Gallery Resources, On the Verge of Success
I have been a shareholder of Gallery Resources for about three years now. During that period there have been many opportunities to sell at a tidy profit. I decided to hang on to my shares for the long term. Gallery has had several investor relations people that have come and gone and I never had cause to complain about any of them. Some still stay in touch with me and curious enough they too have held onto their Gallery shares. This past year Gallery has become quite diversified by acquiring property in Ghana, putting into production the Hannandor Mine in the Cariboo, and maintaining their properties in Labrador. The main focus early spring, summer and now fall has been three key Labrador properties. Okak Bay, Sango Bay and Harp Lake.
Today Gallery released significant news on the Okak Bay and Harp Lake properties. The news is very much to the point, however, I would like to add the following comments:
OKAK BAY - We have all heard about and seen pictures of the Geology map showing geophysical anomalies produced last year (these can be seen on Gallery's website gallery-gold.com). Just recently a magnetotelluric survey outlined two conductive zones corresponding with a large magnetic anomaly outlined during an airborne survey in 1996. During the ground program Gallery had a crew of geologists & geophysicists working on the project. The group was headed by Mr. Victor French a respected Newfoundland geologist who is very familiar with the Labrador geology. Everything that could be done above the ground has been done using superior surveying techniques and the finest equipment available. And everything points to a major discovery in the making. What remains now is to go in and find out what these electrical conductors consist of. That brings us to the drill program scheduled to start probably next week. The company was successful in contracting and mobilizing a Boyles model 56 drill rig that is capable of drilling up to 5,000 feet.ÿ
One could say they have a 50/50 chance of finding something economical but I think their chances are much greater than 50/50. Yes, it may be a bust but I am betting otherwise. About one month ago I contacted Phoenix Geophysics, who did the magnetotelluric survey on the OKAK Bay property and requested information about their company and details of a magnetotelluric survey. They were very kind and sent me a large package with all kinds of information. The report contained detailed information of a magnetotelluric survey done over a confirmed ore deposit in Ontario. Included were computer generated diagrams some of which are in colour. So what has all this got to do with Gallery? Well, I had an opportunity to speak with Mr. French and we discussed the Okak Bay magnetotelluric survey report the company received last week from Phoenix Geophysics. There is nothing secret about this report as it is the company's intention to put the point form details of this report on their website. In fact, it may already be there. Well, here is the interesting part. During my conversation with Mr. French it was mentioned that the OKAK BAY magnetotelluric survey bears a startling resemblance, from a technical point of view, to the magnetotelluric survey done in Ontario. What he did not know was that I had a copy of the Ontario report. Interesting, and that is another reason I think they have a much better than 50/50 chance of a major find on the OKAK Bay property.
And if that isn't enough how about the added bonus of a new significant mineral discovery on the Harp Lake property. This find is just beginning to unfold and we may even see a drill on the property before the season ends.ÿ
Good luck to Gallery and good luck to all shareholders.
RJM.
Disclaimer: Since I am not a registered investment advisor I suggest that you contact the company direct as part of your due diligence. They will be pleased to fill you in with the details and answer any questions you may have. Gallery's toll free number for Canada and the US is: 1-800-565-7350. |
