Silver Grail owns interests in 12 promising mineral properties in the Stewart mining camp, in the southern section of the “Golden Triangle” of northwestern British Columbia.
This region, the Golden Triangle, is set to become one of the world’s greatest mining districts. On July 31, 2104 the British Columbia government approved a $5.3 billion project known as the KSM property owned by Seabridge Gold. This project holds the largest undeveloped gold/copper reserve in the world.
Bordering just to the east of the KSM is the Brucejack-Snowfield property of Pretium Resources which now hosts the largest undeveloped high-grade gold deposit in the world, the Valley of the Kings (“VOK”). It lies 16 miles southeast of the formerly producing Eskay Creek mine, which in its day was the world’s richest gold-silver VMS deposit. Pretium plans to have the VOK in production by 2016-17.
Further south, and only 12 miles north of Stewart, is the formerly producing Premier mine. This mine, owned by Guggenheim family interests, produced exceptionally high grade gold and silver in its early years and was during that time the best dividend-paying mine in North America.
The 12 Silver Grail properties are all clustered around the Red Mountain gold property of IDM Mining, which now expects to have Red Mountain in production by 2016-7 (see map). While Silver Grail’s primary focus is on silver, certain of these properties also have good potential for gold, lead, zinc and molybdenum mineralizaiton.
The Golden Triangle
Konkin Silver Property
The Konkin Silver property features several silver bearing structures within an exhalative horizon. Trench samples have run to 29.5 feet grading 35 oz/ton in silver. There are noted similarities in certain of the structures to those in evidence at the formerly producing Torbrit Silver mine, some 8 miles to the southwest.
Ross Sherlock, Ph.D., geologist said: “Eskay Creek is a precious metal rich VMS deposit and portions have similar geology to the Konkin showing, with high grade gold and silver in massive baritic zones. “
High-grade gold and gold-cobalt mineralization was discovered by Silver Grail-Teuton prospectors in 1995 within a series of shears exposed over a strike length of 500m and a vertical range of 130m. Trenching of the shears returned values ranging up to 3.59 oz/ton gold over 5.5m (18 feet). Significant cobalt values were found to accompany gold in the southeast portion of the zone.
Over $4.5 million has been spent on the Clone to date outlining several high-grade shoots within the shear zones. One of these shoots was recently bulk sampled: a 100 ton sample returned better than 3.0 oz gold per ton.
The Fiji property borders northwest, along geological trend, of the Homestake Ridge property of Homestake Resources Corporation, currently being explored under option by Agnico Eagle Mines, and upon which an NI 43-101 compliant inferred resource contains 911,000 ounces gold and 20,366,000 ounces of silver ( 6,765,000 tonnes averaging 4.2g/t Au, 93.6g/t Ag, 0.11% Cu).
Prospecting samples taken in 2006 from two mineralized zones on the Fiji have returned an unusually high proportion of high-grade gold values. These are contained within what appears to be a Goldslide Intrusion, the same intrusion that is related to the high-grade gold Red Mountain deposit currently being readed for production by IDM Mining.
The Midas covers the southern portion of the larger north-south trending Del Norte-Midas property spanning 3 placer gold-bearing streams. A northerly-trending contact zone between volcanic and sedimentary rocks is related to multiple zones of gold-silver mineralization. Portions of the property are underlain by rocks broadly similar to those hosting the rich, silver-gold Eskay Creek mine 50 miles to the northwest.
In 2006, three drill holes on a previously identified 3 Oz showing on the Midas property encountered promising intercepts of bulk tonnage-type gold mineralization spatially related to a gold-rich vein. The best result was in Hole SDN-06-02 which returned a wide interval of gold mineralization grading 2.52 g/t gold (0.07 oz/ton) over 32.4 meters. True width is estimated at 29.2 meters or 96 feet.