American Bullion drills Red Chris

Drilling continues to expand copper-gold reserves at the Red Chris porphyry deposit, south of Dease Lake in northwestern British Columbia.

American Bullion Minerals (VSE) holds an 80% interest and Teck (TSE) holds the remaining 20%, half of which is carried. Teck can increase its holding to 55% by funding a final feasibility study and placing the project in production.

Assays are now reported for 40 of 55 diamond drill holes completed to date in an area measuring 1,100 metres long and 150-500 metres wide. Chalcopyrite and bornite mineralization occur within a quartz stockwork system that remains open beyond the 300-metre depth, with intersections as deep as 496 metres. Previous work outlined a drill-indicated resource of 41 million tonnes grading 0.56% copper and 0.34 grams gold per tonne. American Bullion’s program is directed towards expanding the inner core of the deposit, which is estimated to contain 30 million tonnes of 0.73% copper and 0.48 grams gold. Significant results from recent drilling include 298.7 metres of 0.9% copper and 0.82 grams gold for hole 94-106, 225.6 metres of 0.9% copper and 0.99 grams gold for 94-109, 117.3 metres of 0.65% copper and 0.72 grams gold for 94-97, and 367.2 metres of 0.51% copper and 0.38 grams gold for 94-107. A further 10 holes are expected to be drilled, weather permitting.