Partners scratch gold potential of Dogpaw Lake

A first-phase program, budgeted at $500,000, will test the gold potential of the Dogpaw Lake property in the Kenora district of northwestern Ontario.

Houston Lake Mining (HLM-A) holds an option to acquire a 70% interest in the property from Canadian Arrow Mines (CAML-C) by spending $1.75 million on a 3-phase program of exploration and development, and by issuing 200,000 units (1 share plus half a share purchase warrant). Once the terms are fulfilled, a joint venture will be formed and both companies will contribute to further work programs.

The Dogpaw Lake property is 14 km west of the Cameron Lake gold property (held by Nuinsco and Cambior), which is reported to contain 3.2 million tons grading 0.17 oz. gold per ton.

Joel Scodnik, president of Houston Lake, and John Larche, president of Canadian Arrow Mines, report that exploration work will begin once the secondary gravel road to the property has been upgraded.

The property hosts 10 known gold occurrences. Previous work tested two vein systems, which consist of silicified and carbonatized veins and/or replacement zones with up to 10% pyrite. The mineralization is believed to be fracture-controlled and possibly related to the Dalby Bay shear, which traverses the property over some 1,000 metres.

The first-phase program will consist of geological compilation, mapping, power stripping, geophysics and a 5,000-metre drill program.