Three companies start program at B.C. gold bet

A major work program is under way at the Richfield gold property 25 miles north of Houston, B.C. Mountain West Resources, Sirius Resource Corp. and Esso Resources Canada are involved in the joint venture program which has been budgeted at $708,000 for three phases.

The phase one program has largely been completed. It consisted of data compilation, relogging and sampling of several past drill holes, an evaluation of previous geophysical work and a geochemical orientation survey.

The next phase has been budgeted at $326,000 and will comprise 18,000 ft of reverse circulation drilling divided into two parts. Approximately 75 holes are planned and the time between the programs will allow proper data compilation and a redirection of drilling if necessary. Diamond drilling is planned in the third phase to follow up on the reverse circulation program.

Drill-indicated reserves are now 170,000 tons grading 0.12 oz gold and 5.6 oz silver. Of the four holes completed earlier this year to expand reserves, two encountered the gold- bearing horizon. The third hit the edge of the zone suggesting it is curving to the northwest, says the joint venture. A fourth hole to the north encountered mineralization in a new zone or a new ore shoot within the original zone.

Mineralization is interpreted as occurring within a fault-related epithermal system and the objective of the phase two program is to explore for additional shoots along strike of the fault zone, the companies say.