Augdome financing placer pilot test

Assay results have just come in from a placer gold property on the lower reaches of McConnell Creek in B.C.

Property owner Augdome Corp. has decided to issue 160,000 preference shares (at $1 each) to finance a 200-cu-yd-per-day pilot plant on the property to confirm the results. Work should start at the end of June.

“If this work proves up, we’ll go back in the following year,” Chairman Basil Gerol says.

Based on exploration work done so far, there are about 100,000 oz of gold identified in the placer deposit so far. Assay results range from 0.02 to 0.41 oz gold per cu yd.

Orofino Resources has signed a letter of intent to option the upper reaches of the creek from McConnell Creek Consolidated. That deal, good for two years, would see Orofino spend $3 million for a 50% interest. But the deal will not take effect, The Northern Miner gathers, until an outstanding lien on the property is cleared up.

Augdome is actively seeking a partner on its claims, Mr Gerol says.

The company’s shares are listed on coats.