Diana awaiting results of deep holes on Chevrier bet

Vancouver-based Diana Resources (VSE) is awaiting the completion of a deep hole next to its Obatogamau property near Chibougamau, Que.

Collared to test extensions of the zone Chevrier, a discovery made on the Obatogamau prospect in 1989, the hole will bore through the 1,975-ft. horizon, 650 ft. below the deepest intersections of the zone to date.

The deep hole is part of an ongoing program financed by Minnova (TSE), which has been probing extensions of the zone Chevrier on property optioned from Fancamp Resources (VSE) since February.

Minnova has a 51% interest in the Fancamp property, with an option to earn up to 65% by spending an additional $175,000. The metal producer has a 100% interest in the adjoining Obatogamau prospect, while Diana retains a 10% net profits interest.

At Obatogamau, zone Chevrier is estimated to contain preliminary reserves of three million tons grading 0.07 oz. gold per ton, including a higher-grade reserve of one million tons averaging 0.14 oz.

So far, five holes on the Fancamp property have returned strong widths but low grades. For example, hole FA-51 intersected a mineralized width of 500 ft. Four separate zones within the section returned 0.22 oz. over 17.7 ft., 0.04 oz. over 47 ft., 0.04 oz. over 61 ft. and 0.05 oz. over 72 ft.