Positive results from Fawn vein at Gunsteel bet

Positive results have been returned from an underground diamond drilling program on the Fawn vein at Gunsteel Resources’ Nugget property near Salmo, B.C. According to Stan A. Endersby, president, the structure is one of 20 known veins on the property. Located about 1,200 ft north of the Nugget/Calhoun veins, it cuts the same rock units hosting most of the gold ore in the Sheep Creek mining camp, he notes.

The Fawn is a priority target for several reasons including the fact it contains a high grade oreshoot on the lowest working level which is easily accessible from the adjacent Nugget workings. A drill hole cutting the vein 52 ft below the bottom level graded 0.42 oz gold across 2.8 ft and a second hole 165 ft below the level returned five feet of 2.2 oz.

Another three feet of incompletely recovered core graded 0.28 oz. Assay results are not yet available from a hole 325 ft below the level which contains a large proportion of sphalerite and galena. These minerals are typically associated with gold values in the camp.

A deeper hole is planned to test the vein between the 400- and 500-ft horizon, says Mr Endersby. Consideration is also being given to extending a tunnel 1,200 ft northward from the No 5 level on the Nugget vein to intersect the Fawn 500 ft below the lowest existing working. The tunnel will cut at least two more untested veins including the O’Donnell which is stronger than the Nugget and Calhoun veins. Recent work on the property has primarily involved these two vein structures and also the Motherlode.

Geochemical survey work is under way on other parts of the property and an access road has been completed to the No 10 Motherlode portal which will be rehabilitated to provide access to deeper levels. Negotiations are also taking place for a $1-million flow- through offering to speed up exploration.

Reserves now stand at 73,400 tons grading 0.45 oz without including the deeper holes on the Fawn vein. The gross value of the gold is about $20 million.