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July 24, 2014 --- Vol. 08, No. 30July 2014

Yukon Territory

GOLD – Britannia Mining Inc. July 23 reported the execution of a memorandum of understanding to forge a partnership with an unnamed gold investment holding company in the United Arab Emirates. Britannia said the MOU will broaden its ability to fund, mine and trade precious metals. Britannia, a New York-based company formed upon the merging of Micron Enviro Systems and Britannia Mining Plc (United Kingdoms) – has a portfolio that includes iron projects in Malawi and Malaysia, a coal project in Malawi and a group of six placer gold claims in the Yukon Territory. “For Britannia, a highlight of this relationship is that we will strengthen our position to acquire and develop a number of gold opportunities, with a view to supply an established gold buying network,” said Britannia CEO Kenneth Roberts. “The UAE group will look to provide resources to develop and purchase gold from prospects supplied by Britannia, which is good news for our pipeline projects including the company’s Yukon gold claims.” Britannia said the parties have begun an evaluation of several acquisition targets and gold trading opportunities, with idea of entering joint venture arrangements along with sales and purchase contracts. “The UAE company is a thriving group that is constantly seeking new companies to join forces with to mutually expand within the precious metals space,” said Roberts. “The tie up with Britannia should prove to be beneficial to both parties.” Britannia said it is considering a program of aerial surveying and scoping studies across its 300 acres of placer mining claims in the Yukon Territory.

GOLD – ATAC Resources Ltd. July 23 reported positive results from a preliminary economic assessment completed for the oxide portion of the Tiger deposit located at the western end of the company's Rackla gold project. The Tiger deposit was discovered in 2007 and is distinct from the more recent larger scale Carlin-type discoveries located 100 kilometers (60 miles) to the east, which remain the exploration focus of ATAC. The PEA envisions a seasonal open-pit mine with single-stage, low intensity crushing followed by size classification, no grinding needed. Over the four-year seasonal mine-life, the operation outlined in the PEA would produce 221,558 ounces of gold from 2.06 million metric tons of oxide material at an average diluted grade of 3.72 grams per metric ton gold. Overall gold recoveries of 89.8 percent from hybrid heap-leach (87.8 percent) and agitated tank (91 percent) carbon-in-leach process are expected. At a US$1,250 gold price, this operation is projected to result in a pre-tax net present value (5 percent discount) of C$52.1 million and an internal rate of return of 30 percent, with an all-in sustaining cash cost of C$626 per ounce of gold produced. At a US$1,350 per ounce gold price the pre-tax NPV (5 percent discount) increases to C$72.6 million and IRR climbs to 39.5 percent. Pit-slope engineering, Tiger deposit infill drilling and exploration of numerous untested nearby oxide targets are among a number of opportunities the PEA noted as having the potential to enhance the value of the project economics. “Although we remain focused on the Carlin-type gold targets 100 kilometers to the east, we are very pleased with the results of the comprehensive Tiger Deposit PEA. It gives the company a clear understanding of the potential viability and value of our first Rackla Gold Project discovery, and highlights the advantages of a rare high-grade, at surface, oxide gold deposit that is located in one of the most favorable mining jurisdictions in the world, ATAC CEO Graham Downs explained. “The simplicity of the mining and processing combined with the approach of modular design and construction for the on-site facilities has resulted in an optimized development scenario for this size of deposit. Additional geotechnical and resource drilling at the Tiger deposit combined with exploration drilling at over six untested satellite oxide targets has the potential to significantly enhance the PEA and the district potential of the Rackla Gold Project.” The lead engineering firm for the PEA was Kappes Cassiday & Associates in cooperation with Tetra Tech, Inc. (mining), Giroux Consultants Ltd., Resource Strategies and Gerald G. Carlson, Ph.D., P.Eng.

FINANCE – Duncastle Gold Corp. July 23 reported that the Government of Yukon has awarded a Yukon Mineral Exploration Program grant to its Catalyst platinum group metal-nickel copper project, located 260 kilometers west of Whitehorse and adjacent to the Wellgreen PGM-Ni-Cu project. YMEP is a funding program designed to support individuals and companies in their search of mineral deposits by shouldering a portion of the risk capital required to explore for mineral occurrences. The Arch Zone, located on the western portion of Catalyst and adjacent to Wellgreen, may receive contribution funds in an amount equal to 50 percent of eligible exploration expenses up to C$50,000 dollars, the maximum allotted by YMEP.

GOLD/SILVER – Rockhaven Resources Ltd. July 22 reported results for five additional drill holes from the 2014 program at its Klaza gold-silver property in southern Yukon Territory. The Western BRX Zone, a 750-meter-long linear structure hosting high-grade gold and silver veins emplaced in close proximity to a feldspar porphyry dyke, is the main target of this year’s 12,000-meter diamond drill program at Klaza. Highlights from the new assay results from drilling at Western BRX Zone are: 26.8 grams per metric ton gold and 705 g/t silver over 0.84 meters, and 29.3 g/t gold and 36.8 g/t silver over 1.01 meters in hole 144; 10.79 g/t gold and 121 g/t silver over 2.9 meters in hole 145; and 15.95 g/t gold and 123 g/t silver over 1.89 meters in hole 147. “These new high-grade intercepts provide further confirmation of the excellent continuity and size potential of the Western BRX Zone,” said Rockhaven CEO Matt Turner. “Systematic drilling continues within the Western BRX and Western Klaza zones, with a total of 46 holes successfully completed to date.” Rockhaven said the infill and step-out drilling at Western BRX has further confirmed the continuity of the structure while delineating areas of high-grade gold and silver mineralization. Twelve of the 13 holes reported from 2014 drilling have tested a 400-meter section of this zone.

FINANCE – Kaminak Gold Corp. July 22 the company has closed the private placement financing with Ross Beaty and Zebra Holdings and Investments S.à.r.l., Luxembourg (a company owned by a trust whose settlor was the late Adolf H. Lundin) announced on July 14. Kaminak issued 16.9 million units at a price of C80 cents per unit, for gross proceeds of C$13.52 million. Each unit consists of one common share of the company and one-half of one common share purchase warrant. Each warrant entitles the holder thereof to purchase one common share at a price equal to $1.20 for a period of 12 months following closing. Each purchaser received the right to nominate one person to the company’s board of directors and a pre-emptive right to participate in any future proposed equity offering of the company in order to maintain its pro-rata shareholding, subject to certain exceptions. These rights can only be exercised by a purchaser if it owns more than a 5 percent interest in the company. The company intends to use the net proceeds of the offering for continued exploration and development of the company’s Coffee Gold Project in Yukon, Canada. The securities issued under the offering are subject to a hold period which will expire four months and one day from the date of closing, being Nov. 17.

STOCK OPTIONS – Strategic Metals Ltd. July 21 reported that it has granted incentive stock options under its incentive stock option plan to its directors, officers, consultants and employees, entitling them to purchase up to a total of 1,005,000 shares at a price of C45 cents per share for a period of five years. All of these options are subject to vesting provisions under which 25 percent of the options will vest at the conclusion of each three months during the first year of the exercise period. Strategic is a pre-eminent explorer and claim holder in the Yukon, with an exceptional portfolio of more than 140 mineral property and royalty interests. The company has a current cash position of more than C$32 million and large shareholdings including 8.8 percent of Atac Resources Ltd., 19.9 percent of Silver Range Resources Ltd. and 30.88 percent of Rockhaven Resources Ltd.


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