Golden Goliath Lands Partners to Help Work Chihuahua Claims

Vancouver — For a junior explorer, Golden Goliath Resources (GNG-V, GGTHF-O) has a lot on its plate in Chihuahua, Mexico. In order to keep focused on its principal property — the Uruachic mining camp in the centre of the Sierra Madre Occidental — the company has recently arranged a number of joint ventures for its more distant properties, one of them with Pan American Silver (PAA-T, PAAS-Q).

Golden Goliath recently announced an option and joint-venture agreement with a Mexican subsidiary of Pan American, Minera Corner Bay, for the early stage exploration of Golden Goliath’s La Cruz property. La Cruz, on the eastern edge of the Sierra Madre Occidental, hosts extensive old underground workings and dumps that have been inactive for at least 75 years.

The agreement gives Corner Bay the right to earn a 60% interest in La Cruz by making cash payments totalling US$300,000 and spending US$450,000 on the property over three years. The deal includes Golden Goliath’s La Cruz claims, additional ground to be staked around La Cruz, and the La Cruzada property, for which Corner Bay already has an option.

Earlier in the year, Golden Goliath found a partner in privately held Comstock Capital for two of its other claims. Comstock has the right to earn a 60% interest in the Corona and Chamizal properties. Corona is one the properties that makes up the western group in the Uruachic camp, in western Chihuahua, while Chamizal, in central Chihuahua, is Golden Goliath’s most distant property.

With joint-venture partners taking charge at La Cruz, Chamizal, and Corona, Golden Goliath is free to concentrate on its flagship site. Uruachic is a historic mining camp, where the bulk of production occurred between 1750 and 1825. The main town in the district, Uruachic even minted its own silver coins. Golden Goliath’s holdings in the area are made up of seven different properties in four groupings spread along a 25-km stretch. The company is currently focusing on the more tightly grouped eastern properties.

The Uruachic camp covers an intense alteration zone associated with a collapsed volcanic caldera structure. The 84-sq.-km property lies in the Lower Volcanic Sequence of the Sierra Madre, which is the host unit for some 95% of the belt’s precious metal mineralization. Within Uruachic, Golden Goliath has identified six types of geological targets, ranging from old showings and high-grade oreshoots to breccia-hosted tabular silver mineralization and stratabound base metal mineralization in bedded tuffs.

The company recently completed six diamond-drill holes in the vicinity of the old San Martin mine, part of the San Timoteo property in the northeast corner of the Uruachic camp, as well as five holes in a target area between the San Martin mine and the old Las Animas mine. Assays are pending.

Golden Goliath plans to have four drill rigs working at Uruachic over the next few months. Over the last two months, the company constructed 14.5 km of drill access roads and 30 drill pads in preparation for the enlarged drill program.

The Chamizal property, in central Chihuahua, is a lead-zinc-silver target outside of the Sierra Madre. There are old mine workings in the northeast and southwest portions of the property, and the southwestern workings comprise two tunnels that total more than 400 metres in length and contain large stopes where replacement-style lead-zinc-silver mineralization was mined.

Golden Goliath has a 52-week trading range of 23.5-55 with 42.3 million shares issued.