Mountain Lake weighs up Bobby’s Pond

Consultants Roscoe Postle Associates (RPA) will spend the next 5 to 6 weeks completing an independent technical report on Mountain Lake Resources‘ (MOA-V) Bobby’s Pond exploration project, near Buchans, Nfld.

The report will include an update of the project’s historical (pre National Instrument 43-101) resource totalling 1.2 million tonnes grading 1.06% copper, 0.71% lead, 6.91% zinc, plus 16.8 grams silver and 0.2 gram gold per tonne. That estimate was based on 14,495 metres worth of drilling in 64 by Inco (N-T, N-N) between 1988 and 1996. The resource covers a strike length of 250 metres, down to a vertical depth of 430 metres.

RPA’s update will make use of an additional 1,181 metres sunk in 5 holes by Mountain Lake. The consultant’s report will also aim to identify new drill targets and shallow, high-grade mineralized pods.

“With the current prices for base metals reaching historical highs, I felt the time was opportune to give this project the positive attention it deserves,” said Mountain Lake chief executive Allen Sheito in a prepared statement.

Late last year, Mountain Lake said it was in the midst of “constructive discussions” with Aur Resources (AUR-T) regarding the possible toll milling of ore from Bobby’s Pond at Aur’s proposed Duck Pond mill, 30 km away.

Aur expects to have the Duck Pond copper-zinc mine up and running at the end of 2006. The mine is scheduled to produce around 41 million lbs. of copper and 76 million lbs. of zinc annually for up to 8 years.

Bobby’s Pond is the most northerly of several significant base metal prospects along the Tulks volcanic belt.

Mountain Lake agreed to buy the Bobby’s Pond massive sulphide property from Inco last May. The price tag rang in at $100,000 in cash plus 250,000 shares. The property is also subject to a 2% net smelter returns royalty payable to the original prospector.

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