Homestake Ridge - British Columbia

In 2011, Homestake Resource reported an updated mineral resource estimate, (NI43-101 compliant) of 191,000oz gold and 1,350,000oz silver indicated plus 530,000oz gold and 13,470,000oz silver inferred at a 3.0 g/t AuEq. cut-off in two separate deposits.

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Message: Management’s Discussion and Analysis - Highlights

Management’s Discussion and Analysis - Highlights

posted on Dec 20, 2008 11:55AM

Management’s Discussion and Analysis - Highlights

http://sedar.com/GetFile.do?lang=EN&...

Results from the 2008 drill program demonstrated a strong lateral continuity of higher grade horizons within the deposit, confirmed the geometry of the deposit and increased the overall grade of the deposit with some of the highest grade portions of the Main Homestake zone remaining open to the northwest and projecting into areas largely untested by drilling.

Financial Conditions, Liquidity and Capital Resources

As at October 31, 2008, the Company had a working capital of $700,176.Cash and Cash equivalents as at October 31, 2008 was $1,591,416 of which $881,329 was for flow through expenses.

(b) On November 21, 2008, the Company reported that it proposes to the following nonbrokered private placements to raise gross proceeds of $1,290,000, subsequently increased to $1,500,000.

Private placement was oversubscribed and on November 26, 2008 the Company increased the number of units to 3.6 million to raise $1,260,000. The placement was fully subscribed and was closed on December 15, 2008.

On November 5, 2008 the Company cancelled 2,295,000 stock options that have been outstanding for more than 12 months and granted 2,295,000 stock options to directors, officers, employees and consultants, each exercisable at $0.40 and for a period of five years.

Homestake Ridge

Homestake Ridge is a gold, silver, and base metal project located in the Skeena Mining Division of northwestern British Columbia. It is hosted by an early to middle Jurassic sequence of volcanic tuffs and sediments, similar in setting to the Eskay Creek deposit located 115 kilometres north. The property has 14 unpatented mineral claims (“TCL claims”) and six patented Crown Granted claims (“Crown Grant claims”) covering a total of 2,725 hectares. There are separate option agreements governing the Company’s rights to the unpatented and patented claims. Because the claims are contiguous, they are collectively referred to as the Homestake Ridge property.

The Homestake Ridge property lies within a metallogenic belt that hosts several goldrich polymetallic mineral deposits. Previous exploration by major mining companies provided the Company with considerable mapping, sampling and trenching data that provided the foundation for its drilling programs.

In December 2007 the Company, having fulfilled its earnin requirements provided TCL with an Expenditure Notice. To purchase the TCL claims, the Company issued 200,000 common shares and 200,000 share purchase warrants and expended the required $5 million on exploration and development work on the claims.

In April 2008, TCL declined to invoke the backin right on the Homestake Property. Bravo accordingly retains a 100% interest in the Property subject to the royalties set out below.

There is a 2% NSR royalty in favour of Teck Cominco and on other portions of the located mineral claims there is a 2% NSR royalty in favour of the original Optionor. Bravo has the right to purchase 1% of the Teck Cominco royalty for $1 million and 1% of the original Optionor’s royalty for $1 million. The Crown Granted mineral claims also are subject to a 2% NSR royalty

Since the publication of the Resource Estimate, the Company has continued to aggressively explore the Homestake Ridge project and has to date completed 120 drill holes on the project for a total of 26,092 metres of drilling and at a cost of +$12 million. Of this total, 101 drill holes were completed on the Main Homestake zone, 6 drill holes each were completed on the Homestake Silver and Vanguard gold zones and two drill holes were completed on the Vanguard Copper zone. Five additional holes were drilled in other parts of the property.

Drilling in 2008 totaled 8602 metres in 42 drill holes and focused on expanding and upgrading the existing resource and expansion of the onstrike targets at the Homestake Silver, Vanguard Gold and Vanguard Copper prospects.

Significant drill results from the Main Homestake zone in 2008 include assays from holes:

HR0887 which returned a 52 metre downhole intercept averaging 21.0 g/t Au including a downhole 7.7 metre bonanza intercept averaging 181.6 g/t Au;

HR0884 which returned 15.5 metres averaging 4.1g/t Au and 61g/t Ag

Highlights from the Homestake Silver zone include: a 0.69 metre interval grading 2.4 g/t Au and 891.8 g/t Ag within a broader 17.9 metre interval grading 0.27 g/t Au and 66.4 g/t Ag in drill hole HR0778 and a 1.2 metre interval grading 0.1g/t Au and 468.0g/t Ag in drill hole HR08104. Assays for one drill hole are still pending. Three dimensional modeling shows a distinct alignment of the Homestake Silver and Homestake Main zones, extending the overall strike of this evolving mineralizing trend to over 1.4 kilometres in length.

The Vanguard Gold zone, located 2,200 metres to the southeast of the Main Homestake zone, was tested with two core holes for a total of 381.3 metres. Logging and sampling of the holes has been completed and assays are pending. Previous drilling in 2007 returned encouraging assays results including a 1.05 metre interval grading 5.21 g/t gold within a broader 38.88 metre interval grading 0.60 g/t gold from drillhole HR0756. Similar values were reported from Bravo’s initial drilling on the Main Homestake zone in 2003 and suggest the potential to develop another significant nearsurface lens of mineralization.

These results from the Homestake Silver and the Vanguard Gold zones highlight the considerable onstrike potential of the target stratigraphy.

Regards

Hg

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