|Seasonal Summary |
Eagle Plains Resources Strategy for 2013
As we all know, these are difficult times for our industry, in particular, the junior market. That said, we've seen this before and entered this downturn well positioned financially and with a lean corporate structure designed to emerge from this intact. In fact, as unpalatable to most of us as this is, our business model relies on this part of the cycle.
Conservation of our healthy treasury, maintaining our team, project consolidation and generating revenue through our wholly owned exploration consulting subsidiary, TerraLogic Exploration Inc., are the basic components of our strategy for weathering this storm. Spending has been targeted at advancing our Saskatchewan projects considering the positive economic situation and encouraging political climate. Some of our projects in BC have seen some work as outlined below.
A ground based program of prospecting, geological mapping and geochemical surveying was conducted to evaluate newly acquired claims near the Red Ledge precious and base metal showing.
Minerals and Metals Group (MMG) has continued with it's option on the Findlay project as per the news release on March 20, 2012. Field work including mapping, geochemical and geophysical surveying were conducted with the design to identify drill targets.
Mapping, prospecting and geochemical surveys were conducted to follow up the geophysical anomalies derived from the 2011 geophysical survey as well as property scale silt geochemical anomalies. This program was designed to locate drill targets. Results are pending.
Mapping, prospecting and geochemical surveys were conducted to follow up the geophysical anomalies derived from the 2011 geophysical survey. This program was designed to locate drill targets. Results are pending.
A prospecting and geochemical sampling program followed up the 2012 program which located anomalous gold values during a sediment sampling program that was regional in scope. Field work is complete and results are pending.
Compilation of historic data into geologic and geochemical databases to assist in the creation of a 3D geologic model. This project has yet to commence.
Prospecting, mapping and soil geochemical grid work assessed the potential of the area in and around 3 historic showings. This project is complete and results pending.
Various Projects (6 new projects)
Preliminary property evaluations have been conducted on the newly staked claims including research, data compilation, prospecting and geochemical sampling. Emphasis was on the Tarku project which hosts gold and uranium occurrences associated with a major crustal sheer zone that extends into the Athabasca Basin. The Tarku contains targets similar to that of the Patterson Lake South discovery (structurally controlled basement hosted uranium).
A 500m - 5hole diamond drill program designed to test the Dardenelles vein-hosted gold system was concluded in early August. A ground based geological and geochemical program had also being conducted to develop drill targets on the project including the Tit for Tat and Copper Creek showing areas. Results are pending.
Two drill holes totalling 430m tested the Black Diamond Zone in late June, analytical results announced on October 23rd, 2012. Drilling was designed to further test a prominent structure which hosts quartz vein material up to 8m in width and locally contains high-grade silver, lead and zinc mineralization. The high-grade vein mineralization is interpreted to be representative of a possible feeder structure which may present opportunities for larger manto-type deposits located elsewhere along the structure within host rocks in areas where exposure is limited.
As a result of field reconnaissance, the property has been increased to include an interpreted extension of the Black Diamond structure along strike approximately 5km NNW to the Hot Punch property which has been amalgamated into the Black Diamond property.
A ground-based exploration program has been conducted on the Goatfell Project located near Yahk, B.C. within the Sullivan Camp of projects. This program tested for anomalous soil values associated with geophysical anomalies pertaining to potential sedex-style mineralization with the objective of establishing future drill targets.
Phase I of drilling at the Iron Range is complete after commencing mid April. Approximately 3000m were drilled to test a number of high priority targets at the Canyon, Talon and Row Zones for Sullivan-style lead-zinc-silver mineralization as well as gold mineralization similar to that intersected in the 2010 Talon Zone gold-silver-lead-zinc discovery. Results of this phase of work have been reported in a project update on July 30. Future work will focus on following up geophysical anomalies and priortize targets for drill testing.
The Acacia drill program was completed during late spring. 616m of diamond drilling was conducted to test for both base and precious metals in potential VMS style mineralization that may occur in clusters and/or stacked lenses. Soil sampling and prospecting were conducted prior to the drill program to assist with targeting. Although drill results intercepted subeconomic mineralization, this was the first drilling at the Acacia zone and sulphides were encountered in the majority of holes. The degree and extent of alteration is encouraging and typical of VMS deposits.
Field work is complete at the Ice River Project. Exploration focussed on following up the REE discovery made in 2009 with the goal of determining the nature and extent of the REE anomaly. Results are pending.
An 1800m, 4 hole diamond drill program was conducted by option partner Minerals & Metals Group (MMG) on the Findlay property during August. The drill program was designed to test for SEDEX style mineralization. Results are pending.
Permitting is underway at the Boundary project by option patner Minerals & Metals Group (MMG) in anticipation of a field program to be conducted in 2013.
Initial reconnaissance was conducted on this grass roots property during the summer of 2012. Reporting including analytical and interpretation are pending.
Wollaston and Oreo
Ground based exploration is now complete on the multiple grassroots uranium and rare earth targets at the Wollaston and Oreo projects in northern Saskatchewan. Results will assist with tenure evaluation and drill targeting.
In July a two hole - 600m diamond drill program was completed. It was designed to test a strong electromagnetic (“EM”) geophysical anomaly that is coincident with highly anomalous uranium lake-sediment samples. The project was completed in approximately two weeks, results are pending..
During early July a 649m - 6 hole diamond drill program concluded at Eagle Lake. This program tested the Red October occurance for uranium mineralization. Soil sampling and a magnetic geophysical survey indicate that mineralization is coincident with a pronounced linear magnetic high feature. This magnetic feature is continuous for at least 1.5 kilometers and is coincident with several radioactive features. Results have been announced on Dec 4th, see highlights here.
2011 Exploration Program
Phase three of the exploration plan at the Iron Range was conducted during the Summer and Fall of 2011. This phase has included ground-based geochemistry, mapping and geophysics in the form of down-hole, ground based and airborne to identify further base metal targets and other zones with similar signatures as the Talon zone (linears). Most of the work in this phase has been completed while ongoing efforts consist of the airborne gravity geophysical survey. We anticipate the airborne gravity survey to conclude in November. Compilation of this work is underway with the goal of defining the next phase of exploration.
The airborne geophysics are an important application for mapping the project to identify other structures similar to that of the Talon zone (linears) and down-hole geophysics are used to characterize known conductive mineralization such as the significant massive sulphide intercepts in holes 5, 7, 10 and 15. It is anticipated that the down hole geophysics will aid in determining the direction and extent of the highly conductive massive sulphides and combined with airborne geophysics will help identify future base and precious metal drill targets.
In the bigger picture, over $9.5m has been invested during the exploration season on Eagle Plains projects with approx $380,000 being spent directly by EPL and almost $9.2m being contributed by our partners. Of note is that, $4.3m of the $9.2m, was spent on projects that have been recently sold to our partner Aben Resources while the exploration work was conducted by an Eagle Plains subsidiary company, Terralogic Exploration Services. Much of this work for Aben was focussed on the Mackenzie Valley Zinc Permits.
Exploration work is conducted in phases in order to minimize costs and maximize the potential for discovery. Geologic mapping is the base for this and is a constant exercise. It is normally available on a very broad scale by previous government and private initiatives completed sometimes many years ago. As an exploration company, the field information we collect is used to refine the mapping as it becomes available and is conducted on every program, in essence, taking it from a broader scale to a finer scale. Good mapping is essential for interpreting geological information and targeting potential ore bodies. Several methods are used to collect information for mapping:
Geochemistry - Soil, rock and stream silt samples. These samples are collected in the field and their location mapped using GPS. Once analyzed, either by laboratories or in the field using XRF handheld devices, the results are mapped and a picture begins to emerge of areas with anomalous values. These areas may then warrant further sampling on a more intensive grid specific to that area.
Options and Sales
Between 2009 and now, May 2011, the joint-venture model has been working beyond our expectations with 7 option partners currently earning in, 4 sales with front and back end NSR's and 3 sales with 50% back-in options. Efforts continue to create more option arrangements on our remaining projects.
2011 Work Programs
Mackenzie Valley Permits
A $3.2m program has been completed on the exploration permits located in the Mackenzie Valley of the NWT with our partner Aben Resources. The regional reconnaissance program focussed on gold targets which were then followed-up with airborne geophysical surveys. This regional scale program is a direct result of Eagle Plains purchasing and subsequently processing 5700 stream sediment samples in 2006 (see news release) into proprietary geological maps/databases covering 19,000 sq/km in an area that remains under-explored and highly prospective.
Hit - Airborne geophysics and prospecting/mapping have been completed on this project, results and interpretation are pending.
Justin (Sprogge) - A $750,000 drill program has been completed on this project resulting in approximately 2100m drilling. Results are pending.
Rusty Springs - Phase I consisting of a regional geologic reconnaissance program has been completed and Phase II has also been completed consisting of an airborne geophysics survey. Results of these efforts are pending.
Dragon Lake - This drill program that was budgeted to be $400,000 has been completed resulting in approximately 660m of drilling, Analytical results are pending.
YellowJacket - Eagle Plains has announced it's intention to spin-out the Yellowjacket project into it's own entity, Yellowjacket Resources. We are actively pursuing strategies for advancing this project including partnerships with miners experienced with this type of deposit. Exploration plans this summer included mapping and sampling at the Rock of Ages Zone to follow-up the discovery of high-grade gold mineralization. Once corporate arrangements has been completed it is anticipated that a drill program will be planned to further test the future pit area at the Yellowjacket Zone using the information resulting from the previous years drill program. This project is easily winter accessible.
Titan - $200,000 has been budgeted for airborne geophysics, geochemistry and a prospecting program which was successfully completed in September.
Rohan - An airborne geophysics and ground-based exploration program has been completed at this project with results pending.
Elsiar - A ground-based Induced potential geophysics program has been completed on this project.
There was no ground followup completed this year.
British Columbia (Sullivan Camp Projects)
Bohan - $200,000 drill program to test base metal (SEDEX) targets has been completed resulting in approximately 350m of drilling. Results are pending.
Iron Range - Most of the 2011 fieldwork has been completed on this project while an airborne geophysical gravity survey continues Results of these surveys combined with the previous geological work will be compiled with the goal of defining the next phase of exploration.
East Kootenay - An airborne geophysical survey has been conducted over 4 Eagle Plains projects along with some ground based geochemistry.
The Car project has been flown using two types of geophysics, V-tem and gravity and has also been the subject of a soil geochemistry survey.
Hall Lake and K9 have been flown using V-tem.
The Goat Fell has been flown with both V-tem and gravity.
All these projects are SEDEX targets in the Sullivan Camp of the East Kootenay region of British Columbia and the results of these surveys are pending
Karin Lake - The proposed $300,000 program at Karin lake was reduced and the drill program deferred to 2012.
New Projects - In the fall of 2010, 6 new uranium/rare earth projects were staked approximately 150km and 300km NE of Karin Lake. Located on the east side of the Athabasca Basin these projects target mineralization in the exposed basement rocks. Initial geological work including mapping and sampling has been completed. Results are pending which will be used to assess the potential of these projects.
Previous Exploration Updates
Iron Range - Phase 2
Eagle Plains and Providence Capital have completed the Phase 2 drill program at the Iron Range Project, drilling had recommenced mid January 2011 with Teck Resources participating by providing access to additional technical support and organizational expertise. The partners tested structural features and the stratigraphic interval known to host the Sullivan deposit, located 70km to the north. Drill targets included both precious-metal and base-metal mineralization and followed up the work on two intervals of gold-bearing massive sulphide mineralization, the lower interval which resides at a stratigraphic position interpreted to be at or near the same interval which hosts the Sullivan deposit.
Iron Range - Phase 2 Highlights
Hole 26 has been priority sampled and rushed for analysis as a result of a continuous intercept of pervasive, silicic alteration with accompanying disseminated to variably net-textured mineralization from 172.6-276.5m (103.9m). The style and tenor of mineralization, on a visual basis, is analogous to the alteration within IR10-010.
Hole 15 intersected near-surface precious and base-metal mineralization. The seventy-one metre intercept is characterized by crackle breccia and quartz-carbonate fractures hosting pyrite, lesser arsenopyrite, sulphosalts, and local submetre-scale sections of semi-massive to massive pyrite, galena (lead) and sphalerite (zinc). The interval is the non-oxidized extension of the surface oxide zone. Increasing base-metal values with depth are inferred to reflect diminished surface oxidation.
Significant near surface intercepts include:
| 29.0-100.0m: 71.0m @ 1.28g/t Au, 20.4g/t Ag
3.0m @ 4.77g/t Au, 55.6g/t Ag
|| 41.0-44.0m: 3.0m @ 5.77g/t Au, 36.5g/t Ag
|| 82.0-90.0m: 8.0m @ 4.13g/t Au, 3.57% Pb/ Zn, 69.5g/t Ag
||82.0-85.0m: 3.0m @ 6.16g/t Au, 4.81% Pb/ Zn, 118.3g/t Ag
||87.0-90.0m: 3.0m @ 4.83g/t Au, 4.33% Pb/ Zn, 65.7g/t Ag
Hole 15 was extended and intersected a second zone of sulphide mineralization from 270.0-293.0m (23.0m), which shares a similar depth horizon to the lower massive sulphide intercept in Hole 10.
Hole 22 did not intersect mineralization at depth. Core and section review suggests the mineralization to be faulted off. The inferred true-thickness across the zone at this locale is approximately 35 metres.
Iron Range Drill Program - Background
In October 2010 a planned 2 hole drill program was expanded due to favorable results from the initial drilling which has been designed to test a SEDEX target. The decision to accelerate further exploration followed the intersection in hole 2 of a significant interval located at or near the Sullivan time horizon containing pervasive tourmaline and albite-altered sediments interlayered with discrete conformable bands of pyrite, pyrrhotite (iron) and chalcopyrite (copper) sulphides. The bands and the associated alteration assemblage are interpreted by Eagle Plains geologists to be indicative of a vent system nearby which may contain more significant mineralized material.
Further encouragement was provided by the intersection of gold and base metal mineralization along wth the associated alteration assemblages encountered in holes 5 and 10 which are considered to contain the best mineralization observed to date of the 2010 program. Particularly hole 10 which intersected two intervals of gold-bearing massive sulphide mineralization. The lowermost zone consists of finer grained, gold-bearing massive sulphide material at a depth of 275.5.0-279.5m (truncated by a fault) within similar host rocks and at a stratigraphic position interpreted to be at or near the same interval which hosts the Sullivan deposit. The structural setting, alteration assemblages (tourmalinite, albite) and accessory minerals encountered (cadmium, antimony, tin, bismuth, boron, copper) are also consistent with those associated with Sullivan and other sedimentary-exhalative (“sedex”) deposits.
Yellowjacket Exploration Program Highlights
In late October 2010, crews returned to Cranbrook from the Yellowjacket project after completing a significant drilling and exploration program. During this program a new high-grade gold discovery was sampled where recent placer mining activity by third-party lessees has exposed mineralized bedrock. Highlights of this include:
||the samples returned assays of 51.36 g/t gold over 5.2m.
the mineralized zone is open to the north and at depth, with further analytical results pending.
An historic shaft has also been recently exposed and appears to be related to the mineralized zone. This feature is interpreted to be the Rock of Ages shaft, as reported in historical documents
||The new zone is located approximately 700m west of the Yellowjacket Zone
|| owned 100% by EPL
Further results from the drilling and channel sampling program can be found in a press release dated January 6th, 2011
2010 Exploration Programs
The exploration efforts in 2010 advanced 14 projects. The projects are located throughout western Canada with 3 in Saskatchewan targeting rare earths and uranium, 8 in British Columbia and 3 in the Yukon targeting gold, copper, rare earths and base metals. Drilling programs were conducted on 4 of these projects of which one was at the Iron Range in Southeast BC and resulted in discovery of precious and base metals in massive sulphides interpreted to be at or near Sullivan time.
The 2010 exploration programs have been designed to focus on developing new prospects to attract joint-venture interest, to test previously identified drill targets, to generate drill targets and to follow-up on discoveries made during 2009 and previous years. To view a Schedule of the 2010 Exploration Projects click the link.
In late 2009 and throughout 2010, the joint-venture model has been working beyond our expectations with 7 option partners currently earning in, two projects sold and one pending that are subject to 50% back in options. There continues interest in our remaining projects. The 2010 exploration program is designed to expand on this success by continuing to generate projects that will attract option interest by other companies. Another important aspect to this strategy is the opportunity available to these arms-length companies to utilize our in-house geological technical team, TerraLogic Exploration Services, for these exploration programs.
Integration of XRF technology and proprietary in-house applications for this technology has aided us in more effectively evaluating our projects. As a result, this has enhanced our ability to attract interest by third parties seeking to option projects and utilize our technical team to assist with the exploration efforts.
Summary of 2010 Exploration Plans:
Yellowjacket Gold Project
On August 19, 2010 Eagle Plains announced that it had acquired a 100% interest in the Yellowjacket Gold Project. This project contains a permitted mine and possesses infrastructure for the production of gold from hard rock and placer gravel sources.
Crews have completed a 64 hole, 2200m drill program to delineate the gold distribution at the next proposed open pit. This pit is located along strike and adjacent to the previous pit that had been excavated during the summer months of 2009.
Looking ahead, Eagle Plains intends to employ or partner with a company who has expertise with these types of deposits to conduct the mining operations. Eagle Plains will carry out the exploration programs on the project to expand the current resource at the Yellowjacket zone and to test the other two zones, the Rock of Ages and the Gold Run. These other zones have seen little (Rock of Ages) or no drilling (Gold Run) to date. During the 2010 exploration program high grade gold was discovered during channel sampling at the Rock of Ages zone, see Eagle Plains news release Oct 6, 2010.
Acacia (Pb, Zn, Ag)
A ground based exploration program was been completed earlier this spring that involved geochemical surveying and geologic mapping. An 8km soil geochemistry program was conducted to test the regional thrust fault that is along strike from the historic showings in the area of the past producing Homestake mine. This survey was conducted over a portion of the 2008 geophysical survey that indicated the presence of an anomaly believed to represent a buried intrusive body. Interpretation will commence once the assay datum is compiled. The Acacia project is located in Southern BC.
Black Diamond (Ag, Au, Pb, Zn)
Another ground based exploration program was completed earlier this spring at the Black Diamond project. This program also involved geochemical surveying and geologic mapping with soil sampling across the Black Diamond structure to test the southern extent of the structural zone. This project is located in the East Kootenay region of Southern BC.
Wildhorse (Au, Cu)
In July, a 9 hole - 630m drill program was completed at the Wildhorse (Au) project which tested gold and copper targets. Assays are pending. The Wildhorse Creek was historically the 3rd largest placer producer in British Columbia. The Wildhorse claims coincide with the furthest upstream placer gold occurences. This $200,000 program has been funded by option partner Excelsior Mining Corp.
Iron Range (Au, Ag, Pb, Zn)
The Iron Range Fault system represents a major structural feature that is markedly different from other structures in the region in terms of deformation and alteration. Structural, mineralization and alteration relationships indicate that the property has potential for both Sullivan type sedimentary-exhalative deposits (SEDEX) and Olympic Dam type Cu–Au-U-REE (IOCG) deposits. The nearby Sullivan deposit was a world class silver-lead-zinc deposit which saw continuous production for over 100 years, closing in December, 2001 while the Olympic Dam deposit in Australia is known as the world’s largest multi-mineral ore deposit. The mineralized zone on the Iron Range Property is exposed over approximately 4 kilometers strike length and is up to 150 meters wide.
Results from previous exploration work including, drilling, geological mapping, geochemical surveys and a 690 line-km airborne geophysical survey have been used to identify a SEDEX target that is the focus of the 2010 exploration program. A $200,000, 3 hole (600-800m) drill program has been expanded to up to $650,000 and the land package more than doubled from
20,400 ha to 56,200 ha
due to favorable results while testing this SEDEX target. This program is being funded by option partner Providence Capital Corp.
Elsiar(Au, Cu, Mo)
This program consisted of geologic mapping and geochemical sampling to follow up anomalous results from an earlier program. The earlier program produced consistent highly anomalous Cu and anomalous Au results from the western portion of the property. Prior to this program the area had been relatively untested. An exploration program was completed in mid September with analytical results pending.
Kalum (Au) - The 2010 drilling activity was a continuation of fieldwork completed on behalf of Windstorm during 2009 and previous programs. Exploration drilling followed-up the discovery of a grab sample that
returned 973 g/t (30.40 oz/t) Au and 502 g/t (15.68 oz/t) Ag as well as testing other areas where drill targets had been established from previous exploration programs. This $200,000 diamond drilling program acheived 420m and was funded by option partner Windstorm Resources Inc.
Ice River Complex (REE's, Industrial Minerals, Pb, Zn) - A short field program has been conducted on behalf of Waterloo Resources to follow-up encouraging soil sampling and prospecting carried out in 2009.
Dragon Lake (AU
A $200,000 exploration program has been completed at the Dragon Lake Project. This program was conducted to evaluate the results of a previous soil geochemical program. Handheld XRFsampling technolgy has been utilized to augment this program where three - 10m trenches were sampled to test the underlying rock formations / lithologies. Assay results have been reported in an Eagle Plains news release of October 27, 2010.
A $200,000 geological program has been completed on this project located in south-east Yukon. Work included an airborne geophysical survey, geologic mapping and soil geochemical work. The claims have been held by EPL since the late 1990s and have seen sporadic exploration since their acquisition by EPL. Trenching carried out in 1997 returned gold values of 2.38 g/t over 22.5m and 4.24 g/t Au over 4.5m. Both of these targets remain untested by drilling. Work in 2010 was funded by EPL, with a portion of the expenditures to be offset by YMIP grants. Results for the program are pending.
Yukon Grassroots Exploration Programs
Eagle Plains has carried out additional reconnaissance-style grassroots exploration work on various targets throughout the Yukon during 2010. The intent was to acquire new projects with the focus on gold. A new academic understanding of certian geological modelling has come to light and has been applied to these grassroots programs. This work funded by EPL, with a portion of the expenditures to be offset by YMIP grants.
Kulyk Lake (aka Baska Eldorado) (U, REE)
On May 26th, crews were mobilized to Saskatchewan to conduct consecutive programs at Kulyk Lake (Baska Eldorado) and Eagle Lake.
At the Kulyk Lake property, mapping and sampling of the Eldorado grid during 2009 led to the resampling of 2 sets of historical trenches located 600m apart, namely the Eldorado (U) and Kulyk (REE) trenches. Samples collected from these trenches in 2009 returned significant values of Uranium and REE's, notably from the Kulyk trench exceptional tREO assays of 55.9%, 30.6% and a 0.7 m chip sample of 18.9%. Soil geochemical results and geological / geophysical mapping from this program indicate the potential for continuous mineralization along strike between the two trenches.
The 2010 exploration program completed 4 trenches over 70m between the retested Eldorado and Kulyk trenches to test for the continuity of the highly anomalous uranium and REE mineralization. Eagle Plains Resources retains a 50% back-in option on this property, exploration has been funded by 99 Capital Corp and performed by TerraLogic Exploration Services, a wholly owned subsidiary of Eagle Plains Resources.
These two programs have been completed and are pending analytics.
Eagle Lake (U, REE)
At Eagle Lake, in 2008 a radioactive boulder train was discovered as a result of prospecting an airborne geophysical anomaly. This led to the discovery of the Red October showing in 2009. The Red October consists of approximately 400m of intermittent mineralized outcrop otherwise covered by overburden. Samples collected from the showing returned exceptional uranium assays: 1) a 1 m yellow-stained chip sample returned 1.56% U3O8 and 2) a grab sample of a yellow-stained black alteration selvage returned 2.24% U3O8.
The 2010 program completed 11 trenches over 160m to test the continuity and on strike projection of the Red October uranium mineralization. This program was funded by Sandstorm Metals and Energy Ltd. and conducted by TerraLogic Exploration Services, a wholly owned subsidiary of Eagle Plains Resources. Results are pending analytics.
Karin Lake (U, REE)
This project is located 40km SE of the world-class uranium mine at Key Lake, Sask.
Previous exploration work on this project including diamond drilling, airborne geophysics and soil geochemistry has outlined uranium and rare earth prospects. The 2010 work has been completed and included lake sediment sampling, scintillometer surveying and prospecting to outline uranium and rare earth targets along the Karin Lake batholith margin. Results are pending This $200,000 program has been funded by option partner Slater Mining Corp.
Summary of 2009 Mining and Exploration Programs:
Yellowjacket Gold Project - In late September operations at the Yellowjacket Mine ceased for the winter months as per the planned shut-down. The mine had achieved limited production in August after receiving a Small Mines Permit and complying with the environmental regulations. In addition, an Impact and Benefit Agreement was signed with the Local First Nations Band, representing a landmark achievement. Accomplishing these three significant milestones in the first few months of acquiring the project speaks well of the ability of management and the team to conduct future exploration and operations at the project.
Data from the existing ~100 drill holes were used to build an NI43-101 resource at the Yellowjacket zone during the winter months. The modeling used to calculate the historic resource was revised to reflect more accurately the type of deposit we understand the Yellowjacket to be. Future exploration will concentrate on drilling in accordance with this new understanding and we are optimistic about growing this resource.
Iron Range Project - During the summer, a surface trenching program had been conducted to follow-up the high-grade gold intercept (7.0m grading 51.5 g/t or 1.5oz/ton). This has resulted in trenching, sampling and mapping the surface expression of the altered zone believed to be the host of the gold bearing material intercepted in the 2008 drill program.
Results of the trenching program
returned no significant gold mineralization in the samples recovered from the surface but identified that the zone expressed itself on the surface as approximately 5m wide. Further structural analysis and interpretation has been conducted during the late fall resulting in a ~700m diamond drill program which commenced on Dec 3, 2009.
As a result of this exploration work, a new understanding of the deposit model has been developed. In simple terms, the large size of the controlling structure (fault) and an ancient age of approximately 1.5 billion years along with the presence of a large iron oxide deposit signifies the extent of alteration. This indicates the presence of a large heat source providing mineraliziing fluids over an very long period of time. Below is an exciting interpretation by the geologist in charge of the project:
"The Iron range structure hosts a significant iron oxide deposit, the majority within EPL tenure. Modeled as a prospective IOCG target, the 2008 and 2009 drill programs encountered significant to bonanza-style gold grades in the historic northern claim area. The recent additional tenure acquisition extending the northern and southern boundaries is felt to enhance the prospect of discovery owing to the increased proximity to felsic, granitoid intrusives.
Felsic intrusives in proximity to or in contact with major iron oxide fault zones are known to generate significant copper-gold silver deposits. One example is the Candelaria deposit of Chile."
Further work has been proposed to follow-up this new model. Other work may include exploration of SEDEX potential in the southern portion of the property identified in previous exploration programs.
Sphinx - Announced June 2nd, 2009, Eagle Plains agreed to sell its 100% interest in the Sphinx property to Touchdown Capital for 2,000,000 common shares and a $200,000 exploration program during 2009. Eagle Plains retains a 50% buy back option.
In 2009, an updated 43-101 report on the Property resulting in an Indicated Resource of 41,450,000 tonnes grading 0.041%Mo (with a 0.03% Mo cut-off) and an Inferred Resource of 37,180,000 tonnes grading 0.04% Mo (with a 0.03% Mo cut-off), based on 7,603 samples from 38 diamond drill holes totaling 10,685.8m.
Fieldwork on the Property commenced in late fall of 2009 and consisted of an 18 line-km induced polarization (“I.P.”) geophysical survey which resulted in drill targeting designed to test beneath known mineralization related to intrusive rocks. A 500m diamond drilling program commenced in early November. Results have been reported in a news release.
Ice River Complex - Exploration work at the Ice river was conducted in August, 2009. The month long program consisted of Induced polarization (IP) and MAG geophysical surveys, mapping, prospecting and sampling. Exploration efforts focussed on defining the extent of REE (Rare Earth Element) occurrences as well as know lead/zinc mineralization.
Coyote Creek Project - Relogging and sampling of existing drill core has been conducted in order to target a bulk sample and continue to assess the viability of gypsum mining on the property. Partner Heemskirk Canada Ltd. has agreed to advance to phase 2 work.
Dragon Lake - Ground based exploration involving soil sampling and assessment work was conducted at the Dragon Lake property to assist in developing future drill targets..
New Projects - Grass roots exploration in the Yukon focussed primarily on acquisition of new gold prospects.
Eagle Lake - In 2008 prospecting was conducted in an area outlined as prospective by airborne geophysics. As a result a minealized boulder train was discovered (named the "Red October") and a 5.4 line kilomenter grid was cut where soil geochemistry and a ground based magnetic geophysical survey was conducted. A follow-up program was conducted in the fall of 2009 where the boulder train was followed up-ice (glaciation), results of this ground based mapping and prospecting program are pending.
Baska/Eldorado - Previous work on this project focussed on re-evaluating the historic Baska and Eldorado uranium showings. Guided by 2007 airborne geophysics, in 2009 we established 2 grids to conduct soil chemestry, ground based magnetic geophysics and scintillometer surveys. A mapping and prospecting program followed in the fall of 2009, results include:
||Grab samples (AGKJR 001 and 002) taken from historical trenches returned Total Rare-Earth Oxides (“tREO”) assays of 55.9% and 30.6%, respectively and
||Sample AGKJR003, taken over a 0.7 m interval, returned 18.9% tREO.
Geological Surveying Explained
Geochemical - There are basically two types of geochemical surveys, lithogeochemical and biogeochemical. Lithogeochemical, the most common, is the sampling of rocks, soils and silts. Biogeochemical is the sampling of plant material. Samples for both types of surveys are collected, there location recorded for future reference, then sent to labs for analysis.
A geochemical survey area is normally focussed around a mineral showing or an anomalous value that was collected in a broader scope survey commonly known as a regional geochemical survey.
These regional geochemical surveys cover large areas of land where samples of creek sediments are collected and analyzed for anomalous mineral values. Stream sediment samples are utilized because water tends to mobilize these minerals where they ultimately collect in the sediments.
Once an anomalous mineral value has been identified either in an outcrop (showing) or in a sediment sample, a more focussed survey can be conducted in the area to determine the extent of this anomalous value. Upon completion, considering all the information, drill targets are identified and prioritized.
This is exactly the procedure followed by Eagle Plains at the Mackenzie Valley zinc project where the regional geochemical survey data was obtained by EPL as a result of a survey conducted by Rio Tinto in the 1970's. Analysis and mapping of this data provided information to conduct more focussed surveys around areas returning anomalous values.
Geophysical - There are two ways to conduct geophysical surveys, ground based and airborne.
Employing sophisticated electronic equipment, these surveys are conducted using magnetic, electromagnetic and radiometric resonance to measure the variations in the earths' magnetic field. Different kinds of rocks and mineralization will return different values as they change the way the magnetic field resonates through them. Changes in this conductivity are then mapped to provide a three dimensional view of these of values. In general, areas of interest to geologists are where two distinctly different types of resonance values border each other. This is indicative of an event where an alteration may have occurred in the rocks and alteration is what we look for.
Follow this link for more information about grass roots exploration
Updated October 30, 2013