Gold-Ore eyes targets at Yuscaran

Vancouver — Gold-Ore Resources (GOZ-T) is preparing to drill its Yuscaran gold-silver project in eastern Honduras.

The company can acquire the property from Breakwater Resources (BWR-T) by spending US$1.5-million over three years. Breakwater has a 70% back-in option, or, alternatively, can accept 1.5 million shares of Gold-Ore.

The 45-sq. km property hosts epithermal mineralized vein swarms that outcrop over an area measuring 4 by 2 km. Historically, several of these have been mined from underground.

Gold-Ore says Yuscaran is the most promising undeveloped gold-silver prospect in Honduras.

Previously, Breakwater and the United Nations estimated that the Guayabillas zone had a resource of 1.5 million tonnes averaging 10.94 grams gold-equivalent per tonne, though these calculations are not compliant to National Instrument 43-101 standards.

The resource was based on 39 diamond drill holes that intersected quartz veins that varied in width from a few centimetres to 5 metres. Because silver is so abundant in the mineralized structures, the U.N. calculated a gold-equivalent figure. The silver-to-gold ratio employed was 60:1, which reflected metals prices at the time (in the 1980s and 1990s).

In December 2003, Gold-Ore began a US$400,000 exploration program on the Guayabillas zone, including soil and rock sampling, geologic mapping, trenching, resistivity geophysics, and drilling.

So far, the company has mapped known veins and identified target areas that warrant additional follow-up. A systematic soil grid was established over 2 km of strike length along the Guayabillas zone. Numerous soil samples returned values exceeding 1 gram gold and 100 grams silver. More soil samples will be collected, to define the extent of the mineralized systems.

Geologically, intensely altered andesite volcanics host the vein arrays. These rocks are capped by younger rhyolite volcanic rocks that are not mineralized. The veins are only visible through erosional windows in the rhyolite, which suggests they are more extensive under the younger cap rocks.

Several drill-ready targets are expected to be outlined by late March. The junior intends to drill at least 2,500 metres of diamond drill core in about 15 holes, the objective being to test the continuity of the known mineralized shoots within the Guayabillas zone, as well as strike and depth extensions. Vein sets south of the Guayabillas will also be tested.