Hi Vargus,
I recieved this via e-mail from someone.Can you tell me what this company is all about, besides what I got e-mailed and how to get in touch with their President or Investor relations.
PHOENIX A NEW NORTH AMERICAN JUNIOR PLATINUM
PLAY
This is a grass roots platinum play that I have been watching for a few
months. Yes thats
right, a junior platinum stock right here in North America that could
quite easily become
the next platinum mine in North America. Phoenix Gold is dirt cheap at
less than .50 cdn,
but could move up quickly when the news comes out very shortly.
Phoenix Gold Resources trades on Vancouver under symbol 'PHO'
52 week trading range $0.30 to 0.63
Shares outstanding approx 5 million
The shares are tightly held by management and a great number being
closely held.
MANAGEMENT
Phoenix has been around for some time and has a few interesting
properties, but are not
very active at this time. These properties alone justify a higher share
price. The company is
run by Dick Lonsdale who has managed to hire one of western Canada's
most sought after
consultants Jim McDonald. Jim has about 40 years experience with mining
giant
Falconbridge.
Phoenix has been busy for some time looking for funding and completing a
deal with Dick
Lonsdale's private Vancouver based company to joint venture a platinum
property. This will
allow Phoenix and Mr. Lonsdale to raise private/public funding for
exploration. Phoenix
can earn up to a 71% interest in the property
PROPERTIES
I am only going to tell you about the platinum property as this will be
the active project and
the most significant to Phoenix at this time. This property will give
Phoenix the unique
characteristic of being about the only junior platinum mining play in
North America and
will stir up some interest because of this. You can go to Phoenix's web
site to review info
on the other properties.
The Carlisle platinum-palladium-gold property is at Grasshopper Mountain
in the Tulameen
area of South central British Columbia. Placer platinum was first
located in the Tulameen
District in the 1860s and is still being recovered at this time.
Numerous reports on the
platinum in this district can be found in the Geological Survey of
Canada, B.C. Ministry of
Mines and the Dept. of Technical Surveys of Canada. The native platinum
occurs in, or near
the chromite at a platinum/palladium ratio of 9 to 1. In the event the
platinum is contained
in the pure chromite, values could run as high as 5 to 8 ozs/ton in high
grade areas.
Dick Lonsdale aquired the property many years ago, originating from
Newmont Mining.
Newmont changed corporate strategy at the time because they were being
sought after by a
corporate raider and decided to give up all their Canadian properties
including Carlisle. In
the mid 1980s Newmont concluded that enhanced dunite values were usually
associated
with enomalous concentrations of chromium. Five areas of dunite core
were identified,
clustered around discrete zones displaying visible chromite. Metallurgy
work conducted at
Newmont's Denbury Conn. research facility had no problem seperating the
PGEs from the
chromite.
In addition to Newmonts work a drill program was initiated by the
property owners in 1988
under the supervision of J.J. McDougal P. Eng. A road was constructed
and 32 holes,
totalling 6,000 feet were laid out to test widespread targets within the
dunitic host rocks. It
was concluded that a zone several miles in length exists, containing
platinum bearing
chromite veins and lenses, possibly geologically similiar to the
Merensky Reef, located in
South Africa.
Assays from the core drilling program in the late 1980s returned values
up to 0.138 oz/ton
platinum and 0.171 oz/t gold. The 1988 program returned an assay of 5
feet grading 0.18
oz/ton platinum and also contained a relatively anomalous 12 ppb
rhodium.
Work to date has basically been wide spread initial drill testing and no
intensive exploration
has taken place.
SUMMARY
The shares are a steal at this price and I expect they could move up
quickly on news
regarding an exploration venture on the Carlisle property.
The geology and work done this far on the property looks very promising.
Phoenix will
offer the unique quality of being a junior platinum play and should
receive a lot of interest
because of this. The stock will get some promotion and with news out on
an exploration
program the stock could quickly move to $2 or $3 or perhaps even more
into todays hot
platinum market.
>From here some positive drill results and the stock could easily climb
to several dollars or
higher depending on exploration results and speculation.
Phoenix is seeking funding for an exploration program and has several
investment funds
visit them and the property. An announcement on funding could come
anytime that could
pop the share price. Nobody knows about this company yet and just the
news getting out
will drive the stock higher. At these levels the stock offers little
downside risk and lots of
potential on the upside. You can pick up a few thousand shares with some
loose change in
your portfolio or accumulate a larger position if you wish.
Update - excerpt from
RSA SITUATIONS/SPECULATIONS Volume 1 #14 May 30 1997
I recently spoke with Dick Lonsdale and PHO is preparing to drill 6
holes on the platinum
project very soon. All the permits have been recieved and no bond is
required so PHO
avoids these costs. Mr. Lonsdale is expecting a small, approx $100,000
financing to allow
this them to continue with an underground drill program and bulk sample.
The recent runup
in Platinum prices should aid in creating interest and drawing financing
for the project.
PHO recently aquired a nice silver property through there sister company
Orion and
connection with its management Bob Miller. Bob worked with Crown
Resources and was
aware of this nice Utah property for some time. He tried to convince
Crown to pick it up
but their plate was full at the time. Since then Mr. Miller has retired
from Crown and is now
with Orion and this is how PHO now has an interest in what looks like an
excellent silver
prospect on the Coyote Knolls prospect near Delta, Utah. Orion and
Phoenix can earn a
60% interest in the property by expending $100,000 on the initial
exploration program.
Orion and Phoenix Gold have received positive results of trenching and
sampling work.
Most recent findings, obtained by trenching and sampling in March,
coupled with the
impressive assay results of last December, firmly suggest the presence
of a mineable
resource. Continuing field work has now extended the apparent east-west
mineralized zone
another 100 ft west of December trenching to advance the sampling zone
to 300 ft.
The mineralized vein appears to be related to a volcanic hosted
silicified structure which
contains sections of breccia and at least one major pebble dyke.
Trenches are six ft deep and
chip samples of mineralization were taken every five feet along strike.
The best assay result
to date shows 0.502 opt gold and 135 opt silver from the 95 to 100 ft
segment of the
trench. The assay results indicate a continuous mineralized structure
with significant
potential. Most every assay at 5 foot intervals ranged from approx. 5 to
30 opt silver with a
number of them higher.
PHO/Orion are doing blasting a 100 ft long, 25 ft wide, 15 ft deep cut
along the strike,
from approximately 65 to 165 ft, where the best assays to date have been
encountered. The
blasting will be conducted to obtain further geological data to aid
selection of drill targets
for exposing the further mineralization at depth.
Elsewhere on the property, magnetometry and VLF-EM ground surveys
identified two near
surface anomalous conditions that will now be tested with percussion
drilling. Near one
such anomaly, approximately 400 ft further west on the present workings,
prospecting
methods indicate a mineralized vein similar to the silicification found
in the company's
trenching program. These veins are all close to the surface and
indications are they could be
connected and form a network of significant silver enriched veins.
Phoenix and Orion
intend to advance the property further and then bring in a JV partner
for to further fund
development.
The area is known for good silver deposits and this along with the
platinum project means
PHO is involved with two of my favorite metals. The weakness of this
company is a small
budget and little help in the Investor Relations end. |
