🕐07.06.10 - 20:08 Uhr
Gold Bullion Development Corp. V-GBB - Article on Eastern Extension at Granada Gold Mine
June 6, 2010*
Gold Bullions Exciting Eastern Extension: Some Of The Dots Are Starting To
Connect**
*
*Long Bars Zone 2, Perhaps, Or A Very Long LONG Bars Zone?*
*www.BullMarketRun.com*
>From Rouyn-Noranda, Quebec
The Quebec Ministry of Mines web site (link is provided at the end of this
article) is a tremendously valuable resource for both companies and
investors and we encourage our readers to use it as a tool in their research
and due diligence.
Thats exactly what we did recently and on Friday we
received a treasure chest of historical information on *Gold Bullion
Developments* (*GBB, TSX-V*) Granada Gold Property eastern extension.
What
were sharing in this important article is publicly available information
that anyone can access (for a price) through the Quebec Ministry of Mines -
it just so happens that *BullMarketRun*, determined to perform all the
proper due diligence it can for its many readers on this very exciting *Gold
Bullion* exploration story, is the first to report on the document titled,
"Geology, Structure and Gold Mineralization, Granada Extension Property,
1994." The lengthy report with maps, which we are still reviewing, was
prepared for *KWG Resources* which in the 1980s and early-to-mid-1990s was
exploring Granada for individual, high grade quartz veins which could
support underground mining.
A couple of decades later, *Gold
Bullions*approach to Granada is much different (its going after a
low grade but very
high tonnage open-pit deposit or series of deposits) because of new
geological interpretations in addition to record high gold prices and new
technology that allows this kind of mining operation to succeed
economically.
Its a safe bet that *Gold Bullion* and GENIVAR, its geological consultant,
have additional information on the Granada eastern extension, including
their own research, that no one is privy to.
Company President and CEO
Frank Basa told *BMR* in a recent interview that they will put out a news
release on the eastern extension when "we have everything together".
What
were about to do is give investors a "sneak preview" of the growing
potential of the LONG Bars Zone based on the 1994 publicly available report
cited above.
Its important to keep in mind that *Gold Bullions* estimate
(non-43-101 compliant) of a potential resource of 2.4 to 2.6 million ounces
within the Preliminary Block Model *excludes* the Phase 1 east-northeast
discovery area and takes into account only about half of the total current
strike length of the LONG Bars Zone.
So the blue sky potential of Granada
is not hype or the result of someones overworked imagination - it is very
real and something investors need to factor in to their calculations when
evaluating this company.
Its no secret that the potential strike length of the LONG Bars Zone, most
recently reported as 1,100 metres, could be huge.
In fact, *Gold
Bullions*March 1 news release stated, "A prominent zone of
deformation, hydrothermal
alteration and quartz-veining extends for at least five kilometres around
the old mine workings." The report weve accessed through the Quebec
Ministry of Mines rich bank of documents begins to connect some dots and at
least partially answers the following question: *What exactly is out there
going east beyond* *Discovery Hole GR-10-17, the easternmost hole drilled to
date by* *Gold Bullion?*
*
*
There is so much in the 1994 report that were still trying to work our way
through but below are a few highlights for this article:
*1.* An east-west trending zone of shearing, alteration and quartz veining
(with intrusions of syenitic feldspar porphyry) extends almost directly east
of GR-10-17 to the "*Aukeko Property*" (a distance of approximately 2.2
kilometres) which was historically tested by a 12-metre shaft, stripping and
trenching.
Sample assays in the 1930s returned grades as high 19 g/t Au
while *KWG* got grab sample values as high as 13 g/t Au during some ground
work in the summer of 1993.
At the eastern end of Aukeko an historic
showing known as the Bert Vein reportedly returned grades in excess of 22
g/t Au from three bulk samples in the 1930s;
*2.* East of Aukeko (approximately another kilometre) is the *"Austin-Rouyn
Property"* which in the 1930s was tested by a shaft to 70 metres, 90 metres
of lateral development and considerable trenching.
The "Aus" vein occupies
a shear which is exposed for some 270 metres.
*Grab samples as high as 200
g/t Au (6.5 ounces) were reported in 1940 while in 1946 channel sampling and
a drill hole delivered some high grade results (up to 108 g/t Au) over
narrow widths (less than 3 metres).*
There is a great deal of material in the 1994 report that we are still
reviewing.
*KWG* completed detailed ground geophysics and geological mapping
over the extension in 1993.
They outlined a number of significant
structures within a 500-metre wide zone that extends for several kilometres.
*The bottom line is this:* Aukeko and Austin-Rouyn are right on strike with
the LONG Bars Zone and its safe to say that *Gold Bullion*s drilling is
going to make its way out to these promising areas.
Investors shouldnt get
caught up in the historical numbers above but instead focus on the "big
picture" which is the fact that *the same geological features and structures
observed so far within the Preliminary Block Model and the Phase 1
east-northeast discovery area seem to carry on for at least three kilometres
further east.*
*
*
The key for *GBB* is to follow this trend in a systematic fashion and
deliver holes grading 1 g/t Au or better over wide intersections like some
of their Phase 1 holes.
If they can accomplish that, then yes indeed the
Granada Gold Property and the LONG Bars Zone could prove up to be a massive
deposit (or series of deposits) given the fact a potential resource of 2.4
to 2.6 million ounces has already been estimated in the relatively small
defined area of the Preliminary Block Model.
In addition, one cannot rule
out the possibility, given the nature of the Abitibi region, of a base metal
discovery over any part of *Gold Bullions* 5,000 hectare land package.
The
company has already made references to signs of copper and nickel
mineralization at Granada through its previous bulk sampling and in a few
holes that were tested for base metal mineralization in Phase 1.
The information contained in the publicly available 1994 report, plus
whatever else GENIVAR and *Gold Bullion* have been able to collect, is going
to be of immense value to GENIVAR as it plans a drilling strategy going
further east of GR-10-17.
The Preliminary Block Model is a great foundation
for *Gold Bullion*.
While mineralization is open in all directions at
Granada, the immense exploration upside is clearly to the east where we now
know there are highly prospective targets and quite possibly many more to
discover and go after.
Despite the historical work the eastern extension is
still *very* under-explored.
*Editors Note: *Quebec Ministry of Mines - a valuable resource.
*http://www.mrn.gouv.qc.ca/english/home.jsp*
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