GTA Resources on Schedule with Ivanhoe Results
GTA Resources and Mining Inc. (TSXV: GTA) continues to execute on its three-prong strategy for organic growth in 2015. Earlier this week GTA released the latest results from one of those prongs, namely its boots-and-hammers program at Ivanhoe.
GTA was attracted to this property in northern Ontario due to its proximity to the eastern extension of the Borden Lake Gold Deposit, the historic record and the numerous gold showings. International mining giant Goldcorp now owns the Borden Lake Deposit, having paid Probe Mines`shareholders $526M to acquire it earlier this year. Part of the historic record includes production from the historic Joburke Gold Mine which is surrounded by GTA’s holdings and which produced close to 500,000 tons at a recovered grade of 3.4 g/t gold.
All of this makes Ivanhoe a highly prospective property.
In May, GTA advised it would carry out a surface exploration program at Ivanhoe this summer and would use the data to plan a fall drill program. On schedule, the results from that surface program were released earlier this week and have, according to Wayne Reid, CEO, “…resulted in identifying a number of gold zones which will require additional evaluation and we look forward to initial drill results planned for this fall”.
Being in the Timmins gold camp brings additional strengths including infrastructure, skilled labour and a mining-friendly community.
The continuity and consistency of the gold results were particularly eye-catching. For example, soil sampling in a large area of roughly 200m by 500 m showed encouraging results with 7 of a total of 15 soil samples returning anomalous gold values. This is not unusual for prospective mining properties on the world-famous Porcupine-Destor fault.
GTA is on schedule with its attack plan for Ivanhoe. You can be sure Goldcorp is watching to see what evolves at the Borden Lake Trend, and could be an exit for GTA`s shareholders in the next couple of years, just as it was for the Probe shareholders.
The other two prongs of the company’s growth strategy include Northshore (near Hemlo) and Burnt Pond. At Burnt Pond, GTA will begin the surface exploration program this summer. At Northshore, GTA will continue with its internal economic study of exploiting its existing resource and putting its Northshore Gold Property into production as an open pit. Some further drilling will likely be needed at Northshore to complete the study.
Burnt Pond consists of six claim licences located in the Tally Pond volcanic belt which hosts Teck Resources Ltd.’s Duck Pond Mine and a number of other Cu-Zn-Ag-Au massive sulphide deposits.
GTA will likely need to close a flowthrough financing in the near future to fund the Burnt Pond, Northshore and Ivanhoe programs, and the finance part of this team lead by Mr. Reid and Peter Clausi have shown a reliable history of being able to raise the necessary financing as needed. Watch for more news on that possible financing and on results from the properties.