Hello John
Some more news that may be of interest to some on this thread:
LYTTON MINERALS LIMITED (TSE/VSE: LTL); NEW INDIGO RESOURCES INC. (ASE: NDR) - SPRING 1998 EXPLORATION UPDATE
TORONTO, June 2 /CNW/ - Lytton Minerals Limited and New Indigo Resources
Inc. (''the Companies'') are pleased to report on the progress of their Spring
1998 exploration programs in the Northwest Territories and northern Alberta.
NORTHWEST TERRITORIES - Jericho Project
Exploration on the jointly owned Jericho Project, which encompasses
approximately 1.2 million acres, is centered on the Companies' Jericho JD-01
and JD-03 diamondiferous kimberlite pipes. Total resources of 17 million
tonnes of kimberlite grading between 0.7 carats and 1.0 carats per tonne have
been identified to date.
The Companies have moved into the preparatory stage for an aggressive
summer program at the Jericho Project. Interpretation of the 70 km(2) airborne
survey has identified over 100 targets that exhibit geophysical
characteristics which may be related to kimberlite intrusives. These targets
are currently being prioritized to identify the most favorable ones. In
addition, a final report on the fine sorting of till samples in the vicinity
of defined kimberlite indicator mineral dispersion trains has further defined
the characteristics of the 16 trains that exist in the immediate Jericho area.
The process of interpretation of these two data sets (geophysical targets
and mineral trains) is in progress with the aim of identifying the most
favorable targets for the summer follow-up program. The summer program will
consist of geological and quaternary mapping, prospecting of target areas, and
ground geophysics to prioritize drill targets. A Summer/Fall 1998 drill
program is planned to test the most favorable kimberlite targets.
Upgrading of Lytton's North Vancouver DMS plant was completed and
processing of the 30-40 tonne mini bulk sample from JD-03 has commenced.
Approximately two months will be required to process the sample.
A second airborne survey will commence shortly on the 1 million acre land
holding that surrounds the central Jericho Project area. This survey, over the
region referred to as the Greater Jericho region, will concentrate on areas of
indicator mineral occurrences that lie east and north of the central Jericho
region. In conjunction with these airborne results, resorting of existing till
samples, additional till sampling, quaternary mapping and prospecting will be
utilized to prioritize target areas for further exploration.
NORTHWEST TERRITORIES - Rockinghorse & Hood River Joint Venture
(Kennecott 50%, Lytton/New Indigo 50%)
Selective airborne geophysical surveys have been completed on the
Rockinghorse and Hood River properties. Preliminary interpretation of these
surveys has identified 90 kimberlite targets. Follow-up ground exploration
(geophysics, quaternary mapping, and prospecting) is currently underway to
prioritize these targets for drilling.
NORTHWEST TERRITORIES - ICE Claims, Ranch Lake Joint Venture
(Kennecott 50%, Lytton 50%)
Exploration programs on the ICE claims, initiated in March 1998, have
resulted in the identification of a series of kimberlite targets.
Interpretation of selective airborne geophysical data has resulted in 40
kimberlite targets for follow-up. Recently completed follow-up ground
geophysics and prospecting have narrowed this to a number of priority targets
that will be followed up in the next phase of exploration.
NORTHWEST TERRITORIES - DIA Claims, Dolly Varden Joint Venture
(Kennecott 50%, Lytton/Dolly Varden 50%)
Selective airborne surveying has identified 8 potential geophysical
targets. Ground follow-up has confirmed a number of these as priority targets.
These will be added to the inventory of drill targets for the up-coming drill
program.
NORTHWEST TERRITORIES - Round Lake Joint Venture
(Ashton 51%, Lytton 24.5%, Pure Gold 24.5%)
Re-evaluation of airborne geophysical data will be completed by early
June. This, along with recent till sample results, will identify areas for
follow-up work. A program of ground verification of target areas i.e.:
prospecting, till sampling, and ground geophysics is scheduled for this
summer.
NORTHEAST ALBERTA - Birch Mountain Joint Venture
(Lytton/New Indigo 60%-75%, Birch Mountain 40%-25%)
Based on results from the spring 1998 program, a review of target
selection from the existing airborne surveys is currently in progress. This
review will prioritize geophysical targets on the remaining portions of the
survey area, and lead to ground verification and drilling of priority targets.
Additional geophysical surveys are planned for late summer to cover portions
of the Joint Venture land package, which encompass approximately 2.9 million
acres.
FOR: PURE GOLD MINERALS INC.TSE SYMBOL: PUGJUNE 3, 1998
Pure Gold Minerals: South African Diamond Venture
Produces 29.2 Carat Yellow Fancy
VANCOUVER, BRITISH COLUMBIA--Donald R. Sheldon, President of Pure
Gold Minerals Inc., is pleased to report the discovery of a 29.2
carat yellow fancy diamond on the Company's recently acquired
Douglas Project in South Africa. The diamond is valued at
approximately CDN$1,400 per carat.
The new diamond will be added to the package of stones recovered
last month that already includes several large, gem quality
diamonds. Of particular note are a clear (VVSI) 3.67 carat, a
yellow (fancy) 3.80 carat and a pure white 6.67 carat diamonds.
The first 3.67 ct stone recovered during April is valued at
CDN$1,800 per ct. The 6.67 ct stone is valued at CDN$1,540 per ct.
The Douglas Project is a part of the joint venture agreement
recently reached with Thabex Exploration Ltd. a publicly trading
(Johannesburg Exchange) South African diamond exploration company.
Under the terms of the agreement, Pure Gold has the right to
acquire a 51 percent interest in Thabex's alluvial diamond
concessions in South Africa, including the Douglas Project, with
details as summarized below: /T/Concession size: 450 hectares
Estimated reserves: 3,600,000 tonnes at
1.1 carats/hundred tonnes
Estimated price per carat: $800(x)
Mining costs/100 tonnes $140Plant operating costs/100 tonnes $27
Admin, security and rehabilitation costs/100 tonnes $27
Total royalties 5 percent
(x) All dollar figures based on an estimate of 3.6 Rand = CDN$1/T/
Mining of the Douglas Project began April 15, 1998. Production
has just been increased from an initial start-up rate of 100
tonnes/month to current levels of 500 tonnes/day. The first
thirty days of production recovered 160 carats of diamonds.
Within the next quarter, production is expected to reach optimized
levels of 50,000 tonnes per month.
The 450 hectare concession is secured by a Mining Permit and
provides a 100 percent title to the Joint Venture.
Under the terms of the agreement, Pure Gold will fund a total of
$2,000,000 over the next 12 months to earn a 51 percent interest
in the project. The cash flow from the project should provide
positive proceeds to Pure Gold as funds are advanced. Cash raised
through a recent Rights Offering, ear-marked for the Alberta
Diamond project, will not be used for this new venture.
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