New and Expanded Mining Assets Spell Growth
Dutch Gold Resources, Inc. (Pinksheets: DGRI) revealed the details on the projects that it has recently
acquired, and provided guidance on near term plans for development.
“We are very enthusiastic about the projects that have been acquired. We think that these new projects have great merit and we have already undertaken work plans to advance them,” said Dan Hollis, CEO of DGRI. He added, “The properties that we now have provide the potential for keystone properties for DGRI in the future.” The Company expects to add more projects during the coming year, both exploration/development stage, as well as producing properties. Backgrounds on the newest properties, Basin Gulch property and the Jungo property, follow.
Basin Gulch, Montana
A very large open-ended gold and silver system in Montana was discovered by Rauno Perttu and has been partly explored by 323 reverse circulation and core drill holes, totaling approximately 90,000 feet, plus 17,000 feet of trenches. Most of the holes were shallow, and largely pattern-drilled for an open-pit reserve. Aultra recognized that Basin Gulch has major mining potential under current Montana law and had the historic exploration information reviewed by an independent consulting geologist. The geologist concluded the existing data shows that the following gold resource is minable under current law:
“Approximately 426,135 ounces of combined Probable and Proven gold for the resources in Blocks A and B only, for the Basin Gulch site calculated directly from the drilling data. If 20% is removed to represent uncertainty, this number is approximately 341,000 ounces of gold. Also adding to this conservative approach is that the silver content was not converted to gold equivalency and added to the gold calculated above. In some places on the Basin Gulch prospect, the measured silver was well in excess of 10 opt.” — David Brown Pg, NIN and earlier 43-101 compliant report
Dutch Gold Resources, Inc. has undertaken to prepare a new NI 43-101 compliant report in early January of 2010. The Company has contracted to complete a bulk-sampling program, with results expected First Quarter 2010.
Jungo
The Jungo property lies between the historic Sleeper and Hycroft mines in Humboldt County, Nevada.
The Hycroft Mine historically produced in excess of a million ounces of gold and is back into production with the recent discovery of in excess of a million ounces of additional reserves. The Sleeper Mine produced approximately 1.7 million ounces of gold, much of it from very high-grade near-surface veins. Recent exploration is finding new areas of strong ore-grade mineralization below the historic mine pit and along newly identified vein structures outside the historic exploration area. DGRI’s geologists believe that the Jungo gold system has important similarities to the Sleeper and Hycroft properties, and look forward to exploring the Jungo property based on that belief. DGRI has commissioned a new trenching program to begin in January 2010, which it expects to report results First Quarter 2010.
Disclosure: No position in the stock of DGRI; see our disclaimer page.
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