by Stephen McGibbon
Our first press release on Rahill-Bonanza, which announced the creation of the joint venture, occurred on December 4, 2006. At that time, the unshakeable wisdom of the rumour mill held that a quick profit could be made by savvy investors anticipating the likelihood of a certain corporate transaction involving Premier and this coveted joint venture. From management’s standpoint, we have always viewed Rahill-Bonanza as a unique opportunity to participate in the next transformative high grade discovery in the Red Lake District. We have always understood that a potential discovery would likely require patience and persistence. The High Grade Zone discovery was made 50 years after production first began at the original Dickenson Mine in 1945. While we have no desire to wait 50 years for a future discovery, we continue to be rewarded with our patience at the Rahill-Bonanza Joint Venture.
Today, we provided an update of recent 2015 drill results that included one drill intercept of 46.00 g/t gold across 11.00 metres. This intercept has all the hallmarks of classic Red Lake mineralization……..fine-grained arsenopyrite, pyrite, pyrrhotite, magnetite and silicification. Hole D361036 supports our belief that the “Fold Target” area represents a mineralized horizon that can be significantly expanded. One feature of gold deposits in Red Lake, and most other volcanic-hosted greenstone deposits, is that continuity of mineralization is often far greater in the vertical direction than along strike. The potential for exceptional high grade to be discovered along predictable plunge lines of existing mineralization must not be overlooked. Our 2016 exploration program will focus on defining and expanding the Fold Target for high grade extensions both along strike and up and down plunge. Several other favourable horizons are wide open at depth.
There has been both good news and difficult news coming from our Red Lake District peers in 2015. This is sometimes the nature of mineral exploration and mining; those living in the shadows of a headframe know this well.In 2015, we doubled-down on Red Lake. With patience, persistence and a little luck, we look forward to the day a new Premier headframe can cast a shadow of its own.