PNWC buoyed by resource estimate at River Valley

Vancouver — Pacific North West Capital (PFN-T) is encouraged by an independent resource estimate for its River Valley platinum group metal property, near Sudbury, Ont.

The combined in situ resource of the Dana Lake and Lismer’s Ridge prospects is pegged at 12.7 million tonnes grading 0.35 gram platinum, 1.04 grams palladium and 0.07 gram gold per tonne, according to Derry, Michener, Booth and Wahl Consultants. The figure translates into a contained resource of 142,000 oz. platinum, 424,000 oz. palladium and 27,000 oz. gold. The resource was calculated using a combined platinum-palladium cutoff grade of 0.7 gram per tonne.

Derry, Michener states that further drilling on the mineralized zones, both along strike and downdip, could potentially increase the resource.

With this in mind, Pacific North West has submitted a program and budget to its partner, Anglo American Platinum (AAPTY-O), which details work to be completed over the next 12 months. Drilling is expected, though no details have been released.

To date, Pacific North West has drilled 138 holes at the property. Mineralization at Dana Lake is divided into two zones, both of which remain open. The Dana Lake South zone has been traced for 300 metres and to a depth of 290 metres, whereas Dana Lake North has been traced for 500 metres along strike and to a depth of 200 metres. Lismer’s Ridge, about 2 km to the southeast, is also a contact-mineralization target; it has been traced over a strike length of 500 metres.

Exploration at River Valley is funded by Anglo American Platinum as part of its requirements to earn up to a 65% interest in the project. The major must also raise financing for development.

Measured and Indicated are represented as “M&I” in the accompanying table, which provides details of the resource estimate.