American Ore’s Iskut River bets, show mineralization

Alberta-listed American Ore has reported a deficit of $9,390,795 for the six months ended June 30, compared with $8,049,966 during the same period last year. Revenues for the first six months of 1987 were $145,047, down from $258,861 in the first half of 1986.

The company also reported a cash position of $566,968 for the period, up from $247,786 during the same period last year.

Among its portfolio of properties, American Ore has a one-third interest in over 12,000 ac on the Iskut River in northwestern B.C. The claims are contiguous to the north of Cominco Ltd.’s and Delaware Resources’ gold property where reserves stand at 6.5 million tons of 0.5 oz gold per ton. Trenching on American Ore’s property indicates high copper, lead, zinc, silver and gold mineralization, the company says and three out of seven holes drilled around the trenches were well mineralized.

In addition to this, American Ore has a 70% interest in the Metsantan and Golden Neighbour properties in the Toodoggone area of northern B.C. The Metsantan property is just south of Golden Rule Resources’ claims where economic grades of gold mineralization have been indicated from surface trenching. The Golden Neighbour ground is two kilometres northeast of a former producer called the Baker mine.

American Ore operates the property while Murphy Oil of Calgary holds a 30% interest. Canacord Resources can earn a 25% interest in the project by spending $500,000 by February, 1989.

With Lacana Mining as operator, American Ore also holds a 22.5% interest in the Acad’Or, N.B., gold prospect comprising 48,680 ac. Canacord Resources can earn a 25% interest in Acad’Or by spending $1.5 million before February, 1989.

Drilling at Acad’Or has identified several tabular silver-bearing breccia zones striking for 1,200 ft. Assays from trenching included 21 oz silver per ton across a true width of 15 ft.

Following the recent stock market debacle, American Ore was trading on the Alberta Stock Exchange at 15 cents .