SLAM excited about potential of Northwest Gold Property

B1

Codi Wilson
Telegraph-Journal

Stumble Upon

del.icio.us

Digg

Facebook

Print

Email

Speak Up

SLAM Resources has recently acquired a new gold discovery in northern New Brunswick that has "huge potential," the company announced on Wednesday.

Enlarge Photo

Slam Exploration president and CEO Mike Taylor. Photo: Daniel Martins/Canadaeast News Service Archive

"It's a brand new area and there is no previous drilling there, so it is an exciting discovery," SLAM CEO Mike Taylor said.

In early November, he and a SLAM geologist reviewed the property and clearly saw its potential, the CEO said.

Taylor said he was able to see several large boulders with flecks of visible gold.

"We saw some large boulders and slabs of quartz there on the surface. Some of them were buried in the ground, just peeking up. We broke some pieces and there were a few specks of visible gold," Taylor said.

The company is waiting for test results to determine the grade.

"Any amount of gold would be significant at this stage, because it is an early stage. We'll chase after it to see where it a lead us. We need to evaluate it ... But going there and finding gold on top of the ground, that's how it starts," he said.

The next step, Taylor said, is to try to expand the scope.

"We'll start out and dig where the gold is already and head north where we'll try to stretch it out in all directions. We'll see how big this vein is."

The site was originally spotted by prospector Tim Lavoie who staked several claims in the area and labelled them the Northwest Gold Property. SLAM, which has a substantial gold portfolio, later negotiated an option agreement with Lavoie whereby it made a downpayment of $20,000. As part of the agreement, SLAM will also be required to pay another $30,000 cash and gift 100,000 shares after a 30-day period. To earn a 100-per-cent interest in Northwest Gold Property, which includes 251 units in 20 claims containing sedimentary rock, the company must make annual cash and share payments over four years for a total of $550,000 cash by Nov. 18, 2015.

Kay Thorne, mineral deposits geologists for the government of New Brunswick, saw samples from the site at the Exploration, Mining and Petroleum conference last month.

"Some of the samples looked nicely mineralized for what we see in New Brunswick," Thorne said. Some of the gold we see down in southwestern New Brunswick is really fine-grained and hard to see. So the fact that in these samples you easily see visible gold, it looks like these are high grade.

Although the challenge will be determining how much gold is really there, Thorne said the property opens up a whole new area for exploration.

"It's a brand new area so it really opens up a lot of opportunities for finding additional gold mineralization."