Copper Ridge drills Scheelite Dome

After raising $1.3 million in a public financing, Copper Ridge Exploration (KRX-V) has started drilling its Scheelite Dome gold property in the Mayo district of central Yukon.

The 1,600-metre, 15-hole program is designed to test the mineralized Aorta structure. The previous operator, La Teko Resources, which merged with Kinross Gold (K-T) last February, drilled seven widely spaced holes on the property. The best of these, hole 12, cut 7.7 metres averaging 3.67 grams gold and included a 1.5-metre section that assayed 10.56 grams gold per tonne.

Hole 11, about 400 metres to the northeast, cut 0.8 metre grading 1.65 grams gold and ended in mineralization. Copper Ridge believes hole 11 may have been stopped just short of the mineralized structure encountered in hole 12.

Situated near Mayo, the 11,600-ha project represents a large bulk-tonnage gold target. Earlier work by Kennecott Canada Exploration, a division of London-based Rio Tinto (RTP-N), identified an east-west structurally controlled zone of mineralization which measures 3.5 by 1.5 km and is defined by a 100-parts-per-billion gold-in-soil anomaly. Kennecott trenched the main anomaly and drilled 13 reverse-circulation holes. The holes encountered anomalous gold mineralization, but many were stopped short of their target because of drilling problems.

Once the current drill program has been completed, Copper Ridge will have earned a 100% interest in the property from Kennecott. The original vendors will maintain a 2% net smelter return royalty and Kennecott retains either a 2% net smelter royalty or a 49% back-in right at feasibility.

In related news, Copper Ridge is proceeding with further soil sampling on its Ogopogo project in Alaska. The property comprises 36,000 acres and adjoins the northern boundary of the Pogo project, held jointly by Teck (TEK-T) and Japan-based Sumitomo Metal Mining.