Flagstaff Property, Washington
The Flagstaff property, located approximately 5 miles west of Northport Washington, and 15 miles south of Rossland, BC is highly prospective for both gold and silver mineralization.In 1981, CE Minerals of Athens, Georgia, outlined a historic resource of over 1.3 million tons of 4.2SG barite while drill defining an on surface, open pittable, barite deposit.
During the 19,000 plus foot drill program for barite they reported precious metals assays that included one 60 foot intersection grading an approximate average of 44.81 g/t Au (1.307 apt/Au), one 40 foot intersection that graded approximately 16 g/t Au (0.5 opt/Au) and a 20 foot intersection grading approximately 13 g/t Au (0.4 opt/Au). The drill collars of these intersections have been located and marked and a diamond drill program is planned to follow up a number of these high grade gold intersections.
The Company has received Mine Plan Approval to mine the barite from its 100% optioned property.
The Company has entered into an agreement with Matovitch Mining Industries Ltd (MMIL) to supply approximately 20,000 tons/year of 4.1 specific gravity (SG) barite from the historic open pit barite deposit. The price to be paid under this agreement is the price of crude barite in the most current USGS commodity pricing report. For reference, the most recent price paid is US$49/ton at the mine gate. The Company estimates there is approximately 30,000 to 50,000 tons of ore stockpiled on the site ready for processing.
Two reports by M. Eugene Hartley, the chief geologist for CE Minerals at that time are available for viewing in this section. The first report is on the historic Barite resource, while the second report, presented by Mr. Hartley as a supplement to the Barite report, outlines the gold and silver potential of the property.
Barite is often associated with lead/zinc mineralization and the Company also plans on following up the historic reports of possible lead/zinc mineralization on the Flagstaff property.
The Company advises that insufficent work has been performed on the property to confirm the above historic results and as such they are not NI-43-101-compliant and should not be relied upon