L.O.M. Western Securities predicts that more than $100 million will be spent this year in the Stikine Arch, a remote region in northwestern British Columbia’s rugged Coast Mountains. Prime Explorations expects to spend $24 million on behalf of a variety of Prime group juniors, excluding development costs at the Snip gold deposit being brought to production by major Cominco (TSE) in the Iskut River camp.
If funds contributed by joint venture partners are factored in, Prime Explorations will be managing programs worth an estimated $42 million this year. The largest portion of these funds will be spent at the Eskay Creek project and on nearby properties.
Corona (TSE) is the major company “behind the scenes” of this exploration effort as it recently agreed to acquire 44.6% of a new and as yet unnamed company that will own 100% of the Eskay Creek project.
This new company will be formed by the merger of Stikine Resources (TSE) and Murray Pezim’s Prime Resources Group (VSE). Corona will also be a large shareholder of a second company containing under its umbrella the remaining Prime group juniors.
Outside of the Prime group, the “Golden Triangle Fund,” a consortium of ten juniors, expects to raise and spend about $4.0 million exploring various properties in the Stikine Arch.
Most exploration in the Stikine Arch is being initiated by junior companies, but there are several exceptions. One is the Red Mountain project held by Bond Gold (TSE), a company controlled by Toronto-based LAC Minerals (TSE).
Bond Gold is expecting to spend about $2.5 million this year on its Red Mountain project located about 15 km east of Stewart, B.C. Last fall Bond announced some spectacular drilling results from the Marc and Brad gold zones found on the 100%-owned property. The most impressive was a 216-ft. intersection grading 0.28 oz. gold per ton. More drilling is planned this year.
Major gold producer Placer Dome (TSE) recently acquired control of the nearby Kerr copper-gold deposit which contains estimated geological reserves of 66 million tons grading 0.86% copper and 0.01 oz. gold. The project was added to Placer Dome’s portfolio through the acquisition of a junior company that held the project.
Base metal giant Cominco is active in the Iskut River area where it is building the 300-ton-per-day Snip gold mine. The new Corona- backed company formed from the merger of Prime and Stikine will have a 40% interest in this high grade project.
In the Iskut River district, near Skyline’s Johnny Mountain mine and the Snip project, Gulf International Minerals (VSE) plans to raise and spend about $4.0 million exploring several properties.
The bulk of the funds will be spent at Gulf’s flagship property, the McLymont, where gold, silver and base metals are encountered in a mineralized vein or shear zone, as well as within adjacent sedimentary rocks.
A $3.2 million program was recommended for 1990 which will include underground drifting, the taking of a bulk sample, and some surface exploration work.
A multi-million program is also planned for the Inel gold property which includes an underground program. The objective of the 1990 programs at both the McLymont and Inel properties is to establish reserves and define new targets with reserve potential.
Early stage exploration is also planned for the Josh claims where precious metal mineralization is the primary exploration focus.
L.O.M. Western Securities predicts that more than $100 million will be spent this year in the Stikine Arch, a remote region in northwestern British Columbia’s rugged Coast Mountains. Prime Explorations expects to spend $24 million on behalf of a variety of Prime group juniors, excluding development costs at the Snip gold deposit being brought to production by major Cominco (TSE) in the Iskut River camp.
If funds contributed by joint venture partners are factored in, Prime Explorations will be managing programs worth an estimated $42 million this year. The largest portion of these funds will be spent at the Eskay Creek project and on nearby properties.
Corona (TSE) is the major company “behind the scenes” of this exploration effort as it recently agreed to acquire 44.6% of a new and as yet unnamed company that will own 100% of the Eskay Creek project.
This new company will be formed by the merger of Stikine Resources (TSE) and Murray Pezim’s Prime Resources Group (VSE). Corona will also be a large shareholder of a second company containing under its umbrella the remaining Prime group juniors.
Outside of the Prime group, the “Golden Triangle Fund,” a consortium of ten juniors, expects to raise and spend about $4.0 million exploring various properties in the Stikine Arch.
Most exploration in the Stikine Arch is being initiated by junior companies, but there are several exceptions. One is the Red Mountain project held by Bond Gold (TSE), a company controlled by Toronto-based LAC Minerals (TSE).
Bond Gold is expecting to spend about $2.5 million this year on its Red Mountain project located about 15 km east of Stewart, B.C. Last fall Bond announced some spectacular drilling results from the Marc and Brad gold zones found on the 100%-owned property. The most impressive was a 216-ft. intersection grading 0.28 oz. gold per ton. More drilling is planned this year.
Major gold producer Placer Dome (TSE) recently acquired control of the nearby Kerr copper-gold deposit which contains estimated geological reserves of 66 million tons grading 0.86% copper and 0.01 oz. gold. The project was added to Placer Dome’s portfolio through the acquisition of a junior company that held the project.
Base metal giant Cominco is active in the Iskut River area where it is building the 300-ton-per-day Snip gold mine. The new Corona- backed company formed from the merger of Prime and Stikine will have a 40% interest in this high grade project.
In the Iskut River district, near Skyline’s Johnny Mountain mine and the Snip project, Gulf International Minerals (VSE) plans to raise and spend about $4.0 million exploring several properties.
The bulk of the funds will be spent at Gulf’s flagship property, the McLymont, where gold, silver and base metals are encountered in a mineralized vein or shear zone, as well as within adjacent sedimentary rocks.
A $3.2 million program was recommended for 1990 which will include underground drifting, the taking of a bulk sample, and some surface exploration work.
A multi-million program is also planned for the Inel gold property which includes an underground program. The objective of the 1990 programs at both the McLymont and Inel properties is to establish reserves and define new targets with reserve potential.
Early stage exploration is also planned for the Josh claims where precious metal mineralization is the primary exploration focus.
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