Kaiser Bottom Fish OnlineFree trialNew StuffHow It WorksContact UsTerms of UseHome
Specializing in Canadian Stocks
SearchAdvanced Search
Welcome Guest User   (more...)
Home / Works Archive / Trackers
Trackers
 Fri Oct 10, 1997
Tracker 1997-38: Canalaska - Eastern Deeps Extension play still alive in ninth inning
    Publisher: Kaiser Research Online
    Author: Copyright 1997 John A Kaiser

 Kaiser Bottom-Fish Tracker 1997-038

October 9, 1997

Intl Canalaska Resources Ltd (ICA-V: $0.51)

Tel: (800) 667-1870

Eastern Deeps Extension play still alive in ninth inning


Canalaska popped $0.11 to $0.51 on 120,000 share volume on October 9 in response to news from the field that the final bell may not yet have tolled for the Eastern Deeps Extension program. Columbia Yukon Resources Ltd (CYR-C: $0.25) managed to haul itself up $0.04 on 227,000 shares. Canlaska, Columbia Yukon and Falconbridge are drilling the final 1,500 metre deep hole of the season on the VBE-1 property adjoining east of Inco's main Voisey's Bay block. The goal here is to find nickel-copper massive sulphide mineralization similar to that of the Eastern Deeps. Including the hole drilled last year, the partners have completed six deep holes close to the Inco border without encountering either troctolyte or significant sulphide mineralization. Hole 97-7 was spotted about 400 metres north of 97-3 after downhole geophysics suggested a target to the north at a depth of 1,200 metres. The range of the downhole geophysics probe is about 200 metres, and the response that kicked back suggested a target further north. Hole 97-7 is close to the shore of the inlet that separates the VBE-1 claim from the Takla Star/NDT property on the other side of the inlet. Low grade nickel-copper mineralization had been observed in outcrop in the general area. The field report indicated that at a depth of 754 metres drilling started to encounter 10-20 cm blebs of semi-massive, medium grained chalcopyrite and phyrrotite within a norite host. These sulphide pods have been increasing in size and becoming more massive with increasing depth. The hole was at 787 metres depth as of Thursday, about half way to target depth. The market had pretty much given up on VBE-1, and it would be only too ironic to make a discovery in the eleventh hour just as the work season is ending. Canalaska and Columbia Yukon are feeling a little too beaten up to let themselves get their hopes up; for now they are hoping that there will be enough encouragement in this last hole to compel Falconbridge to commit to a $3.3 million exploration program in 1998. The 1997 program, which went over budget and was cut back to 9,800 metres from 13,500 metres, will have cost the partners $3.3 million. Falconbridge had to put up one-third of the cost, and has until December 15, 1997 to commit to an option that would enable it to earn up to 60% of the VBE-1 project. The deal is that if Falconbridge makes the election, it has to spend $3.3 million before dropping out. Until this latest hole it looked like an easy call for Falconbridge to make; walk away from the Eastern Deeps Extension play. If deeper drilling on hole 97-7 encounters high grade massive sulphide nickel-copper mineralization, even over short widths, Falconbridge will have to think very hard about walking away from something that might be the tentacles that lead back to an octopus. That is the story being told about the inches of high grade nickel-copper encountered on the Donner/Northern Abitibi prospect in the South Voisey's Bay play on the northeastern fringe of the Harp Lake complex. It looks like the fans who decided not to leave the stadium before the end of the ninth inning might be treated to an exciting finish. The game still looks lost, but Canalaska and Columbia Yukon are still in the Labrador game. Canalaska has 20.7 million shares fully diluted and Columbia Yukon has 29.7 million fully diluted.
 
 

You can return to the Top of this page


Copyright © 2024 Kaiser Research Online, All Rights Reserved