Hello Eric
ITF quietly released some interesting news yesterday that may be of some interest. Nice having Lonmin as a partner.
Freegold Ventures Limited - Drilling Commences on Union Bay Platinum Project, Ketchikan, Alaska Joint Venture with LONMIN PLC
Monday July 14, 4:47 pm ET
Highlights: - Drilling Commences at Union Bay - Project Area increased by 100% - US$ 815,000 - Exploration Budget - Current Platinum Price $684
Toronto Stock Exchange Trade Symbol: ITF OTCBB: FGOVF
VANCOUVER, July 14 /CNW/ - Drilling has commenced on the Union Bay Platinum Project. The Union Bay Project is a Joint Venture with LONMIN PLC the world's third largest underground platinum group metals producer which produced approximately 1.5 million ounces of platinum group metals and gold in 2002.
The Union Bay prospect is located in southeast Alaska approximately 35 miles northwest of Ketchikan. Six zones of multi-gram platinum values have been identified to date.
An additional 394 claims have been staked in the project area, increasing the size of the existing project by 100%. In 2003, LONMIN is funding a US$815,000 exploration program which commenced in mid May and will include testing several outcropping targets. Systematic surface exploration is also being carried out with the objective of defining additional drill targets.
Drilling has commenced in the North Zone, with two of the holes located to the northwest of the holes drilled in 2001 and one located to the southeast of the 2001 drill area.
Sampling has been completed on the Jaguar Zone where rock types are similar to those at the North zone (wehrlites and clinopyroxenites) and are similarly cut by diopside dikes. Holes drilled in 2001 (UB01-1 and UB01-2) were drilled under North Zone outcrops where previous surface sampling and rock saw trenching had returned values up to 18 grams per tonne (g/t) platinum and palladium (Pd) - (14.6 g/t Pt and 3.3 g/t Pd). The holes were designed to test down-dip continuity of a north-west trending PGE-bearing horizon defined by previous mapping and sampling. Hole UB01-1, drilled to the west, intersected this horizon at a depth of 19.1 metres, with a 0.5 metre interval assaying 11.2g/t Pt and Pd.
LONMIN has the option to continue to fund the Union Bay Project by expending a minimum of US$1 million per annum in 2004, 2005, and 2006, US $750,000 for each year thereafter. Under the terms of the agreement, LONMIN may earn up to 70% interest in the project by completing a full feasibility study, which will be approved by the JV Management Committee. Upon a decision by the JV Management Committee to proceed to place the project into Commercial Production, LONMIN will arrange 100% of the required financing on terms acceptable to all parties. Following commencement of commercial production, Freegold and PFN will each repay their share of the financing costs and contribute pro rata to operating costs on agreed upon commercial terms. Under an earlier agreement between Freegold and PFN dated October 1, 2002, and subsequently amended April 2, 2003, PFN may earn a 50% interest in the project.
The Qualified person for this release is Curt Freeman, B.A., M.Sc., Union Bay Project, Ketchikan, Alaska.
Special Warrant Private Placement
Further to the news releases dated January 24th, 2003 and April 9, 2003, the Company announces that it has completed a special warrant private placement of 2,245,197 special warrants for total proceeds of $1,012,818.65.
In addition the Company has issued 160,222 broker warrants to a qualified broker who assisted the Company in this private placement.
About Freegold Ventures Limited
Freegold Ventures (TSX.ITF) is a North American precious metals exploration company with several gold projects in various stages of development, more specifically, the Golden Summit project Fairbanks, Alaska, the Rob Project in GoodPasture Mining District, Alaska as well as the Almaden Gold Project in Idaho. Freegold is currently in negotiations with major and mid-tier mining companies in an effort to further explore and develop its gold properties.
On behalf of the Board of Directors
Harry Barr, Chairman & CEO
Enjoy.
Vaughn |
