Vancouver — A stepout drill hole at the Seel project in west-central British Columbia has intersected encouraging values of copper and gold for partners
Hole 8 cut 102 metres grading 0.44% copper and 0.46 gram gold per tonne, including a 52.5-metre section of 0.54% copper and 0.55 gram gold.
The hole was collared 100 metres north of discovery hole 4, drilled late in 2004, which returned 148 metres of 0.29% copper and 0.27 gram gold.
The initial phase of nine core holes (1,600 metres) has been completed, and a second phase, consisting of 10-12 holes, will begin in March.
The copper-gold mineralization is associated with Eocene quartz-feldspar porphyries, which intrude Hazelton Group volcanic and sedimentary rocks. Peripheral to the intrusive are breccia zones which host higher copper and gold grades, as well as silver, lead and zinc.
Thick overburden obscures outcrop over most of the project area. The porphyry intrusive was detected using geochemistry and geophysics.
Says Gold Reach President Michael Sieb: “The pyrite halo [over the project area] is interesting. When you do actually see outcrop, it is extremely altered with pyrite-quartz-sericite alteration. This is a strong, intense system — a complex system.”
Previous exploration by other companies had focused on the potential of the breccia zones and vein systems. Highlights include 18 metres grading up to 1.6% copper and 0.64 gram gold, and 0.9 metre grading 8.3% copper, 9.5 grams gold and 120 grams silver.
The Seel project is 6 km southeast of
Gold Reach is earning a 61% interest in the project by spending $1 million on exploration by the end of 2006, with Grayd holding a back-in right to reacquire 10%. Grayd is operator during the earn-in period.
Gold Reach has 24.1 million shares outstanding and a market capitalization of $3.6 million. The stock recently traded at 15. Grayd has 34.8 million shares outstanding and a market cap of $7.7 million. Shares recently traded at 22.
Be the first to comment on "Grayd, Gold Reach step out at Seel"