Good early results for Eaglecrest

Eaglecrest Explorations (EEL-V) turned in some promising results from a first-pass sampling program at its Fredonia project in Colombia.

The highlight assay graded 8.25 grams per tonne gold and 47.5 grams per tonne silver and came from an outcrop channel chip sample from the eastern part of the project.

Gold mineralization in the area occurs in quartz veins, hosted in Proterozoic metamorphic rocks. The area was targeted because of small-scale artisanal mining along several vein-structures in the area.

Lower grades were also hit upon in the central potion of the project, where the company says gold mineralization is hosted in a diorite porphyry and volcanic breccia. The chip sample there graded 0.33 grams per tonne gold and 5.4 grams per tonne silver.

The latter result came from what is known as the Quebrada Garrucha sector which sits 2 km east of Bellhaven Copper and Gold’s (BHV-V) La Mina Concession.

The company completed a reconnaissance program in the area surrounding La Mina and plans to launch its 2011 Exploration program in the area.

It says it will drill 5,000 metres in the middle of next year, followed by a 10,000 metre program later in the year.

Eaglecrest describes the 19.8 sq km Fredonia property as unexplored. It has an option to earn up to a 75% interest in Fredonia from the Colombian-based and privately held Grupo de Bullet. Eaglecrest gave Grupo 1 million common shares and 1 million warrants at the signing of the deal, and will have to spend $2.8 million on exploration and pay Grupo $150,000 to get up to a 50% stake. Eaglecrest moves up to a 75% stake if it gets a project to the feasibility stage.

“These early results from the Fredonia project are further evidence that we have secured a very good area,” Hans Rasmussen, Eaglecrest’s chief’s executive said in a statement.

 In Toronto on Dec. 20 the company’s shares were up 8% to 39¢ on 34,000 shares traded.