Best of the Week
Most Popular
1.U.S. Inner City Turmoil and Other Crises: Ron Pauls Predictions for 2015 - Dr_Ron_Paul
2. What’s In Store For Gold Price in 2015? - Ben Kramer-Miller
3.Crude Oil Price Ten Year Forecast to 2025: Importers Set to Receive a $600 Billion Refund - Andrew_Butter
4.Je ne suis pas Charlie - I am not Charlie - Nadeem_Walayat
5.The New Normal for Oil? - Marin_Katusa
6.Will Collapse in Oil Price Cause a Stock Market Crash? - OilPrice.com
7.UK CPI Inflation Smoke and Mirrors Deflation Warning, Inflation Mega-trend is Exponential - Nadeem_Walayat
8.Winter Storms Snow and Wind Tree Damage Dangers, DIY Pruning - Nadeem_Walayat
9.Oil Price Crash and SNP Independent Scotland Economic Collapse Bankruptcy - Nadeem_Walayat
10.U.S. Housing Market Bubble 2.0 Meet the Pin - James_Quinn
Last 5 days
Stock Market Major 4 or Primary IV Wave - 31st Jan 15
Gold And Silver Price Probability for A Lower Low Has Increased - 31st Jan 15
U.S. Bond Market Has Reached Tulip Bubble Proportions - 31st Jan 15
The 3 Big Reasons My Apple Stock Price Prediction Is Still Coming True - 31st Jan 15
199 Days of Hell - Unintended consequences: Oil and the Worst Battle in History - 31st Jan 15
Kaminak Yukon Gold - 30th Jan 15
U.S. Asset Price Deflation Coming Up? Food Prices Drop? CPI Negative? Credit Deflation? - 30th Jan 15
An Often Overlooked Predator: State Governments and Income Taxes - 30th Jan 15
Bullard Says Rates at Zero Interest Rates Not Right for U.S. Economy - 30th Jan 15
Why the European Central Bank's Massive Economic Experiment Will Fail - 30th Jan 15
Gold Price Short-Term Bottom Due, Higher into February - 30th Jan 15
Silver and Other Precious Metals To Manipulate - 30th Jan 15
Socialism Is Like a Nude Beach - Sounds Like a Great Idea Until You Get There - 30th Jan 15
To Create Unlimited Market Liquidity or Not; That Is the Question - 30th Jan 15
Seen the Energy Downturn Movie Before, and Not Worried - 30th Jan 15
It’s Not Time to Sell Everything – Yet - 30th Jan 15
13 Investment Themes for 2015 - 29th Jan 15
The Raging Currency Wars Across Europe - 29th Jan 15
The End of Currency 'Safe-Havens' - 29th Jan 15
Ron Paul on U.S. Fed, Central Bankers Monetary Psychopaths - 29th Jan 15
Why Microsoft Stock Will Provide Major Investing Returns - 29th Jan 15
Exploring the Clash Within Civilizations - Mind the Gap - 29th Jan 15
Saudi Arabia Changes Kings, But Not its Oil Policy - 29th Jan 15
Crude Oil Price Bulls vs. Resistance Zone - 28th Jan 15
Acceleration Of Events With Rising Chaos – US Dollar Death Foretold - 28th Jan 15
The Fed and ECB Take the West back to when the Rich Owned Everything - 28th Jan 15
Washington's War on Russia - 28th Jan 15
Cyber War Poses Risks To Banks and Deposits - 28th Jan 15
Lies And Deception In Ukraine's Energy Sector - 28th Jan 15
EUR, AUD, GBP USD – Invalidation of Breakdown - 28th Jan 15
“Backup-Camera Envy” Is Driving This Unstoppaple Investment Trend - 28th Jan 15
The Great "inflated" Expectations for Gold, Oil, Commodities -- and Now Stocks - 28th Jan 15
How to Find the Best Offshore Banks - 28th Jan 15
There’s More to the Gold Price Rally Than European Market Fears - 28th Jan 15
Bitcoin Price Tense Days Ahead - 27th Jan 15
The Most Overlooked “Buy” Signal in the Stock Market - 27th Jan 15
Gold's Time Has Come - 27th Jan 15
France America And Religious Terror War - 27th Jan 15
The New Drivers of Europe's Geopolitics - 27th Jan 15
Gold And Silver - Around The FX World In Charts - 27th Jan 15
It’s Not The Greeks Who Failed, It’s The EU - 27th Jan 15
Gold and Silver Stocks Investing Basics - 27th Jan 15
Stock Market Test of Strength - 26th Jan 15
Is the Gold Price Rally Over? - 26th Jan 15
ECB QE Action - Canary’s Alive & Well - 26th Jan 15
Possible Stock Market Pop-n-drop in Store For SPX - 26th Jan 15
Risk of New Debt Crisis After Syriza Victory In Greece - 26th Jan 15
How Eurozone QE Works: A Guide to Draghi's News - 26th Jan 15
Comprehensive Silver Price Chart Analysis - 26th Jan 15
Stock Market More Retracement Expected - 26th Jan 15
Decoding the Gold COTs: Myth vs Reality - 26th Jan 15
Greece Votes for Syriza Hyperinflation - Threatening Euro-zone Collapse or Perpetual Free Lunch - 26th Jan 15

Free Instant Analysis

Free Instant Technical Analysis


Market Oracle FREE Newsletter

Learn to Trade

Is 2012 the Next 1897? Juniors Prepare for Yukon Gold Rush

Commodities / Gold & Silver Stocks Feb 29, 2012 - 01:43 AM GMT

By: Submissions

Commodities

Best Financial Markets Analysis ArticleChris Devauld writes: When it comes to gold mining, the Yukon needs little introduction. The westernmost territory’s frigid climate and unforgiving terrain hasn’t deterred prospectors, past and present. The end of the 19th century saw gold miners rush in on mere rumours of the yellow metal, which eventually lead to the renowned Klondike Gold Rush in 1897. Now, it appears, history is repeating as the high price of gold drives ambitious juniors back into the rush for riches.


Of particular interest to many exploration companies vying for space in the Yukon is the renowned White Gold District. This district sits on the Tintina Gold Belt, which is a 2,000km long region of mineralization that stretches NW from British Columbia through the Yukon and into central Alaska. The Tintina has seen over 70 million ounces of gold mined over the last 30 years, with recent large discoveries including the 36 million ounce gold discovery at the Barrick/Nova Donlin Creek project, the 10 million ounce discovery at the International Tower Hills Livengood deposit and Kinross’s 5.7 million ounce Fort Knox deposit.

The Tintina, as you may have guessed, is the site of the historic Yukon Gold Rush. And despite the year-end take down of the gold price in 2011 (and the turbulent 2011 summer), Yukon-based exploration miners are now seeing their share prices rebound. Many are now gearing up for ambitious 2012 drill programs, anticipating a strong year ahead.

Of these juniors, Ethos Capital Corp [ECC – TSX.V] stands out as a well-positioned junior with “substantial mineral land positions” in the heart of the White Gold and Klondike Gold districts. As ECC’s image (left) illustrates, the Company’s claims lie in the middle of the Tintina Gold Belt, south of Dawson Creek. Among juniors, Ethos is one of the leading land holders in the region, with more than 1,000 square kilometres on which the Company is searching for epithermal-mesothermal gold and porphyry copper-molybdenum-gold systems. Within this land package, ECC has the Betty, Bridget, Hayes, Hen and Wolfe projects.

The Company’s soil sampling programs in 2011 have now given way to a 2012 drilling campaign. A recent press release from the Betty Property has confirmed trench pit work, with assays of 12.7 g/t Au over 2 metres and 1.3 g/t Au over 15 metres. On top of the recent results from Betty, ECC is actively pursuing exploration on its other Yukon projects, which it expects to highlight as the year unfolds.

Hot on the heels of Ethos, proving up a solid land package and business model, is Volcanic Metals [VOL – TSX.V]. With a strong team of experienced Yukon geologists and a solid $2 million market cap, Volcanic Metals is focusing on its 100% owned and strategically located Walhalla Project, also located within the White Gold District.

The Walhalla presents Volcanic Metals with the opportunity to prove up a promising deposit in a highly prolific and active area. The 41,800 hectare property (418 km²) is located only 120 km south of Dawson City and is within a short distance from more than 10 million ounces of identified gold from three large deposits: Kinross’s White Gold, Kaminak’s Coffee and Western Copper’s Casino. With companies like Kinross in the vicinity, the area saw about $300 million in exploration expenditures in 2011.

Work on the Walhalla Project has uncovered substantial promise for future exploration. Within the large land package, Volcanic Metals has sampled a small portion of the 1,988 quartz claims. The 2011 Phase 1 exploration program, which only covered less than a third of the property, identified strong anomalous gold zones and anomalous pathfinder elements. Highlights from the 1,019 ridge and spur soil samples, with 50-100m spacing, include the following:

  • 3.41 g/t gold-in-soil anomaly in the southeast region. This is one of the top ten historically reported anomaly results in the entire White Gold District. It was taken from the C horizon at 90cm depth with a manual deep auger in a 100-200m spaced soil line.
  • A large number of grouped gold-in-soil anomalies (>65 with greater than 20ppb)
  • A large brecciated system in the northeast

For Volcanic Metals, a strong start with its Phase 1 exploration program leaves the door wide open for 2012. On top of the soil sampling in 2011, Volcanic Metals completed a 4,500 line-km airborne geophysical survey. This survey, along with Phase 1 results, will greatly assist as the Company moves into the Phase 2 grid/trenching/pit program.

The $750,000 Phase 2 field program will start in June 2012 and will identify potential drill targets, while continuing ridge and spur sampling on the rest of the property. Of particular interest to investors, Phase 2 will include follow up samples to the 3.4 g/t Au anomaly, which could lead to the discovery of a deposit with blue-sky potential.

As 2012 unfolds, we expect to hear a steady stream of news from miners such as Ethos Capital and Volcanic Metals. Ethos’ 2012 drilling of its Yukon properties will likely push the Company further into the spotlight, attracting continued investor interest. Meanwhile, as spring nears Volcanic Metal’s management will focus on its summer exploration program.

Considering that Volcanic Metals’ substantial land package is right next to  market players like Kinross in a prolific mining region, it’s safe to say that the Company’s 2012 exploration plans will attract a lot of eyes. And with the price of gold climbing back up and positive 2011 results adding to the White Gold District’s increasing buzz, this junior may be in just the right spot to participate in the next gold rush.

Other juniors of note in the region include: Smash Minerals, Victoria Gold Corp., Rockhaven Resources Ltd.  

Chris Devauld ProspectingJournal.com

Disclaimer: The author does not currently hold any shares of any of the companies mentioned in the article. However, some members of Cordova Media Inc., which owns the ProspectingJournal.com, may or may not have interests in one or more of the companies mentioned at the time of publication. Staff members from the Prospecting Journal reserve the right to acquire interests in any of the companies mentioned after 36 hours have elapsed upon initial publication of this article. VOL is a sponsor of ProspectingJournal.com.


© 2005-2014 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

Free Report - Financial Markets 2014