Cross Lake Minerals Ltd -
Cross Lake Minerals nine-month report
Cross Lake Minerals Ltd
CRN
Shares issued 32,782,665
1999-12-10 close $0.15
Monday Dec 13 1999
Mr. Henry Ewanchuk and Mr. Brian Kynoch review the company
During the quarter ended Sept. 30, 1999, the company wrote off $690,350 of
expenditures on mineral properties, which are no longer of interest. This resulted in
a net loss for the quarter of $754,905 (two cents per share), compared with
$92,028 (one cent per share) for the same period last year. Year-to-date loss
was $998,742 (three cents per share) versus $471,080 (two cents per share) in
1998. Working capital at Sept. 30, 1999, was $1,545,225, compared with
$2,654,038 in the previous year. The company invests surplus cash in liquid,
high-grade investments with varying maturity dates selected with regard to
operational cash requirements and prevailing interest rates.
The company intends to continue to preserve working capital as much as possible.
Until additional financing is secured, exploration programs are being carried out
slowly and conservatively, and administration costs are being monitored carefully.
Efforts to advance the Sheraton-Timmins property, maintain the company's
properties in good standing and investigate new acquisition opportunities will
continue.
Subsequent to the end of the period, Brian Kynoch, a director since April, 1996,
was appointed chief operating officer of the company. Mr. Kynoch has over 20
years experience in the exploration, development and production of mineral
properties.
Exploration
Sheraton-Timmins property
The 100-per-cent held zinc-copper-silver Sheraton-Timmins property, located
near Timmins, Ont., is the company's most advanced project. As at Sept. 30,
1999, approximately $4.2-million has been spent on this property. Work has
included 78 diamond drill holes totalling 29,599 metres; geochemical surveys,
including soil sampling; geological surveys, such as lithogeochemistry and
petrographic studies; and geophysical surveys including airborne and ground
magnetometer, induced polarization (IP), mise-a-la-masse and surface and bore
hole pulse EM.
Previous IP work identified a 900-metre anomaly on strike immediately to the
northeast of the Cross Lake zone. During the quarter, a deep pulse
electromagnetic (EM) survey was completed over a one-kilometre square area
covering the IP anomaly. The results of the survey, along with data from recently
completed whole rock studies, were used to identify drill targets within the large
IP anomaly area. Of particular significance is the fact that one of the anomalies,
which has the same strike as the Cross Lake zone and is 500 metres in length, has
a pulse EM signature virtually identical to that of the known Cross Lake zone. This
is a priority target in the 700-metre program of diamond drilling currently under
way. Drilling is expected to be completed by mid-November.
Ladybug property
A follow-up program of mapping and soil sampling was completed over a 1,000 x
1,000 metre grid covering several anomalous chargeability areas on the company's
100-per-cent optioned zinc-silver-copper-lead Ladybug property, near Salmon
Arm, B.C. The previous program of magnetometer and IP surveys had identified
several moderate to highly anomalous chargeability areas, in addition to the known
Blackjack showing.
In early October, the company completed a five-hole diamond drilling program
totalling 282 metres. The program was designed to test the Blackjack showing
and two newly discovered IP and soil geochemical anomalies. Although some of
the results were anomalous in zinc, copper, silver and lead, there were no
significant assays. No further work is planned at this time.
Other
Results were received from the small reconnaissance exploration programs
completed on the Lay, Lovell and Tenakihi properties in British Columbia.
Although further work was recommended, there are no plans to go back on these
properties in the near future.
STATEMENT OF OPERATIONS
Three months ended Sept. 30
1999 1998
Revenues
Interest and
project management $ 21,074 $ 30,166
------- -------
Expenses
Depreciation 6,029 11,002
General exploration 5,599 3,456
Office 18,069 17,982
Professional and
listing fees 4,774 5,732
Shareholder
communication 2,413 3,334
Trust and filing 3,160 2,386
Wages and fees 45,585 49,827
------- -------
85,629 93,719
------- -------
(Loss) before
undernoted (64,555) (63,553)
Write-off of
mineral properties (690,350) (28,475)
------- -------
Net (loss) for
the period $(754,905) $(92,028)
======= =======
(Loss) per share (2 cents) (1 cent)
STATEMENT OF OPERATIONS
Nine months ended Sept. 30
1999 1998
Revenues
Interest and
project management $ 74,894 $ 95,496
-------- --------
Expenses
Depreciation 21,703 32,929
General exploration 17,251 15,511
Office 60,551 78,748
Professional and
listing fees 70,999 142,987
Shareholder
communication 33,335 57,802
Trust and filing 23,850 35,854
Wages and fees 155,597 174,270
-------- --------
383,286 538,101
-------- --------
(Loss) before
undernoted (308,392) (442,605)
Write-off of
mineral properties (690,350) (28,475)
-------- --------
Net (loss) for
the period $(998,742) $(471,080)
======== ========
(Loss) per share (3 cents) (2 cents) |
