|I. COMPANY OVERVIEW
II. BROULAN REEF GOLD PROJECT, RED LAKE, NORTHWESTERN ONTARIO
III. TWENTY-ONE SILVER-GOLD PROJECT, MINERAL COUNTY, NEVADA|
Cypress Development Corp. is a Canadian gold and base metal exploration company developing projects in Red Lake, Ontario, Canada, and in Nevada, U.S.A.
Red Lake in northwestern Ontario remains one of the richest and most prolific producing gold camps in Canadian mining history with more than 30 million ounces of gold recovered. Cypress holds an 84.3% and 80% interest, respectively, in the Broulan Reef and McKenzie Island projects in the heart of the Red Lake gold camp. The properties are located adjacent to the south and west of Goldcorp's Cochenour / Bruce Channel Deposit, adjacent to the west of Goldcorp's / Premier Gold's Rahill-Bonanza gold project, and 5 miles due west of Goldcorp's operating Red Lake and Campbell gold mines.
Cypress believes its property, on strike and adjacent to Goldcorp's Cochenour / Bruce Channel Deposit to the north, is ideally located for the potential extension of this newly developed gold zone onto the Company's Broulan Reef ground. Additionally, geologic maps show west-southwest striking mineralized structures on the Rahill-Bonanza project continuing onto the Broulan Reef property. The current drilling is targeting these structures.
The Company also owns a 100% interest in the Twenty-One Silver-Gold Project located approximately 100 miles southeast of Carson City, Nevada. Other mining districts in the area include Tonapah, Paradise Peak and Santa Fe, which have a combined production of approximately 4 million ounces of gold and 500 million ounces of silver. Grab samples of exposed quartz breccia veins on the Twenty-One Silver-Gold property returned assay values from 211 g/t (6.5 ounces) silver to 2100 g/t (67.7 ounces) silver and up to 3 g/t gold.
Cypress Development Corp.'s goal is to increase shareholder value by developing exploration projects near world-class deposits that have the potential of becoming new discoveries.
Broulan Reef Gold Project, Red Lake, Northwestern Ontario
i. The Broulan Reef Property
Location of East McKenzie Island and Broulan Reef Gold Properties to Goldcorp's Cochenour/Bruce Channel Deposit
Broulan Reef — Gold Eagle Mines Drill View Map
The Broulan Reef property is comprised of 10 mineral claims situated adjacent to the south of Goldcorp's Cochenour / Bruce Channel Deposit (BCD). The property is 5 miles due west of Goldcorp's (TSX: G) operating Red Lake and Campbell gold mines.
Red Lake, Ontario Claims Map
ii. The Broulan Reef Property Location and the Adjacent Gold Discoveries and Deposits
Two of the main gold producing trends in Red Lake converge on the Broulan Reef property as identified by ground magnetic surveys. The property is located at the southern extent of the East Bay Deformation zone and at the west end of the Mine Trend Deformation zone that is host to the Goldcorp Red Lake Mine and Campbell Mine. The resulting structural complexities are likely to have produced numerous favorable depositional settings in this "gold prone" section of the Red Lake belt. The property also lies at the apex of a regional nose fold in the Bruce Channel sediments.
Both the Cochenour / Bruce Channel Deposit (Goldcorp) adjacent to the north and the Rahill-Bonanza project Premier Gold Mines' (TSX: PG) and Goldcorp joint venture) located to the east have had significant discoveries made since 2005 in sedimentary rocks of the Bruce Channel and are the subject of ongoing exploration and delineation drilling.
Broulan Reef Area Geology Map
Broulan Reef Area Magnetometre Data
Broulan Reef Prospective Bruce Channel Zone (Top View)
The Bruce Channel deposit, located on Goldcorp's Gold Eagle property, is situated along the prolific Red Lake Trend and is adjacent to the north of the Broulan Reef. The BCD is immediately southwest of Goldcorp's past-producing Cochenour-Willans Mine which produced approximately 1.2 million ounces of gold from 2 million tonnes of ore at a recovered grade of 18.5 grams gold per tonne.
Gold Eagle Mines Ltd. did over 85,000 metres of diamond drilling on the Bruce Channel deposit. The deposit is located approximately 800 metres beneath the shallow Bruce Channel waterway that separates McKenzie Island from the mainland. The current "footprint" of the BCD mineralized envelope is 1.45 kilometres vertically and horizontally, approximately 800 metres in a NE-SW direction and 450 metres in a NW-SE direction. Based on the exploration work done to date, there is an estimated 8-13 million ounces grading 0.3 to 0.5 ounces per tonne gold in the Bruce Channel deposit and the mineralized envelope remains open in all directions.
In September of 2008, Goldcorp Inc. announced it acquired Gold Eagle Mines Ltd. valued at approximately $1.3 billion. Under the Plan of Arrangement, shareholders of Gold Eagle received at their election and subject to proration either C$13.60 in cash or 0.292 of a share of Goldcorp or any combination thereof, for each Gold Eagle share they held. Gold Eagle's principal asset was the Bruce Channel gold deposit. The Bruce Channel deposit is currently being prepared by Goldcorp for development through the Cochenour mine shaft and a high speed tram to the main milling complex in Balmertown.
Goldcorp's / Premier Gold's Rahill‐Bonanza joint venture project (51% Goldcorp and 49% Premier Gold) adjacent to the east of the Broulan Reef hosts numerous high grade gold deposits and discoveries as it sits on the prolific Red Lake Mine Trend. Data indicates that these gold zones are hosted in and around sheared ultramafic bodies within the Balmer formation.
Recent exploration and developments on the Rahill-Bonanza joint venture project along with detailed analysis of compiled proprietary and public data have resulted in the identification of a high quality drill target in the eastern portion of Cypress' Broulan Reef property. The target includes structurally controlled gold mineralization within the Balmer formation at depths less than 1500 metres from surface. Geologic maps published by the Geologic Survey of Canada (GSC) show the west-southwest striking structures being explored by the Goldcorp-Premier joint venture continuing onto the Broulan Reef property.
The GSC and other publically available mapping clearly show the target area is underlain by a structurally complex assemblage of the Bruce Channel Formation and the underlying Balmer mafic to ultramafic volcanic units. This structural complexity is considered to be very favorable for the existence of gold mineralization.
iii. Past Exploration on the Broulan Reef Property
The Broulan Reef property never had any detailed exploration conducted on it prior to Cypress Development and Skyharbour Resources acquiring the ground in January of 2006. Cypress has been aggressive in its exploration approach to the Broulan Reef project which is adjacent to and on strike to the major Bruce Channel gold deposit.
In April of 2006, Cypress announced its Phase 1 exploration program on its Broulan Reef property had been completed and results to date were highly encouraging. A structural / lithological framework was clearly identified from the ground magnetic data and a preliminary geological model emerged from the shallow diamond drilling.
President Don Huston Outside Red Lake Office and Core Shack, July 2006
Dave Busch and President Don Huston with First Core from Broulan Reef 2006 Summer Drill Program
Cypress Development's Phase 2 drill program commenced in the summer of 2006 and consisted of two approximately 1,500 metre (5,000 feet) holes drilled deeper into the regional fold closures of the Bruce Channel sedimentary horizons.
This drill program identified a relatively shallow dip to the underlying Balmer Assemblage rocks and established that targets within the Balmer Assemblage rocks are within drill range. The Balmer Assemblage refers to the oldest rocks in the Uchi sub-province and "consists of basaltic tholeiite and komatiite flows with intercalated magnetite-quartz iron formation."
Low but widespread gold values were identified within structural features in the Bruce Channel rocks which are located above the prospective Balmer Assemblage rocks. A number of scattered short intercepts of between 0.2 and 2.35 grams per tonne gold were encountered in both holes including 0.45 grams per tonne between 1,256 and 1,269 metres in one of the holes.
The information gained from the 2006 Phase 2 drill program has been critical in evaluating deeper targets within favorable Balmer Assemblage rocks. Identified targets have structural links to gold bearing zones reported from Balmer Assemblage rocks immediately north on the Gold Eagle Mines property (Goldcorp).
New Red Lake Gold Deposits
With the drilling to date having encountered numerous gold bearing zones and with the ideal geological location of the property, there was significant potential that warranted a deeper 2008 Phase 3 diamond drill program.
On May 3rd 2007, Cypress announced a private placement of 4,000,000 units at a price of $0.65 per unit with Goldcorp Inc. Each warrant entitles Goldcorp to purchase an additional common share of the Company at an exercise price of $1.30 per common share. This private placement is being utilized to augment the Cypress Development Resources' drill program on the Broulan Reef property.
The 2008 / 2009 Cypress Phase 3 deeper drill program, consisting of 2500+ metre holes, was first collared on Goldcorp's land to the east of the Broulan Reef property and was drilled out underneath the shallow waters of the Bruce Channel. This first deep drill hole consisted of a mother hole (BR08-3C) and two daughter or wedge holes (BR08-3D and BR08-3E) which are off-shoots from the mother hole.
Picture of the 2008 Broulan Deep Drill Rig
Logging Broulan Core
In April of 2009, a new zone was intersected in the first wedge hole (BR08-3D) as it approached the north boundary of the Broulan Reef property. Cypress believes this is part of the north-south trending system that extends 2.5 kilometres from the Cochenour mine and includes the Bruce Channel deposit and the Finn gold zone. The zone is very strong and distinct where intersected, and it consists of 14.2 metres (core length) of near solid quartz veining and an additional 27.5 metres (core length) of sheared and altered felsic porphyries. Visible gold was noted in this latter unit.
Core Box Picture from BRO8-3D
2009 Visible Gold Core Picture
The most significant feature controlling gold mineralization in the Cochenour / Bruce Channel area of Red Lake is a shallow dipping thrust fault within the mafic / ultramafic volcanic rocks of the Balmer Assemblage. This fault strikes roughly east west and dips at 48 degrees to the southwest. It is known to be folded and faulted, is generally marked by silicification and has been intruded and flanked by a rhyolite dike. The thrust, accompanying alteration and rhyolite dike is referred to as the "thrust package". All significant gold found to date in the Cochenour / Bruce Channel area occurs immediately below this thrust package. The thrust package could be viewed as "trap rock" that has confined fluids below it. These fluids have severely altered the rock and resulted in gold being deposited along the footwall of the thrust package.
On the second wedge hole (BR08-3E) a zone from 2177.8 metres to 2181.9 metres returned 2.47 grams per tonne gold over 4.1 metres. This zone lies above the thrust package. A second zone from 2660 metres to 2661 metres returned 2.62 grams per tonne gold over 1 metre within a large zone of anomalous gold values from 2637 metres to 2665 metres. This second zone lies within the thrust package.
Location of 2009 Broulan Reef Deep Drill Holes
It has been ascertained that the thrust package occurs at shallower depths on the western part of the Broulan Reef property. By drilling from west to east it will allow more of the hole to test the stratigraphy immediately under the thrust package.
In May of 2009, Cypress started Drill Hole BR09-1 from west to east from McKenzie Island and was designed to intersect the north-south shear/ breccia at nearly right angles. The location and dip of the hole was also designed to intersect the prospective north-south shear / breccia system below projections of the thrust package. The hole did exactly as planned and encountered the north-south shear / breccia at 2430 metres. The hole was still in the shear breccia system when technical difficulties forced the stoppage of drilling. Anomalous to highly anomalous (100 to 1000 ppb) gold values were continuous in the last 10 metres of the hole between 2776 and 2786 metres.
Cross-Section of Broulan Reef Drill Hole BR09-01 (Looking North)
Drill hole BR09-1 demonstrates that the north-south shear / breccia system has a strike length in excess of 2.5 kilometres and continues in size and strength well onto the Broulan Reef property.
In December 2009, Cypress started a new mother hole, BR09-2, from McKenzie Island. Upon completion of the hole to 2937 metres, gold values were intersected on strike and in the same structure that hosts the Bruce Channel gold deposit. An 18 metre interval was encountered between 2809 metres and 2827 metres grading 1.62 grams per tonne gold including 2.5 grams per tonne gold over 9 metres and 5.04 grams per tonne gold over 2 metres. Although the gold bearing zone was truncated by a 34 metre section of core containing a late mafic dike, the values are typical of many zones intersected in the Bruce Channel gold deposit. They are likely within an envelope surrounding such a deposit and convincingly demonstrate continuity of the mineralized system on the Broulan Reef property with plenty of room for expansion.
Cross-Section of Broulan Reef Looking North
Cypress proceeded to drill two wedge holes, BR09-02-1 and BR09-02-2, both from the McKenzie Island mother hole BR09-02 in order to explore the Balmer formation and North-South Shear carbonate breccia zone to the north of the mother hole.
Hole BR09-02-1 was commenced as a wedge from the mother hole in April, 2010 and ended when the drilling rods became stuck in strongly ultramafic rocks at 2703 metres. The hole entered the North-South Shear carbonate breccia zone at 2678 metres. Strongly altered Balmer formation basaltic rocks were intercepted from 2682 metres to 2700 metres. At 2700 metres, the hole intercepted the top of a highly foliated, ultramafic rock and became stuck in the soapy ultramafic at 2703 metres.
A zone of gold mineralization was intercepted in BR09-02-1 within strongly magnetite altered Balmer basalts from 2497 metres to 2500 metres. This zone returned gold assays totaling 3 metres of 2.04 grams per tonne.
Hole BR09-02-2 was commenced as a wedge from the mother hole in June, 2010. The hole was drilled to a depth of 2879 metres when completed in mid July 2010. The hole entered the North-South Shear carbonate breccia zone at 2666 metres. The carbonate breccia continued to 2681 metres where a complex sequence of highly foliated ultramafic rocks, intensely altered and sulfide mineralized Balmer basalts and numerous mafic dikes was entered. This zone of very favourable geology continued to a depth of 2839 metres. From 2839 metres to the end of the hole at 2879 metres, a sequence of massive to porphyritic, mafic rocks interpreted to represent the footwall of the North-South Shear structure was drilled.
Numerous zones of highly anomalous gold mineralization were intercepted in hole BR09-02-2 from 2500 metres to hole end at 2879 metres. The gold assays in the anomalous portions of the 379 metre zone are in the 150 ppb to 700 ppb range.
Wedge holes BR09-02-1 and BR09-02-2 were designed to test the footwall of the North-South Shear carbonate breccia in a position north of and higher up dip from the mineralized carbonate breccia zone in the mother hole BR09-02. Only hole BR09-02-2 was successful in testing the target zone as BR09-02-1 became struck in foliated ultramafic rocks short of the target. The distance between mother hole BR09-02 and wedge hole BR09-02-2 in the footwall zone of interest was less than 50 metres, as planned.
Comparison of the geologic and assay results of wedge hole BR09-02-2 and mother hole BR09-02 show significant differences over a 30 to 50 metre separation of the holes in the target zone. Hole BR09-02 intersected intervals of massive carbonate veining and vein breccia from 2664 metres to 2828 metres, a downhole interval of 164 metres. The reported gold mineralization in BR09-02 occurred in the last interval carbonate breccia from 2817 metres to 2828 metres. This mineralized zone contained locally abundant very grained grey sulfides.
Wedge hole BR09-02-2, in contrast, intercepted carbonate massive veining and vein breccia from 2666 metres to 2681 metres down hole. This is a 15 metre interval compared to the 164 metre in mother hole BR09-02. The long interval of locally abundant intervals of massive carbonate veining and vein breccia in hole BR09-02 is represented by the complex sequence of highly foliated ultramafic rocks, intensely altered (biotite and silica) and sulfide mineralized Balmer basalts and numerous mafic dikes in BR09-02-2.
In September 2011 Cypress drilled BR11-1 which was collared on Goldcorp's ground near the NE corner of the Broulan Reef property. The target of the drill hole was mineralized structures within the Balmer Formation mafic and ultra mafic rocks. A secondary target was the determination of the depth of the critical unconformable contact between the Bruce Channel Formation and the underlying Balmer Formation. The Balmer Formation is the host of the vast majority of the gold production and reserves in the Red Lake gold camp.
The hole was drilled due south at and initial inclination of 87.1. Final inclination was 84.6 degrees. Azimuth readings from the Reflex tool are unreliable due to the very steep inclination of the hole. The hole passed south onto Cypress ground at approximately 590 metres. BR11-1 was completed to a final depth of 1505 metres in late October.
The hole intercepted foliated Bruce Channel Formation rhyodacite, iron formation and debris flow volcanic rocks from surface sharp contact at 783.9 metres where a complexly deformed sequence of mafic to ultramafic rocks was entered. These rocks belong to the target Balmer Formation. Weak to moderate disseminated fuchsite occurs in ultramafic units in the interval from 783.9 to approximately 801.5 metres down hole.
The rhyodacite rocks of the Bruce Channel Formation in the upper portion of the hole are moderately to intensely sericite altered for hundreds of metres. This alteration locally reaches near total replacement of the original rock mineralogy by sericite. It is likely that this sericite alteration of the Bruce Channel rocks in the upper portion of the hole is related to structural preparation and focusing of hydrothermal fluid flow in the rocks near the axis of the district scale fold which trends WSW across the drill area from the Wilmar Deposit to the NE. This fold trends WSW across the Goldcorp / Premier JV lands, then onto Goldcorp ground, and finally further WSW onto the Cypress Broulan property.
Cypress Development is of the opinion that this fold axis is an excellent gold mineralization target, a belief shared by the adjacent Goldcorp / Premier JV project, based on information on the Premier Gold website. Cypress has the longest untested strike length of this fold axis as it traverses WSW across the Cypress Broulan property.
BR11-1 was collared on the SE flank of this important structure, and, due to property boundary constraints, was forced to drill away from the fold axis to reach Cypress ground. Future drilling on the Broulan Reef will be positioned to drill through the axis of this district-scale fold structure within the mafic to ultramafic units of the Balmer Formation. This drilling would be done from ice pads with the drill facing NNW toward the target structure. The information gained by finding the depth of the Bruce Channel / Balmer Formation contact to be relatively shallow at 783.9 metres down hole will be very important in targeting future drilling further WSW along the fold axis. Intense silicification of the mafic to ultramafic sequence commenced at 832.8 metres and continued to 931.1 metres. The rock in this interval is off white to crème colored due near total silica replacement. Below 931.1 metres the alteration was less silica dominant and more bleaching and calcite/sulfide in nature. A 10.5 metre wide zone commencing at 945.5 metres contains anomalous gold values that range up to 1.28 g/t. These materially different results over fairly short distance between holes are not uncommon within Archean lode gold deposits. Complex geology is the norm within district to regional scale structural zones which host this type of gold deposits, including the Bruce Channel gold deposit immediately north of the Broulan Reef property.
The Red Lake gold camp is full of surprises as is illustrated by the Goldcorp acquisition of the Red Lake Mine in 1995 and by Gold Eagles' world class Bruce Channel discovery. The exploration activities of Cypress Development in the Red Lake area has gotten some real "traction" with the acquisition of the Broulan Reef property and the type of targets that have been explored.
Robert Marvin, P.Geo., CPG, Project Geologist for Cypress Development is the Qualified Person as defined by National Instrument 43-101 and supervised both the project field exploration and the preparation of the technical information on this website.
Twenty-One Silver-Gold Location Map
The Twenty-One Silver-Gold Project, totaling approximately 420 acres is located in Mineral County, approximately 100 miles southeast of Carson City, Nevada. The property sits 3 miles south of the pavement of US Highway 95. Access to the property is by dirt track roads. The Twenty-One Silver-Gold Project consists of two blocks of lode claims centred on an area of outcropping. High voltage power lines run along highway 95 providing excellent infrastructure to the project area.
Twenty-One Silver-Gold Terrain
Chip sampling of exposed quartz breccia veins returned assay values from 211 g/t (6.5 ounces) silver to 1141 g/t (34.5 ounces) silver and up to 2 g/t gold. The vein breccias occur within a parallel series of east-northeast trending faults which cut a 1312 foot X 1640 foot zone of altered, hydrothermal, quartz matrix breccia. High lead, arsenic, zinc, bismuth and tellurium values accompany the sampled mineralization. Andesitic and rhyolite sills, plugs, and dikes occur on the Twenty-One Silver-Gold property. The mid-Miocene age intrusive activity in this district is considered to be highly favorable for the existence of both epithermal precious metal veins and related mineralization within carbonate wall rocks.
Age dating of these intrusive rocks in the immediate area shows 17 to 19 million years before present timing (mid Miocene). This mid Miocene age intrusive activity is considered to be highly favorable for the existence of both epithermal precious metal veins and related mineralization within carbonate wall rocks due to the presence of other districts in the region of that age. The alignment of major Miocene age gold and silver deposits along the northeast trending zone is dramatic and strongly suggests a robust structural link between the deposits.
Twenty-One Silver-Gold High Grade Breccia
Similar settings occur at other mining districts in the region. These districts include Tonapah, Paradise Peak and Santa Fe, which have a combined production of approximately 4 million ounces of gold and 500 million ounces of silver.
The high-grade mineralization, alteration and host rock units on the Twenty-One Silver-Gold property are very similar to those found at the Santa Fe gold-silver deposit located 10 miles along a regional scale, mid Miocene age mineral trend to the north-northeast. The Santa Fe mine was mined by Corona and Homestake and produced approximately 450,000 ounces of gold and 700,000 ounces of silver from 10 million tons of near surface oxide ore in the late 1980's and early 1990's. A sulfide phase precious metal reserve remains in the Santa Fe Mine below the level of oxide ore mined.
Twenty-One Silver-Gold Production Trend
The exploration target at the Twenty-One Silver-Gold Project is 10 to 40 million tons of near surface silver-gold and base metal mineralization hosted in Triassic age limestones, quartz veins and hydrothermal breccias. The project exploration target is robustly supported by reconnaissance exploration results on the property to date. Additionally, district scale mapping of the area in 1985 by the Nevada Bureau of Mines indicates that limestone units occur at shallow depth beneath both the high-grade Ag-Au veined breccia zone and at shallow depths in the pediment area where the jasperiod boulders and high-grade vein breccia float have been found.
The documented occurrence of the reactive limestone beneath the bonanza grade veins and breccia cap, together with the occurrence of mineralized, silica replacement of limestone (jasperiod) strongly suggests that large-scale, limestone hosted precious and base metal mineralization occurs at shallow depth on the property.
Twenty-One Silver-Gold Breccia Cap
Twenty-One Silver-Gold Mineralized Jasperoid
Targets identified by the January 2012 surface sampling and outcrop mapping include high grade veins and the potential for carbonate replacement and/or skarn style mineralization in Triassic age limestone units known to occur beneath the breccia cap. A fourth target type at the Twenty-One Project is the potential for intrusive hosted mineralization at depth beneath the veins. Bismuth, copper, molybdenum and tungsten anomalies in the assay results strongly suggest a potentially mineralized intrusion underlies the property
The property is centered on a parallel series of mineralized quartz veins and veinlets which cut a silicified and brecciated cap rock. The assay results show that quartz veins contain very high grade precious metal and base metal mineralization. The veins present one of four distinct precious and base metal target types being investigated at the property.
i. January 2012 Highlights:
- Notable grab sampling of quartz vein material from historic workings returned silver assay values from 203 to 2100 g/t silver (67.7 oz/t)
- The high silver values are accompanied by gold values from 0.62 g/t silver to 3.4 g/t gold
- Base metal values in the vein samples include values +50,000 ppm lead and 1.35% zinc
- Discovery of a new area of mineralized outcrop has been made; outcropping, iron and manganese oxide stained limestone located over 750 metres NNW of the vein area returned 17 g/t silver along with strong lead, zinc and manganese values
- 34.5 line kilometres of ground magnetic data was collected and is being processed
- Drill program to commence in April
The property covers the contiguous ENE extension of silver and gold mineralization mined at the Mindora deposit. The Mindora deposit is reported to have over 1 million ounces of silver and gold based on shallow drilling done in the 1980's. The Mindora deposit is based on drilling done in the 1980's no drilling has ever occurred on the Twenty-One property.
Notable gold and silver assay results for the surface samples collected at the Twenty-One property in January 2012 are presented below. Very high grade silver assays (up to 2100 g/t Ag), with accompanying gram to multi-gram level gold values (up to 3.4 g/t Au), are from surface samples of exposed quartz veins and from dump material in an area containing a series of historic pits and trenches in the south central portion of the property. All samples were assayed by ALS Chemex in Sparks, Nevada.
Significant Gold and Silver Grab Sample Results From the Twenty-One Silver-Gold Project
These vein exposures and historic dumps are the location of the highest grade mineralization known at surface on the Twenty-One property. It is important to note however that other outcrop and sub-crop areas of mineralization at surface occur. Sample MAGR-17 was collected from outcropping, iron and manganese oxide stained limestone located over 750 metres NNW of the original vein area. This sample contains 17 g/t silver and has the high lead and zinc signature that occurs in the vein area. In addition the sample contains very high grade manganese which is a well-known surface indicator of underlying carbonate replacement ore system. This represents a new discovery of surface mineralization that is not located along the same structural zones as the veins.
Several metre-scale blocks of mineralized jasperiod previously reported occur in the same area as sample MAGR-17. This evidence of mineralization well away from the initial high grade vein zone discovery is very encouraging and suggests the potential for a larger mineralized system under the thin gravel cover on the property.
The overall geologic setting and known mineralization along this underexplored mineral trend bares close resemblance to the setting of the very productive, Triassic age, intrusive and carbonate hosted ore bodies of the Coeur Rochester-Relief Canyon district located east of Lovelock, Nevada.
The magnetic data collected in January is being processed by a Reno-based geophysicist. The data will be used to identify additional targets, particularly in the pediment-covered northern portion of the property. Initial drilling of the selected targets on the property is planned for April. Permitting has been done but modification of the permit may be necessary to include potential additional targets which could come from examination of the collected magnetic data.
Grab Sample Geochemical Results From the Twenty-One Silver-Gold Project
Corporate Profile on Stockhouse