Fredonia looks good to Eaglecrest

Eaglecrest Explorations (eel-v) turned in some interesting results from a first-pass sampling program at its Fredonia gold project in Colombia.
The highlight assay returned 8.25 grams gold per tonne and 47.5 grams silver per tonne and came from an outcrop channel chip sample from the eastern part of the project.
Gold mineralization in the area occurs in quartz veins, hosted in Proterozoic metamorphic rocks. The area was targeted because of small-scale artisanal mining along several vein structures in the area.
Lower grades were also hit upon in the central portion of the project, where the company says gold mineralization is hosted in a diorite porphyry and volcanic breccia. The chip sample there graded 0.33 gram gold and 5.4 grams silver.
The latter result came from what is known as the Quebrada Garrucha sector which sits 2 km east of Bellhaven Copper and Gold’s (bhv-v) La Mina concession.
The company completed a reconnaissance program in the area surrounding La Mina and plans to launch its 2011 exploration program in the area.
It says it will drill 5,000 metres by June, followed by a 10,000-metre program later this year.
Eaglecrest describes the 19.8-sq.-km Fredonia property as unexplored. It has an option to earn up to a 75% interest in Fredonia from the privately-held Colombian miner Grupo de Bullet. Eaglecrest gave Grupo 1 million shares and 1 million warrants at the signing of the deal, and will have to spend $2.8 million on exploration and pay Grupo $150,000 to get up to a 50% stake. Eaglecrest moves up to a 75% stake if it advances the project to a feasibility stage.
“These early results from the Fredonia project are further evidence that we have secured a very good area,” Hans Rasmussen, Eaglecrest’s chief executive, said in a statement.
 In Toronto on Dec. 20 – the day the results were released – Eaglecrest shares were up 8% to 39¢ on 34,000 shares traded. The company has a 52-week range between 30¢ and 72¢, and 51.3 million shares outstanding.