Patrician adds to Ghanaian holdings

Alberta-listed Patrician Gold Mines is acquiring two additional gold exploration properties in Ghana.

As a result, the junior will hold three concessions in the West African country, covering 150 sq. miles in total.

Patrician can earn a 90% interest in the 58-sq.-mile Goaso property by spending US$750,000 on exploration and paying a fee equal to 5% of its exploration expenditures at the end of each portion of its program. In addition, the vendor, a private Ghanaian company, will hold a 4% net smelter return royalty and receive a 1-time payment of US$25,000.

The concession is in the Sefwi-Goaso gold belt, about 25 miles northwest of the Bibiani mine site.

A major fault structure bisects the property, dividing the upper and lower Birimian formations. Dixcove granite, a rock type known to host gold mineralization, occurs on the property.

Contingent on funding, Patrician is planning an airborne geophysical survey in early 1995, followed by a ground geochemical survey.

On the other new concession, known as Jejeti, Patrician can earn a 75% interest by spending US$325,000 on exploration over three years and paying the vendor an annual rental fee of US$9,000 at the end of the first year’s work program. The vendor will also receive 20,000 Patrician shares. At the end of the 3-year program, Patrician can buy an additional 15% interest from the vendor, with the government holding the remaining 10%. The concession is at the northeastern end of the Birim River area, which produces gold and diamonds from several alluvial sources. Patrician’s objective is to locate hard-rock prospects in the underlying Birimian formation.

Ground work is to begin in the new year, again subject to funding. In other news, Patrician has amended its agreement on the Tabrakuso prospecting licence, also in Ghana. Under the new deal, Patrician’s exploration expenditures have been reduced to US$750,000 from US$2.5 million to reflect the cost of early-stage work. As further consideration, Patrician will issue the vendor 75,000 shares and pay US$20,000.

Preliminary mapping and sampling are under way on a prominent, northeasterly trending ridge through the centre of the property, east of the Oda River. Meanwhile, in Tanzania, drilling is continuing on the Ikungu gold property. To date, seven holes have been drilled and an eighth is under way. Assays are pending.