Richfield redefining Blackwater gold project

Vancouver – Richfield Ventures (RVC-V) continues to expand the Blackwater gold project in central British Columbia with another round of long gold intercepts.

The latest five drill results come from its wholly-owned southern portion of project known as the Dave property, where the company is currently concentrating exploration.

“You’ve seen the results, aren’t they phenomenal?” said Peter Bernier, president and CEO of Richfield in a phone interview. “This is going to be the next major discovery in B.C., if not in Canada.”

Holes 64 and 65 were drilled from the same collar as last year’s hole 46 that hit 207.3 metres grading 1.06 grams gold per tonne. Hole 64 was drilled eastward at a 50 degree dip and intersected 260.3 metres averaging 1.57 grams gold and 6.7 grams silver per tonne. The hole hit continued mineralization from bedrock at 6.7 metres and included a 32 metre section grading 5.46 grams gold from 212 metres depth. Hole 65 was drilled northwest at -50 degrees and hit 198 metres carrying 0.88 gram gold and 6.2 grams silver from 37 metres depth.

Richfield drilled holes 66, 67 and 68 from a second collar roughly 405 metres west of 64-65 collar, and 135 metres southwest of previously released hole 48.

Hole 66 hit 38 metres grading 1.34 grams gold and 3.5 grams silver in silicified breccia within a 263 metre section grading 0.44 gram gold and 2.4 grams silver. Hole 67 cut 196 metres carrying 0.41 gram gold and 2.5 grams silver  from 8 metres depth. Hole 68 intersected 227 metres grading 1.51 grams gold and 5.7 grams silver from 22 metres depth and included a 66-metre section grading 3.65 grams gold.

Mineralization has now been outlined in a roughly 800-metre wide by 600-metre north-south area. Bernier said the company is still trying to get a handle on mineralization but that it is looking more like an epithermal-type deposit.

Richfield only became involved in the Blackwater project in early 2009. The company, which went public in 2007 to develop its Mouse Mountain copper-gold project, had decided to look for a gold-focused project. So Bernier made it known to his contacts that he was looking.

“I know a lot of people in the business, and when we needed a gold property last year I just put the word out that I’m looking for a gold property,” said Bernier.

He passed along the projects that came in to Richfield’s VP of exploration, Dirk Tempelman-Kluit, who previously worked at the Geological Survey of Canada for over 28 years.

“I was giving him all these gold projects and he was throwing them back saying ‘no, no, no’, but then when I gave him this one he said ‘I don’t know if those guys realize it or not but they’re probably sitting on a million ounces right now,'” said Bernier.

Richfield optioned in to earn a 75% stake in the Blackwater-Davidson property from Silver Quest Resources (SQI-V). Richfield has now spent the required exploration expenditures of $1.5 million and is just waiting for Silver Quest to finish auditing its spending.

Two months after striking the deal with Silver Quest the company added the Dave property that sits adjacent to the south. Richfield has now fulfilled the $625,000 expenditure requirement to earn in a 100% interest in the Dave property. The company has three years to pay the outstanding cash and share payments, while the optionors keep a 2.5% net smelter return royalty.

Since optioning into the project Richfield has made significant advancements by taking a different approach.

“We focused on a bulk tonnage potential rather than vein type systems,” said Bernier. “That’s what turned this thing around…we just kept stepping out, and now we’re doing more of a resource type drilling.”

The company expects to have a resource out around March of next year, though like many juniors, Bernier does not want to rush it.

“You don’t want to put it out too soon,” said Bernier. “We don’t want to do a resource estimate yet because if we put out 2 million oz. lets say, and we’ve got 4 or 5, then [the majors] are going to start coming at us like they did with Underworld.”

For now, Bernier knows the big producers are interested but he is concentrating on drilling. The company is about to add a second drill rig and plans 50 or 60 more holes this year. Richfield has also upgraded the camp so that drilling can continue year round.

Richfield Ventures ended up 5¢ or 3.9% on the latest drill results to close at $1.35. The company has a 52-week share price range between 13¢ and $2.25 and 27 million shares outstanding, or 40 million fully diluted.