Nexus spends $2.3 million on Toodoggone area property

Approximately $2.3 million has been spent this year by Nexus Resource Corp. on St. Joe Canada’s Silver Pond property in the Toodoggone area of B.C. Results are now available from a 99- hole program involving 42,438 ft of drilling.

In that program, 59 holes or 21,534 ft of drilling was completed on the West zone where a 100-130- ft-wide alteration zone was outlined containing 3-10-ft-wide zones of intense silicification, brecciation, silica flooding and minor amounts of sulphide.

A total of 25 intercepts exceeded 0.1 oz gold per ton across 3.3 ft and seven of these exceeded 0.3 oz over the same width. The best intercept averaged 0.398 oz gold and 12.5 oz silver over 9.9 ft. The West zone has been tested over a strike length of 1,550 ft and to a depth of 650 ft below surface. It’s still open along strike and to depth. “Further drilling is required to delineate individual oreshoots within this zone.”

Exploration work was also carried out on the North zone including 9,800 ft of trenching and 9,378 ft of diamond drilling in 19 holes. The best hole returned 3.3 ft of 0.175 oz gold. This is viewed as an excellent target for deep drilling, says Nexus.

Seven holes totalling 5,346 ft were drilled in the Amethyst zone, believed to represent the southern extension of Cheni Gold Mines’ Cliff zone which it has slated for production. Geochemically anomalous values were intersected in four holes to a depth of 170 ft. One deep hole (607 ft) returned 0.18 oz gold over 3.3 ft.

Drilling on the South zone, which is believed to be a splay off the Cliff Creek zone, returned 0.158 oz gold over 3.3 ft at a depth of 157 ft. This zone is open along strike, to depth, and will require further drilling.

Three holes totalling 935 ft were drilled along strike in the Ridge zone, one of which averaged 0.12 oz gold over 3.3 ft. Six other zones were also tested and they produce anomalous gold values. A major drill program is being formulated for 1988 to further delineate oreshoots in the West zone, carry out deeper drilling on the North zone, and test the southward and depth continuation of the Amethyst and South zones.

Nexus has the right to earn a 49% interest in the 8,000-acre property by spending $3 million before Feb 28, 1989, and by issuing a further 150,000 shares. The company has already earned a 24% interest in the property.