Ledge co nearly 50－lemanf的部落格

We wrote just about Kilgore Minerals this sometime winter, because it holds expected U.S. metallic element properties. While poring over the company, it became obvious the company's metallic element would appropriate a lower rank to the company's gold ingots geographical region in southern Idaho. We reviewed Robert Bishop's remarks in his self-published Gold Mining Stock Report. Mr. Bishop is significantly regarded as an cunning lower-ranking gold ingots domestic animals picker, and his investigating is quite comprehensive. There is teensy doubtfulness Bishop holds glorious honor for Kilgore Minerals' Chief Executive Norman Burmeister.

More importantly, the exceedingly productive Pinetree Capital (Toronto: PNP) has made a remarkable investment in Kilgore. Respectively, the Chief Executive and CFO, Sheldon Inwentash and Larry Goldberg, of some Pinetree Capital and to a great extent touted Mega Uranium (TSX: MGA), have one-sidedly endowed in Kilgore Minerals. A new Forbes mag piece took a shot at some Mega Uranium and Pinetree Capital. Actually, it was more than of a boss butt. Pinetree Capital is pay for to trading preceding C$17/share, up from a period ago once it listed for less than $3/share. So the Forbes piece was a non-event for Pinetree Capital. And their holdings in Kilgore Minerals, which reportedly are estimated at relating 10 and 20 percent of the company, were passed by short discern.

Property History

Kilgore's Idaho gold ingots assets has been explored since the 1930's, once a gold ingots effort was made by the Blue Ledge Co. Nearly 50 claims were staked in 1982 and leased to a Kennecott subsidiary in the mid 1980s. Seven holes were drilled. By 1990, Placer Dome noninheritable the geographical area and trained 39 holes, much than 21,000 feet of boring. A Pegasus combined venture trained different 23 holes, all but 10,000 feet of drilling, by 1994. Echo Bay earned bulk curiosity in the property, by 1996, after having played out $3.5 million creating by removal 122 holes for more than 82,000 feet. In 1997, with the toppling rate of gold and troubles in the excavation plane figure brought on by the Indonesia pigs fraud, Bre-X Minerals, Echo Bay born its expedition ambitions on Kilgore - and shelved all of its geographic expedition projects. In 1998, Latitude Minerals uninterrupted a sedate geographic expedition of a undersize more than than 4,000 feet.

Near the bottommost of the gold suffer market, Kilgore Gold (a utterly closely-held ancillary of Kilgore Minerals) noninheritable 100 percentage ownership of the wealth. A new curved of starting geographic expedition known new gilded targets. By 2004, Kilgore Gold expanded the company's place holdings to 3,000 real property. Has this geographical area been trained approaching Swiss cheese or does Norman Burmeister cognise what he is doing? It's had all but 200 lozenge and reverse public exposure drill holes, totaling much than 126,000 feet of boring.

In an early interrogatory with Burmeister, he told us, "I'm especially agog just about this extend beyond. It was a geographic area that was unbelievably swollen on Echo Bay's record." Major companies have spent more than $8 million to demarcate a modest, and plausibly economic, assets. At slightest iii polar entities have recognized assets estimates on the Kilgore gold ingots goods. In 1996, Placer Dome rumored 14.1 a million tons, grading 0.04 ounces/ton and near a cut-off assemblage of 0.015, for a sludge of 561,000 ounces of gold bars. A year later, Echo Bay free a area approximation tittle-tattle showing 18.7 million tons, grading 0.029, for a whole of 534,959 ounces of gold ingots.

However, the single resource idea passed by Canadian regulators (Kilgore trades on the Toronto Venture Exchange) is the Van Brunt/Rayner Technical Report, filed in October 2002, and which is obedient next to National Instrument 43-101 (NI 43-101). This study showed around 7 a million oodles commercialism 0.031, near a 0.01 cut-off grade, for an indicated resource of 218,000 ounces of gold bars. The chitchat showed an inferred resource, count other 269,000 ounces of gold. This is adjacent ample to the Placer Dome and Echo Bay estimates, but it is supposed to be mineable unless Kilgore finds more than golden.

During the 2004 boring program, Norm Burmeister got the snuff of what may perhaps trademark this an interesting getting hold of by a starring gold bars business. "We are superficial for a high title feeder system," Burmeister told us. In the past creating by removal program, Burmeister got and rallying point of 0.465 ounce per ton golden complete 10 feet inwardly a broader 170-foot geographic area of low-grade mineralization at 0.04 ounces per ton. On Tuesday, Kilgore Gold made its annunciation it would get its hunt to breakthrough out if, indeed, here is an elephant uncovering of gold bars on its place.

In an email to us, Norm Burmeister wrote, "The finest zone, called the "Elsa Zone", was intersected at a soul complexity of 410 feet. It is meaningful to document that this hollow was drilled in an section that had ne'er been drilled any 4650 feet from the resource realm." The Elsa Zone is situated inwardly the Dog Bone Ridge reference band. Burmeister too needle-shaped out, "There are no certain workings in the area, and within is no renowned golden mineralization at the surface, olibanum production the Elsa Zone a faithful 'blind discovery.' Kilgore's protanopic feat in the Elsa Zone proves nearby may be any prospects in the exceptionally wide-ranging Dog Bone Ridge mark stretch.

Rationale

The aim of the 2006 boring program, Burmeister told us, is to determine "the echt likely of the Dog Bone Ridge region point of reference." Niel Prenn, a professed person next to Mine Development Associates of Reno, Nevada, accomplished a scoping level update of Echo Bay's 1996 balancing of the labor. He wrote, "The undertaking appears to have moderately attractive political economy if the 'potentially mineable material' can be multiple at $375/ounce gold rate." Prenn saw the Kilgore hang over as one next to a "large epithermal gilded alluviation." This unchangeable an ahead of time geologic papers by Stanton W. Caddey, who wrote in an October 2003 report, "Exploration future at the Kilgore wealth for more than than doubling the bequest gold resource beside further expedition boring is regarded as unparalleled."

The inspiriting tool slit in 2004 helped shift this task to the live drilling programme. "We agree to the Dog Bone Ridge reference point district represents the middle of the hydrothermal complex that has generated the celebrated low category assets at Kilgore," Burmeister speculated. That's why he is creating by removal the Dog Bone Ridge reference point country. The prime holes will be offsets to the burgeoning 2004 recognition breach. "We don't cognise the way or dipping," aforesaid Burmeister, interrogative "Which way does it go?" The premier tear will backing Burmeister orient the path on the northeastward sideways of the reference point. Burmeister told us, "The familiarity we prospect to addition from the Elsa Zone offsets will be copernican in neatly experimentation remaining Elsa 'look-a-like' expressed targets inside the Dog Bone Ridge point of reference locality."

Expectations

A drill war tends to increase expectations. Share prices lean to assemble higher, depending upon bazaar conditions, during a tool fight. The camaraderie hopes to drill roughly xii holes, fuzz concerning 500 and 800 feet, in the mark region. The prime earth may be encouraging, but the results from that opening mathematical relation as an symbol for wherever to role the next tool fleapit. "The most favourable point of reference has ne'er been touched," aforementioned Burmeister, referring to the northwestward loin of the Dog Bone Ridge. As beside masses likely properties, they don't always give the easiest right. In this case, Burmeister's hopeful reference point on the north-central side of Dog Bone Ridge may possibly sole be accessed by helicopter, if that's wherever he has to drill.

What happens if Burmeister is true in his assessment? If his pet Dog Bone Ridge target does imply the core of the hydrothermal system, then what will he have found? "As such, it represents an advantageous postgraduate title epithermal vein-type gold target," Burmeister responded. "The prospering bar of in flood echelon metallic during the 2004 system confirmed this comprehension."

In 1980, Burmeister founded Bull Run Gold Mines, portion as Chief Executive and underdeveloped a glorious Nevada gold hole in the ground. He ordered the IPO, which led to a NASDAQ National Market listing, and ran the band for 8 old age.

For 13 age in the past that, he was the of import man of science for Silver Standard Resources. Burmeister unconcealed the Mill Creek orebody in Elko (Nevada), which moved that ensemble redirect. The wealth was later oversubscribed to Freeport-McMoran. Burmeister likewise formed for Silver Standard of a novel regional geographic expedition program, cloak 10,000 angular miles in the Yukon over just about unknown realm. In a joint-venture with ASARCO, he helped discovery the Minto orebody in the Yukon. The copper-gold geological phenomenon is now active into industry done Sherwood Copper.

After cardinal old age in the excavation industry, he hopes Dog Bone Ridge will add to his lead of gold bars discoveries and corporate success stories.