Gold Fields explores Eskay camp

A recent option agreement allows Gold Fields Mining to earn a 50% interest in the Lakewater property near Eskay Creek by spending $4 million over five years.

The northwest British Columbia property is currently owned equally by Varitech Resources (VSE), Tymar Resources (VSE) and Akiko-Lori Gold (VSE). About $1 million has been spent on the property to date, including 11,750 ft. of drilling in 24 holes last year. Most of the holes intersected low-grade gold-silver-lead-zinc veins.

A 2-phase, $420,000 exploration program has started on the claims to define Eskay Creek-type gold targets for drilling this year.

After Gold Fields has contributed $4 million to the Lakewater project on behalf of Varitech and Akiko-Lori, and Tymar has contributed about $2 million, the Lakewater joint venture will be held 50% by Gold Fields, 33.3% by Tymar and 16.2% by Varitech. Akiko will retain a 1.5% net smelter return royalty.