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Great Bear Resources (TSXV:GBR,OTC:GTBDF) is a Canadian exploration company focused on advancing precious and base metals projects in two of the world’s premiere mining jurisdictions. The company’s zinc-lead-silver projects, BA and Surprise Creek, are located in B.C.’s resource-rich Golden Triangle. In Ontario’s Red Lake district, one of the world’s most prolific gold producing regions, an excellent network of access roads allows for exploration work year round at Great Bear’s Dixie Lake and recently acquired West Madsen projects.
At Dixie Lake, the company has a purchase agreement with Newmont Mining (NYSE:NEM) for a 67 percent interest in the property, which hosts geological structures and high grade mineralization similar to that of the major gold mines and advanced projects in Red Lake. In November 2016, Great Bear nearly doubled its position in the Red Lake district with its 100% acquisition of the West Madsen gold project, an on-strike extension of Pure Gold’s high-grade Madsen project. Between the two projects, Great Bear now has agreement in place to control 3,750 hectares of prospective greenstone belts.
The company plans to commence a field program at Dixie Lake in the summer of 2017 that will entail re-logging the already completed drill holes to produce an updated three-dimensional understanding of the property’s geology. The next step will be a 1,000-meter drill program that will target high-grade, near-surface gold intercepts based on the new 3D modeling.
According to Great Bear President and CEO, Chris Taylor, there are many similarities between the mineral controlling geology for other deposits in Red Lake and the geology seen at the Dixie Lake and West Madsen projects.
“At Dixie Lake, we are looking at something similar to the Rahill-Bonanza deposit jointly owned by Premier Gold and Goldcorp. It is concentrated gold mineralization at the hinge of a fold. We see the same pattern at Dixie Lake and we notice the same concentration in gold values around our fold hinge. For instance, our fold hinge is where we have drilled intervals of half metre of 160 grams per tonne gold or 12 metres of 7 grams per tonne gold. Those are the kind of intervals we are targeting at Dixie Lake, and those are the kind which yielded a market reaction such as in Premier’s case following the drilling completed at Rahill-Bonanza.”
The West Madsen consists of two claim blocks located immediately adjacent to Pure Gold’s Madsen Mine. A 70,000-metermetre drill program is underway at that project and Pure Gold has been hitting excellent results.
“We have the on-strike extension of their primary mineralization control structures,” says Taylor.
In northern BC, Both the BA and Surprise Creek Projects are within the same stratigraphic horizon that hosts Barrick’s prolific Eskay Creek Mine. A high-grade silver-zinc-lead VMS system has been identified across the combined 17,000 hectares as well as gold copper rich zones. Both projects are under separate 50/50 joint venture partnerships with Mountain Boy Minerals (TSXV:MTB). The companies are actively exploring the properties with Great Bear as the operator of the BA Project while Mountain Boy is the operator of Surprise Creek.
Great Bear is led by a strong management team and board of directors with a solid background in the mining and financial sectors. The company’s VP of Exploration, Bob Singh has decades of experience in evaluating, exploring and advancing base and precious metals systems for both junior and major mining companies. Great Bear Director Dr. David Terry is a professional economic geologist with years of experience internationally in senior executive and corporate director roles in the resources sector.
- Dixie Lake: high-grade from surface gold in Red Lake with Newmont as minority partner; compelling exploration potential.
- 100-percent owned West Madsen gold project is an on-strike extension of Pure Gold’s high-grade Madsen project.
- 17,000 hectares in the Golden Triangle; district-scale property hosts dozens of mineralized showings close to infrastructure.
- Tight share structure, with approximately 12 million outstanding; management heavily invested; Award-winner industry leader John Robins a significant shareholder.
Key Properties in Red Lake Gold District, Ontario
Great Bear recently doubled its road-accessible land position in the Red Lake District with its acquisition of the West Madsen gold project announced November 2016. Together with the Dixie Lake Project to the east, Great Bear now has agreements in place to control 3,750 hectares of prospective greenstone belts.
The Dixie Lake project has drill ready targets with shallow historical drilling that encountered significant high grade gold intercepts. The West Madsen project lies within a newly recognized extension of the same greenstone belts which host Pure Gold’s Madsen project.
With a steady stream of excellent results being generated by Pure Gold at Madsen, the on-strike extensions of those gold-hosting units and major control structures make West Madsen a compelling target for new gold exploration.
Dixie Lake Project
High grade drill results, partnership with Newmont, and no overhanging royalties make the Dixie Lake project a strong asset in Great Bear’s project portfolio.
Dixie Lake is a high-grade gold project located 25 kilometers southwest of Red Lake, Ontario. Infrastructure in the region includes all-season road access and power lines which cross the northern portion of the property. Great Bear has a purchase agreement for a 67 percent interest by issuing 100,000 shares and paying $130,000 in cash over four years to Newmont. The company has also purchased the NSR royalty for the property.
“The Dixie Lake project has similar host geology, gold controlling structures, and presence of high grade mineralization that also characterize the major gold mines and advanced projects in Red Lake,” said Taylor.
Highlights from historical drilling at Dixie Lake include:
- 2.2 meters at 17.2 g/t gold;
- 4.6 meters grading 9.75 g/t gold;
- 1.97 meters grading 17.77 g/t gold; and
- 0.47 meters grading 163.75 g/t gold.
Great Bear believes the historical drill results under-estimated the gold grades. New modelling suggests the presence of continuous zones of gold mineralization with local folding and undulations resulting in higher grade shoots.
With this new interpretation of the geology and structure, the company plans to conduct an exploration program focused on these higher grade shoots. Parallel zones identified during review of the historical data will also be tested. Following re-sampling and re-logging of drill core and compiling all original assay results, the company plans to conduct trenching and shallow drilling.
West Madsen Project
In November 2016, Great Bear signed a purchase agreement to acquire 100-percent ownership of the West Madsen gold project in the Red Lake Gold District for a total purchase cost of $70,000 cash and 100,000 shares over four years the from the underlying property vendor. The project comprises two claims blocks, the easternmost (Block ‘A’) which is situated 3 kilometers to the west of Pure Gold Mining’s Madsen property; each block is roughly six kilometers by three kilometers in size, for a total area of 2,000 hectares.
The West Madsen project is a newly identified geological continuity of the greenstone belt within the Balmer and Confederation assemblages, which are host to the adjacent historical Madsen and Starratt Olsen mines. Results from neighboring Pure Gold’s Madsen project, reported September to November 2016, include 126.6 g/t gold over 3.7 meters; 34.0 g/t gold over 11.0 meters; 25.4 g/t gold over 8.0 meters; and 76.0 g/t gold over 2.1 meters. Recent logging road construction has opened the area to cost-effective exploration for the first time. Great Bear’s next step on the property is an initial exploration program of mapping and sampling and geophysics towards defining priority drilling targets.
Chris Taylor, M.Sc., P.Geo. –President, CEO and Director
Christopher Taylor operates an independent geological consulting practice, evaluating exploration and mining properties for acquisition purposes. He served as a geologist with Imperial Metals, Inc., a TSXV company from 2004 to 2009. Taylor graduated with a Bachelor of Science honours degree in Earth Sciences in 2000, and a Master of Science degree in Structural Geology from Carleton University in 2003.
Bob Singh, B.Sc., P.Geo. – VP Exploration and Director
Bob Singh has been associated with the mineral exploration industry for over 23 years. He has strong technical background in evaluating and exploring gold and base metal systems and has outstanding geological, data management, computer and project management abilities. He is Founder of North Face Software Ltd. and serves as its President. He has worked for both junior and major mining companies as well as developed new technologies for recording and analyzing geological data. Singh has managed several exploration programs in the Red Lake Gold district since 2003 and was a key member of an exploration team exploring for sediment hosted gold deposits in British Columbia. Singh received his B.Sc. in Economic Geology at the University of British Columbia in 1991.
David Terry, Ph.D., P.Geo. – Director
Dr. David Terry is a professional economic geologist, senior executive and corporate director with more than 25 years’ of international experience in the mineral resources sector. He has played key roles in the successful acquisition, exploration and development of a number of precious and base metal deposits, primarily in North and South America, and has expertise in advanced project evaluation, M&A, corporate finance, and design and execution of effective exploration programs. In the course of his career, Dr. Terry has held executive positions and directorships with a number of publicly-listed and private mineral resource companies; he currently serves as a director of Golden Arrow Resources Corporation and as President and CEO of Comstock Metals Ltd. He has also worked with a number of senior mining companies including Boliden Limited, Westmin Resources Limited, Hemlo Gold Mines Inc., Cominco Limited and Gold Fields Mining Corporation. He holds a B.Sc. and Ph.D. in geology from Western University in Ontario and is a member of the Association of Professional Engineers and Geoscientists of British Columbia.
Tony Ricci, CPA, CA – Director and CFO
Tony Ricci has over 25 years of practice experience, mainly with public companies listed on Canadian and U.S. stock exchanges. Ricci was formerly a director and CFO of Keegan Resources Inc. (TSX: KGN, NYSE: KGN), a director and CFO of Norsemont Mining Inc. (TSX:NOM), and CFO of both Petaquilla Minerals Ltd. (TSX:PTQ) and Petaquilla Copper Ltd., companies with a combined market capitalization approaching $2 billion. He is also a director and officer of various other listed companies including in the technology and industrial sectors, and was formerly with KPMG and AMEC Engineering Inc.
Doug Ramshaw, B.Sc. (A.R.S.M.) – Director
For almost two decades Doug Ramshaw has been a senior executive (including President, CEO and Vice-President, Business Development) and a director of several exploration companies headquartered in Vancouver but with mining properties around the world. Earlier in his career, Doug was a mining analyst for an independent brokerage firm in London, U.K. Despite his executive roles in exploration and mineral development, he is still active in the art and science of geological exploration, most recently spending time on field programs in both the Yukon, Canada and Mexico. Ramshaw earned his B.Sc. (Hons) Mining Geology from the Royal School of Mines, Imperial College, in London, UK.
John Robins, a Professional Geologist with over 30 years’ experience in the mining industry, is currently the Executive Chairman of Kaminak Gold Corporation and also a director of Kivalliq Energy Corporation, Northern Empire Resources Corp., West Melville Minerals Inc., and Ethos Gold Corp. He has been a driving force within the Vancouver mining sector as founder of Hunter Exploration, Stornaway Diamond Corporation, Kivalliq Energy Corporation, North Country Gold Corp. and Kaminak Gold Corp. Robins was also involved in the successful sale/merger of several public companies including Grayd Resources Corporation (Agnico Eagle), Troon Resources (Grenville Strategic Royalty), Arauco Minerals (Kinross), Creston Moly Corporation (Mercator) and Northair Silver (Kootenay Silver). In 2008, he was recognized for his achievements in mining exploration by the Association for Mineral Exploration British Columbia with the H.H. “Spud” Huestis Award. This is recognized as the highest award given for mineral exploration and is awarded to those who have made “a significant contribution to enhance the mineral resources of British Columbia and/or the Yukon Territory, through the original application of prospecting techniques or other geoscience technology”.
Jim Paterson is a director of Northern Empire Resources Corp. and a director and CEO of Kivalliq Energy Corp., and served as director of Kaminak Gold Corp. from 2010 to 2016, when Goldcorp. acquired Kaminak for in excess of $500 million. He has 19 years of corporate experience with several North American publicly traded companies, participating in acquisitions, joint-ventures, spin-outs, reverse transactions and IPO’s. Since January 2010, Paterson has been involved as an executive or as an active director of companies which have raised in excess of $175 million in equity financings.