Golden Group’s Estrades project nudging closer to production

Located 60 miles north of La Sarre in Quebec’s famed Casa Berardi area, the Estrades discovery is nudging closer to production. Found in November, 1985, the discovery sparked a massive staking rush which ignited a short-lived, but exciting stock market frenzy in late 1985.

Since then, the partners, under the direction of Teck Corp. (TSE) which is the operator and holds the right to back-in for a 50% interest, have completed more than 240,000 ft of drilling.

The work has defined a mineable reserve of 1,250,000 tons to a depth of 1,300 ft. The reserves grade 0.15 oz gold, 4.15 oz silver, 0.92% copper and 8.93% zinc per ton. Geological reserves hosted in three zones total 2.26 million tons grading 0.12 oz gold, 3.59 oz silver 1.02% copper and 7.71% zinc.

The mineralization is hosted within a sulphide-bearing horizon which in turn is in a felsic volcanic unit. The sulphide horizon strikes for more than one mile and has been tested to a depth of 2,100 ft. The deposits remain open at depth.

Both junior companies are in negotiations with Breakwater Resources (TSE), which if successful, would see Breakwater fund a portion of the exploration and development programs required to get to the feasibility stage. Also, negotiations are continuing with Teck to eliminate Teck’s back-in right.

As a result of these developments, Golden Group does not plan to proceed with a share consolidation and name change, as was approved at the last shareholders meeting.

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