Claim staking intensifies around Goose Lake find

Staking is intensifying in the Back River area of the Northwest Territories, where Homestake Mining (TSE) is said to have made a significant gold discovery.

Homestake declined comment on the Goose Lake find, except to describe it as “interesting.” Sources say an 8-hole program on the iron-formation-hosted gold deposit intersected high grades over widths up to 100 ft. The latest participant in the gold play is Kalahari Resources (VSE), with two million acres on the Hackett River and George Lake-Goose Lake trends. President Bert Applegath plans to send several three-man prospecting teams to scour the property this summer.

To the northwest of Goose Lake, Homestake’s George Lake prospect hosts reserves of 3.4 million tons grading 0.35 oz. per ton.

“This is the coup of my career,” says veteran promoter Applegath, who has assembled an illustrious consulting group to manage Kalahari’s gold, base metal and diamond properties in the Territories.

Included in the team are Fenton Scott, past president of the Prospectors and Developers Association of Canada, geologist Jack Frost, professional engineer/claim staker Terry Heard, geologist Ed Schiller and geophysicist/prospector Peter Ferderber.

Kalahari’s land position in the Territories has grown to three million acres, including 1.1 million acres in the Lac de Gras diamond area. “We are coming to realize that it is more economical to scratch some moss in the tundra than to drill blind 4,000-ft. ($200,000) holes on strike with Noranda,” says Scott in a recent report.

Also active in the area, Lumina Investment (VSE) recently optioned two separate properties totalling 610,000 acres to Murray Pezim’s Star Dance Resources (VSE).

To earn a 50% interest in the properties, Star Dance must make cash payments totalling $375,000, issue 400,000 shares and spend $3 million on exploration and development over three years.

To finance the option, Star Dance has negotiated a private placement of 1.5 million units at 25 cents per unit. Each unit consists of one share and one warrant exercisable at 30 cents.

Pezim, a director, has acquired 279,000 shares (or 17.6%) of Star Dance for investment purposes.