Business
Mineral Resource Evaluation Report Completed - exploration shaft planned for down dip extension of the Daye Gold Mine - China
Mineral Resource Evaluation Report Completed - exploration shaft planned for down dip extension of the Daye Gold Mine - China.
About this update from Goldrea Resources Corp.
[{"type":"text","content":"\n\n\n\n\nVANCOUVER, Feb. 12 /CNW/ - Goldrea Resources Corp. (GOR-TSX.V,\nPINKS: GORAF) reports the company has entered into a Letter of Intent with\nRushan City to purchase up to a 100% interest in their operating 1750 TPD Daye\nGold Mine located approximately 30 km northwest of Rushan City, Shandong\nProvince, China.\nGoldrea currently has the option to earn a 74% interest in mineral\nlicenses along strike and down dip from the Daye Gold Mill and open pit.\nExploration drilling by Goldrea has identified several favorable\nintersections on the down dip extensions of the Daye Ore body at Pengjiakuang,\nShandong Province, China. These down dip extensions are on a gently dipping\nstructural breccia which passes out of Daye Mining Company mining license and\nonto the Goldrea Rushan Joint Venture Exploration Licenses. The above\nmentioned Letter of Intent is intended to amalgamate these licenses into one\npackage 100% owned by Goldrea. The agreement is depending on due diligence\nevaluations of all the assets of the Daye Mining Company and its subsidiaries.\nAt the present time mining is continuing at the Daye Gold Mine under the\ncontrol and direction of the Daye Gold Mine, the Chinese owned mining company.\nThe Daye Gold Mining Company is also Goldrea's Joint Venture Partner in their\nExploration Licenses.\nA \"Mineral Resource Evaluation Report\" qualifying under NI 43-101 was\ncompleted by N.Tribe, P.Eng. and submitted to the company in January. Resource\nestimates address mineral values in sericite as well as in gold. The deposit\nis estimated to contain 147 million tonnes of sericitic resource at a grade of\n20% sericite, as indicated by the drilling completed to date. The Daye Gold\nMine has a contract to sell their sericite product into the plastics industry\nat US$187.50 per tonne and is working to expand these contracts to accommodate\nthe full production from the plant. Although accurate assaying methods are not\navailable for measuring sericite, the past experience of the local geologists\nbased on visual estimates and the recoveries of the sericite in the plant,\nputs the percentage of sericite in the deposits at 20% sericite. These values\nhave been consistent throughout those portions of the deposit mined to date.\nThe gold values are less consistent than the sericite and a higher density of\ndrilling will be required...