New resource for Monument Bay

Rolling Rock Resources (RLL-V) has tabled a revised resource estimate for the Monument Bay project in northern Manitoba, based on drilling by previous operators.

The deposit has an inferred resource of 3.4 million tonnes grading 6.5 grams gold per tonne, based on a 3-gram-per-tonne cutoff. The estimate was prepared by Wardrop Engineering.

Rolling Rock is purchasing Monument Bay from Bema Gold (BGO-T, BGO-X, BAU-L) and Wolfden Resources (WLF-T, WFDNF-O) for shares, with the obligation to issue more shares on the completion of a feasibility study and at the time of production (T.N.M., March 31-April 6/06). The initial share issue would give Bema about 30% of Rolling Rock and Wolfden, about 17%.

Rolling Rock raised $6.8 million in a private placement to finance work on Monument Bay and on another northern Manitoba property, Domain. Wardrop’s report on the resource estimate recommended 5,000 metres of new drilling with a budget of $1.5 million.