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Resource Clips


Posts tagged ‘Redstar Gold Corp (RGC)’

Confederation Minerals president/director Brian Bapty on the Newman Todd option in Ontario’s Red Lake camp

April 22nd, 2013

…Read More

Red Lake reports

April 8th, 2013

Confederation/Redstar and Rubicon work towards Ontario gold PEAs

by Greg Klein

Next Page 1 | 2

Should Newman Todd begin with a small starter pit or go directly underground? That’s the question Confederation Minerals TSXV:CFM will address with its just-commissioned preliminary economic assessment, to be released later this year. On April 8 the company announced another batch of assays from its winter drill campaign in northwestern Ontario’s Red Lake Greenstone Belt. Some highlights include:

  • 1.92 grams per tonne gold over 36 metres, starting at 103 metres
  • (including 7.56 g/t over 1 metre)
  • 1.3 g/t over 38 metres, starting at 75 metres
  • (including 9.1 g/t over 1 metre)
  • 2.62 g/t over 19 metres, starting at 202 metres
  • (including 10.9 g/t over 1 metre)
  • 63.1 g/t over 0.5 metres, starting at 297 metres
  • 1.21 g/t over 22 metres, starting at 297 metres
  • (including 8.66 g/t over 1 metre)
  • 1.82 g/t over 16 metres, starting at 53 metres
  • (including 2.54 g/t over 9 metres).
Confederation/Redstar and Rubicon work towards Ontario gold PEAs

Mineralization closer to surface distinguishes
Newman Todd from other Red Lake projects.

The down-hole depths provided don’t reflect vertical depths. Intercept true widths weren’t available. No topcut was applied to assays.

Confederation describes the Newman Todd structural/alteration system as approximately 200 metres in width, with significant intercepts to depths of 850 metres from surface. Most of the April 8 assays came from drilling “within a relatively restricted area” about 200 metres along the zone’s strike length and at least 50 metres on sections perpendicular to strike, the company added. The maiden resource and PEA will focus on the project’s Hinge zone.

“One of the things with Red Lake and this type of geology is that it tends towards more vertically oriented systems,” Confederation president/director Brian Bapty tells ResourceClips. “But we have a very, very long strike length of 1.8 kilometres with good grades near surface. So if you look at other people drilling at Red Lake, they tend to be drilling quite deep. We can find near-surface ounces, which are cheaper to drill, but they don’t speak to the size of the opportunity.”

With size, however, comes challenges. “One of the problems of having a strike length of 1.8 kilometres by at least a kilometre deep is that it would take us years and cost millions to drill the entire thing out. So we want to focus our business plan on the most economic ounces, on what’s the best way forward—a starter pit or direct to underground. Answering those questions early is important to us.”

More assays are pending and drilling continues. Winter allows work on a frozen lake and marsh, Bapty points out. “After break-up we can move back onto solid ground.”

Confederation funds and operates the project under option with Redstar Gold TSXV:RGC. With its initial $5-million work requirement already complete, Confederation can achieve a 50% interest by paying Redstar $75,000 and 150,000 Confed shares. The PEA, along with another 500,000 shares, would boost Confederation’s portion to 70%.

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Confederation, Red Star report Ontario Gold Assays including 5.94 g/t over 27m

January 23rd, 2012

Resource Clips - essential news on junior gold mining and junior silver miningConfederation Minerals Ltd TSXV:CFM and Redstar Gold Corp TSXV:RGC announced assays from the Newman Todd property in the Red Lake Gold District, Ontario. Results include

60.6 g/t gold over 1 metre
21.6 g/t gold over 1.5 metres
1.34 g/t over 46 metres
1.56 g/t over 38 metres
3.83 g/t over 11 metres
3.41 g/t over 27.5 metres (including 145 g/t over 0.5 metres)
5.94 g/t over 27 metres (including 139 g/t over 1 metre)
7.11 g/t over 13 metres (including 114 g/t over 0.5 metres)

Confederation President/CEO Lawrence Dick commented, “These latest eight holes have returned some of the best gold intercepts from our outstandingly successful drill program which began approximately one year ago. All of the holes reported in this press release have been drilled along a corridor within a portion of the Newman Todd alteration-structural zone measuring approximately 800 metres long between the Hinge and Heath Bull Zones. Results to date show that high-grade gold zones are often associated with much wider zones of lower-grade mineralization. The data are showing us that often multiple shoots of high-grade gold occur within 30- to 40-metre-wide zones of 1-2 g/t gold material. We are now observing several areas with wide zones of lower-grade gold and in each case there are multiple, high-grade intercepts within them. Drilling has been very successful in identifying the gold-bearing structure and intersecting high-grade gold mineralization. The drill hole hit/miss ratio (ie. the number of holes drilled relative to the number of holes which intersected gold values) is 100 percent, which indicates an extremely high gold provenance for the NTS and bodes very positively for the future of the project.”

Confederation can earn a 50% interest in the project by spending $5 million in exploration by November 2013, and an additional 20% by producing a preliminary economic assessment by November 2016. During the earn-in period, Confederation is the operator of the project.

View Company Profile

Contact:
Confederation Minerals Ltd
Lawrence Dick
President/CEO
604.688.9588

or Redstar Gold Corp
Tim Mikula
Business Development
604.488.0051

by Ted Niles

Confederation, Red Star report Ontario Gold Assays as high as 2.17 g/t over 47m

January 12th, 2012

Resource Clips - essential news on junior gold mining and junior silver miningConfederation Minerals Ltd TSXV:CFM and Redstar Gold Corp TSXV:RGC announced results from the Newman Todd property located in the Red Lake Gold District, Ontario. Assays include

15.58 g/t gold over 2 metres (including 29.8 g/t over 1 metre)
1.04 g/t over 59 metres (including 39.5 g/t over 0.5 metres)
3.27 g/t over 15 metres (including 36.15 g/t over 1 metre)
2.17 g/t over 47 metres (including 56.8 g/t over 1 metre)
1.52 g/t over 42 metres (including 17.1 g/t over 1 metre)

Confederation CEO Lawrence Dick stated, “We are extremely pleased with results from the 2011 drill program. Although in early stages of drilling, the data to date have shown an incredible continuity of the gold mineralizing system along the entire drilled area. With the recent discovery of high-grade mineralization at surface and the depth of the current drilling, we are confident that the depth extent of the NTS far exceeds 1 kilometre and may continue up to several kilometres in depth, in keeping with the characteristics of other major mesothermal gold deposits in the Canadian Archaean.”

Confederation can earn a 50% interest in the project by spending $5 million in exploration by November 2013, and an additional 20% by producing a preliminary economic assessment by November 2016. During the earn-in period, Confederation is the operator of the project.

View Company Profile

Contact:
Confederation Minerals Ltd
Lawrence Dick
President/CEO
604.688.9588

or Redstar Gold Corp
Tim Mikula
Business Development
604.488.0051

by Ted Niles

Redstar Gold reports Alaska Gold Assays up to 4.02 g/t over 21m

November 28th, 2011

Resource Clips - essential news on junior gold mining and junior silver miningRedstar Gold Corp TSXV:RGC announced drill results from its Unga project in Alaska. Highlights include

4.14 g/t gold over 3.7 metres
1.97 g/t over 3.1 metres
1.42 g/t over 22.1 metres (including 5.38 g/t over 1.3 metres)
4.02 g/t over 21 metres (including 43.9 g/t over 1 metre)

President Scott Weekes commented, “We are extremely pleased with the initial results of our first drill program on the Unga project. Past drilling, completed in the 1980s on the Shumagin vein system, resulted in a non 43-101 compliant resource of 225,000 ounces of gold and 1,000,000 ounces of silver. Our results have confirmed the presence of an extremely rich high-grade vein system, and we are also impressed with the discovery of wide zones of near surface gold-silver mineralization. Our work highlights the potential for high-grade gold, and bulk mineable mineralization within the Shumagin system. We are also encouraged to have demonstrated strong continuity of the gold system with three holes drilled on the same section all intersecting high-grade gold within the vein. Of particular note, the highest grades and best width occurred in drill hole SH007, which was the deepest of the three, and demonstrates that the mineralizing system is still wide open at depth.”

View Company Profile

Contact:
Tim Mikula
Business Development
604.488.0051

by Ted Niles

Confederation, Redstar report Ontario Gold Results of 5.75 g/t over 11.3m

November 22nd, 2011

Resource Clips - essential news on junior gold mining and junior silver miningConfederation Minerals Ltd TSXV:CFM in joint venture with Redstar Gold Corp TSXV:RGC announced assays from their Newman Todd Property in the Red Lake Gold District of Ontario. Highlights include

5.75 g/t gold over 11.3 metres
(including 97.8 g/t over 0.5 metres)
1.11 g/t over 58 metres
(including 7.24 g/t over 1 metre)
0.97 g/t over 49 metres
(including 11.6 g/t over 1 metre)
28.8 g/t over 1 metre
3.01 g/t over 6.5 metres
(including 16.4 g/t over 1 metre)
15.9 g/t over 1 metre

Confederation can earn a 50% interest in the project by spending $5 million on exploration by November 2013. The company can earn an additional 20% by producing a preliminary economic assessment by November 2016. Confederation acts as project operator.

View Company Profile

Contact:
Confederation Minerals Ltd
Lawrence Dick
President
604.688.9588

Redstar Gold Corp
Tim Mikula
Business Development
604.488.0051

Read feature story on Confederation Minerals Ltd.

by Greg Klein

Eastern Promise

November 21st, 2011

Centerra Seeks Gold From Turkey to Mongolia

By Greg Klein

Gold has long lured adventurers to uncharted territories. But while the trades are full of stories about Africa, Centerra Gold Inc TSX:CG demonstrates the potential of Asia. In the Kyrgyz Republic on China’s western border, the company’s Kumtor Mine prepares to add an underground operation to its open-pit gold producer. Its Mongolian operations include a mill working its way through years of stockpiled ore and a new gold mine waiting for final approval. Then there are the JVs spread as far afield as Turkey, China and eastern Russia and even Nevada.

“There are a couple of other, small-scale operations in the Kyrgyz Republic, but we’re probably 95% of the gold production in that country and about 45% to 50% of the country’s industrial output,” says Centerra President/CEO Steve Lang. “There, like Mongolia, we’re 100% owners. When we step out into Russia, Turkey and China, we move into joint ventures. Overall, there’s a lot of gold in Asia but not much competition.”

Centerra Seeks Gold From Turkey to Mongolia

To support his point, Kumtor shows proven and probable reserves of 6.28 million gold ounces, measured and indicated resources of 4.13 million ounces and an inferred resource of 2.75 million ounces. The mine produced 567,802 ounces last year, with about 600,000 projected for 2011. Cash costs per ounce are now $474.

“Over the last 12 months our drilling added about four years of operation, raised the average life-of-mine grade and lowered the strip ratio,” Lang says. “We’ve got quite a bit of unexplored ground still on our licence, and we’re picking up additional packages immediately adjacent to the Kumtor package.”

The underground operation, scheduled to start in 2013, is expected to result in a 35% to 40% production increase.

Mongolia has also proved bountiful, if challenging. Centerra’s Boroo Mine produced around 1.5 million gold ounces from 2004 to November 2010, when it closed. The plan was to immediately start a new open-pit gold mine at Gatsuurt, 55 kilometres away. At that point, however, the company hit an obstacle—the 2009 Water and Forest Law, which now blocks the project. The government had approved Gatsuurt’s feasibility study in March 2008.

As VP Investor Relations John Pearson says, “The site is completely prepared. We have the admin buildings on site; the trucks fleet has been purchased; the road connecting the Gatsuurt mine site to the Boroo mill is complete. Everything is ready to go.” He adds, however, “Until the government and parliament resolve the issues with that particular piece of legislation, Gatsuurt is currently on hold waiting the final approval.”

Other mining companies have also run afoul of the Mongolian government. The most recent was Ivanhoe Mines TSX:IVN, 49% owned by Rio Tinto, which is building Ivanhoe’s Oyu Tolgoi Mine in Mongolia. Last September, the government demanded an increase in its 34% interest, despite an agreement preventing it from doing so until 2039. The miners stood their ground. In early October, the government appeared to relent in a public statement reaffirming support for the project.

Meanwhile, Centerra’s Boroo mill keeps busy processing a stockpile built up before its adjacent mine closed. Even without Gatsuurt, the mill will process an estimated 50,000 to 60,000 ounces in 2011, with an incremental gain next year. “At the current gold price, our stockpiles will probably last two or three more years,” says Pearson.

In northeastern Mongolia, some 800 kilometres from Boroo, Centerra drills its Altan Tsagaan Ovoo Prospect. Assays announced July 11 include

  • 3.91 grams per tonne gold, 10.81 g/t silver, 0.87% lead and 1.08% zinc over 113.5 metres
  • 2.89 g/t gold, 6.52 g/t silver, 1.04% lead and 1.1% zinc over 147 metres
  • 2.09 g/t gold, 8.32 g/t silver, 0.81% lead and 1.58% zinc over 196 metres
  • 2.15 g/t gold, 12.95 g/t silver, 0.32% lead and 0.52% zinc over 183.4 metres

“We’ll have a resource estimate on that at year-end,” Lang says. “It’s still fairly early stage but an exciting project.”

We’re trying to spend something close to $60 million a year. If we can do that consistently over a period of time, that should lead to a million and a half ounces of annual production —Steve Lang

The company’s other Mongolia project is the Sumber Joint Venture with Altairgold LLC, in which Centerra may earn up to a 75% interest in the former gold mine.

In the Russian republic of Tyva, bordering northwestern Mongolia, Centerra holds a 50% interest, with an option to earn a further 20%, in the Kara Beldyr Gold Project, where drilling is underway.

In Turkey, Centerra’s JV with Eurasian Minerals TSXV:EMX allows up to a 70% interest in the Akarca, Samli and Emali projects.

Another Turkey JV, with Stratex International, offers Centerra up to 70% of the Oksut Project, which has an Australian JORC (non-43-101) resource estimate of 163,849 gold ounces indicated and 153,407 inferred.

In Nevada, the company acts as project operator for the Tonopah Divide Gold Project, in which it holds a 60% interest under an option with Tonogold Resources. Centerra may also earn a 75% interest in another Nevada JV, the Oasis Gold Project, with Redstar Gold TSXV:RGC.

Finally, Centerra has signed a letter of intent for another JV, the Laogouxi Gold Project in northeastern China.

“We want to keep expanding our exploration,” Lang says. “This year we’re at about $40 million. We’re trying to spend something close to $60 million a year. If we can do that consistently over a period of time, that should lead to a million and a half ounces of annual production. To do that, we need to continue adding projects in the early exploration level.”

Earlier this month, Centerra posted revenue of $772.4 million for the first three quarters of 2011, up 46% over the same period last year. Net earnings for that period were $291.5 million, $1.23 per share, while 3Q net earnings were $83.5 million, $0.35 per share. Third quarter gold production was 154,936 ounces at $556 per ounce. The company’s cash and equivalents were $271.7 million.

At press time, Centerra had 236.3 million shares trading at $20.59 for a market cap of $4.87 billion.

Confederation, Redstar report Ontario Gold Results of 343 g/t over 0.6m

November 2nd, 2011

Resource Clips - essential news on junior gold mining and junior silver miningConfederation Minerals Ltd TSXV:CFM in joint venture with Redstar Gold Corp TSXV:RGC announced assays from their Newman Todd Property in the Red Lake Gold District of Ontario. Highlights include

343 g/t gold over 0.6 metres
2.49 g/t over 15 metres
(including 4.06 g/t over 7.5 metres)
1.35 g/t over 25 metres
(including 5.91 g/t over 2 metres)
1.18 g/t over 32 metres
(including 10.91 g/t over 1 metre)
1.66 g/t over 20 metres
(including 7.16 g/t over 1 metre)
1.18 g/t over 21 metres
(including 3.51 g/t over 5 metres)

Confederation can earn a 50% interest in the project by spending $5 million on exploration by November 2013. The company can earn an additional 20% by producing a preliminary economic assessment by November 2016. Confederation acts as project operator.

View Company Profile

Contact:
Confederation Minerals Ltd
Lawrence Dick
President
604.688.9588

Redstar Gold Corp
Tim Mikula
Business Development
604.488.0051

Read more about Confederation Minerals Ltd.

by Greg Klein

Redstar, Confederation report Ontario Gold Assays as high as 5.23 g/t over 22m

October 19th, 2011

Resource Clips - essential news on junior gold mining and junior silver miningRedstar Gold Corp TSXV:RGC in joint venture with Confederation Minerals Ltd TSXV:CFM announced assay results from the Newman Todd property in the Red Lake Gold District, Ontario. Highlights include

1 g/t gold over 12 metres
1.29 g/t over 22 metres
6.07 g/t over 1 metre
1.6 g/t over 8 metres
7.16 g/t over 2 metres (including 10.8 g/t over 1 metre)
5.23 g/t over 22 metres (including 20.15 g/t over 2 metres)
8.34 g/t over 7 metres (including 18.17 g/t over 3 metres)
1.69 g/t over 7 metres
6.08 g/t over 1 metre

Confederation can earn a 50% interest in the property by spending $5 million by November 2013, during which period it is the project operator. Confederation President/CEO Lawrence Dick said, “We continue to be impressed by the results from the ongoing drill program at Newman Todd. The latest results continue to highlight the potential of this new high-grade gold discovery in the Red Lake camp. Drilling within the Hinge Zone area has now returned some of the widest intercepts of high grade gold mineralization on the property. While gold mineralization is being intersected across the entire strike of the NTS, the Hinge Zone area is quickly becoming a priority target – eight of the nine holes completed in the area returned gold values greater than 10 g/t including 9 intercepts of greater than 20g/t gold and 4 intercepts greater than 30 g/t gold. The aggressive drill program in 2011 is adding significantly to our understanding of the nature and continuity of the gold mineralization at Newman Todd. With two drills currently still active on the project and results still pending for 23 holes, management expects significant news flow from Newman Todd for the remainder of 2011.”

View Company Profile

Contact:
Confederation Minerals Ltd
Lawrence Dick
President/CEO
604.688.9588

or Redstar Gold Corp
Tim Mikula
Investor Relations
604.488.0051

by Ted Niles

Confederation, Redstar report Ontario Gold Assays up to 242 g/t over 0.5m

September 12th, 2011

Resource Clips - essential news on junior gold mining and junior silver miningConfederation Minerals Ltd TSXV:CFM in joint venture with Redstar Gold Corp TSXV:RGC announced results from their Newman Todd Property in the Red Lake Gold District of Ontario. Highlights include 242 g/t gold over 0.5 metres, 69.7 g/t over 0.5 metres, 1.13 g/t over 28 metres (including 5.2 g/t over 1.5 metres), 31.1 g/t over 1 metre, 24.1 g/t over 1 metre and 12.86 g/t over 1 metre (including 24.5 g/t over 0.5 metres).

Confederation can earn a 50% interest in the project by spending $5 million in exploration by November 2013. The company can earn an additional 20% by producing a preliminary economic assessment by November 2016.

View Company Profile

Contact:
Confederation Minerals Ltd
Lawrence Dick
President
604.688.9588

Redstar Gold Corp
Tim Mikula
Investor Relations
604.488.0051

by Greg Klein