Int’l Platinum drills for gold near Dryden, Ont

Drilling is scheduled to continue in early December on International Platinum Corp.’s recently acquired Eagle Lake gold property in the Dryden area of Ontario.

So far, the company has put down six drill holes totalling approximately 2,400 ft. Five of the holes have intersected coarse, visible gold in two narrow quartz veins over a strike length of 450 ft and to a depth of 400 ft.

The company notes that initial assays indicate a rich zone grading from one oz to 1.4 oz of gold per ton over widths of about 0.6 ft. Company geologists believe that an analysis of nugget effects and distribution of values suggests that the actual deposit average could be significantly higher than any of these results and would appear to indicate an important new gold discovery.

The structure is open in both directions along strike and to depth with a significant magnetic anomaly believed related to the mineralization one-half mile to the west, says the company.

The property consists of six claims, but International Platinum has staked an additional 66 claims and now holds an area covering three miles along the geological strike.

James Trusler, vice-president exploration, notes that approximately 2,000 ft of drilling will be done before Christmas. Depending on the results, the company will schedule a larger program in the new year.

At the company’s 1,000-acre Rowan Lake gold prospect in Ontario, four drill holes completed this past fall over a 200-ft strike length indicated a 150-ft-thick zone containing low grade gold mineralization. A new drill ing program is being planned to test this mineralization at depth and to test the shear zone along strike where geochemically anomalous horizons have already been outlined for more than one mile.

This company also holds interests in more than 800,000 acres of platinum exploration properties in Canada and the U.S. At the Fox River property, joint venture partner BP Selco conducted a $350,000 drilling program in this year’s second quarter with anomalous platinum values found in five zones. A $500,000 drill program is planned by BP for early 1987.

BP must spend $1 million to earn a 60% interest in the property.

At the end of the nine months ended Sept 30, International Platinum had a working capital of $1.5 million. Currently, the company has cash and short-term deposits of $1.1 million. In addition, it holds $350,000 of unexpended flow- through funds with a further $745,000 to be acquired before Nov 28 for a total of about $2.2 million in cash and flow-through funds.