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The 8,330 ha Shovelnose property covers prospective stratigraphy in the southern Spences Bridge gold belt (SBGB). Exploration of the property in 2006 and 2007 included a 308 line-kilometer helicopter borne magnetic-electromagnetic-radiometric survey and the collection of 341 rock samples, 4.034 soil, and 72 silt geochemical samples. This work has led to the discovery of three gold showings, including the Tower showing, a 400m trend of intense clay and silica alteration in rhyolite tuff and low grade gold that has returned assays of up to 505ppb gold.
A reconnaissance soil geochemical survey completed in May, 2007 identified a broad 600 m by 300 m gold in soil anomaly centred approximately 1,500 m west of the Tower showing. Detailed follow up soil sampling and prospecting work in July and August, 2007, led to the discovery of the Mik and Line 6 showings. A series of three continuous bedrock chip samples tested a 35 m strike length of the Mik showing, returning 2.73 g/t Au over 3.75 m, 2.97 g/t Au over 3.0 m and 2.73 g/t Au over 3.7 m, respectively from south to north. Grab samples from similar style mineralization at the Line 6 showing yielded from background values up to 2.15 g/t Au. Gold mineralization is characterized by a series of shallow to moderately west dipping, colloform-banded quartz veins that appear to be spatially associated with a series of rhyolite domes. The veins vary in thickness from 0.5 cm to 80 cm and are hosted by strongly to moderately silicified and clay altered felsic volcanic rocks. Clay alteration is particularly evident along vein margins. Anomalous levels of silver, arsenic, mercury, molybdenum and antimony are associated with gold mineralization identified on the Shovelnose property and are interpreted to indicate the potential presence of a broad zone of epithermal style mineralization. Bedrock exposure in the Mik and Line 6 areas is generally poor.
Follow up work completed in October has expanded both the Mik and Line 6 showings and returned the highest gold assays yet reported from the property. Gold mineralization at the Mik showing has been traced over a 200 m by 80 m area with 19 of 57 bedrock and float samples returning in excess of 0.5 g/t Au, including three best assays of 43.8 g/t Au, 11.1 g/t Au and 8.7 g/t Au. Twelve of 34 rock samples collected in 2007 have returned in excess of 0.5 g/t gold with three best assays of 4.9 g/t Au, 3.3 g/t Au, and 2.1 g/t Au. Both showings remain open along strike.
Plans for exploration work in 2008 will include mechanized trenching, detailed mapping and prospecting, and in-fill soil sampling. This work will aim to elucidate the extent and orientation of quartz veining and alteration and geological and structural controls on gold mineralization.
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