Spider Resources 1998 results
Spider Resources Inc SPQ
Shares issued 90,075,727 Jun 24 close $0.045
Fri 6 Aug 99 Company Review
Mr. Norman Brewster reports
During 1998, the company focused exploration efforts on the diamond
holdings in the states of Goias and Minas Gerais, Brazil. Within these
number of targets were developed through a combination of air photographic
and Landstat imagery interpretation with limited ground verification, these
remain for more extensive testing.
Late in the year a limited sampling program over the Contendas diamond
target, utilizing a modified processing plant (equipped with an X-ray
Sortex) purchased by Spider's joint venture partner KWG Resources inc., was
successful in recovering from surficial material 11 diamonds; ranging in
size from seven-100ths to 1.06 carats totaling 5.52 carats. This successful
test represents an encouraging confirmation of the exploration concept
developed at the Contendas site.
Limited budget, difficult working environment and equipment faults
prevented a more extensive site program during 1999. Both Spider and KWG
are exploring methods to finance a more extensive program at Contendas,
with allowance for the testing of other targets in 1999.
No work was carred out on the company's James Bay Lowland or Wawa projects
during the past year. Spider actively sought join venture opportunities for
these programs and continues to do so.
The past year has been a period of relative quiescence. The condition of
the resource sector provided limited financing alternatives for the
company, as a consequence the level of exploration activities in comparison
to past years was substantially reduced. The directors were able to raise
limited funds sufficient to maintain the company, to protect its holdings
and to carry out limited exploration. Third party creditor accounts were
reduced by approximately $530,000 in consideration for equity in the
company.
Limited funds were utilized wherein maximum tangible results were expected
in the form of diamond recovery, thus exploration efforts were focused on
the Alto Paranaiba project. Simultaneously the company actively sought
joint venture participation for its other properties and continues to do
so. |
