The Elk gold property in southern British Columbia is now owned 100% by Fairfield Minerals (TSE) following a recent buy-out agreement with Placer Dome (TSE). The Siwash North deposit on the property is reported to contain preliminary reserves totalling 234,000 tons grading 0.63 oz. gold and 0.64 oz. silver per ton, using a cut-off grade of 0.3 oz. gold over a 6.6 ft. mining width. This calculation is based on results from surface sampling and 70 drill holes totalling 20,000 ft.
Fairfield is confident this resource can be substantially expanded, and a $1.2 million program to include 25,000 ft. of drilling is planned for this year.
To date, five potential ore shoots have been identified within the mineralized vein system over a strike length of 2,600 ft., with the shoots still open both along strike and down dip.
Fairfield increased its interest in the project by purchasing the 50% interest held by Placer. The company agreed to pay to Placer 10% of net proceeds to a maximum $2.5 million from production. The net proceeds interest can be bought for $1.3 million by the end of 1993.
Placer also released from option the Bank gold property, south of Elk, where recent exploration outlined several gold targets with similarities to Siwash North.
Fairfield now has 10 road-accessible properties totalling 230 square miles near Merritt. Two of these, the Vin and Dill copper-gold properties, are under option to Placer.
A first-phase $400,000 program to include 6,000 ft. of drilling will begin in June on the Dill property. The exploration focus is a potential bulk-tonnage copper-gold deposit indicated by geochemistry, geophysics and a few widespread diamond drill holes cored in the 1960s. 0.47 oz. silver.
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