Drilling with two machines is being resumed on the Richardson Lake gold discovery of Golden Terrace Resources, Garry K. Smith, the company’s geologist and newly appointed president, tells The Northern Miner. Located 70 miles east of Red Lake, Ont., announcement of this discovery last summer made market waves, propelling the stock to a peak of $3.75 in hectic trading. It slumped to 55 cents in this week’s market debacle.
To finance the new program, the company has just raised an additional $750,000 via a flow-through agreement with Tap Mineral Management Ltd.
At that time it was announced that the first of 18 holes, none deeper than 250 ft. intersected 0.254 oz gold across 25.3 ft.
According to Smith, 60% of the subsequent stage 1 drill holes, none of which was deeper than 250 ft, returned encouraging intersections from which he infers a deposit of at least 100,000 tons of potential ore grade.
The new program, which will probe the deposit to 500 ft, calls for 30,000 ft of drilling in 41 holes. Eleven will be drilled from land while another 30 will be drilled from the ice tracing the zone southward under the lake.
The company is also planning to drill its 330-ac property at Bancroft Lake in the Pickle Lake area adjacent to holdings of Lac Minerals, which he believes holds an extension of that company’s Ben Lake deposit.
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