Toronto-listed St. Genevieve Resources (TSE) can earn an indirect interest in Koryakiya Mining Co., the owner of a gold deposit on the Kamchatka Peninsula of Russia.
The Ametistovoye deposit, a vein system in volcanic rocks resembling an epithermal-type deposit, is near the port of Korf on the Bering Sea.
Proven reserves stand at 6 million tonnes grading 14.8 grams gold and 60 grams silver per tonne, while a contained resource is estimated at 99.5 million grams (3.2 million oz.) gold and 384 million grams (11.2 million oz.) silver. As is the custom in Russia, the reserve calculations are based only on the top 200 metres of the deposit (yet mineralization is known to persist below that level).
Far East Gold, 25% of which is owned by St. Genevieve, can acquire a 51% interest in Koryakiya by financing a feasibility study and paying US$1.5 million to the vendor. Far East can then acquire another 19% interest at a price determined by the total resource estimated in the feasibility study and by the share price on the issue date.
Meanwhile, in Guinea, West Africa, St. Genevieve’s 50% joint venture with Semafo on a 950-sq.-km concession is being explored by geochemistry and surface trenching. Drilling will begin as soon as permits are in place.
A series of 20 trenches on the Jean structure tested a strike length of half a kilometre and averaged 2 grams gold per tonne over an average width of 12 metres. On the Gobele vein, 15 trenches over a 350-metre strike length uncovered mineralized zones averaging 11.6 metres wide and grading 4 grams gold per tonne.
Orientation geochemistry over the Gobele structure confirmed that anomalous gold values in soils over the known mineralization form an anomaly pattern 150 metres wide by 550 metres long. A similar target has been outlined by reconnaissance soil geochemistry over a structure parallel to the Gobele vein.
Another geochemical anomaly, coincident with a linear zone identified from Landsat (satellite) photography, is being investigated on the concession.
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