000 warrants, without flow-through credits, at $8.75. Each warrant is directly convertible into one common share and half a purchase warrant. Whole purchase warrants can be converted into common shares at $10. The proceeds will fund further exploration at the Thorne project.