Steele Resources Corporation Enters LOI to Acquire Mineral Rights on Filipinni and Plumas Projectsadmin
Steele Resources Corporation announced that its subsidiary, Steele Resources, Inc. has entered into an LOI with America’s Gold Exploration, Inc. to acquire rights to the Filipinni and Plumas Gold Exploration projects, located in immediate proximity to Newmont’s Phoenix-Fortitude Gold Mine. The projects have extensive historic sampling and drilling on them and will be a key part of the Company’s portfolio of exploration properties.
According to historic assay data acquired with the Plumas project, the property was mined in the early 1900′s for high grade gold located near surface. Recent preliminary testing of visible breccia outcrop revealed gold values as high as 1.2 ounces per ton. Due to the magnetic anomaly beneath the property, and its proximity to a well established gold ore reserve, the Company will be aggressively testing the property for the full extent of potential gold mineralization.
The Filipinni gold exploration project was drill tested by Barrick Resources in the 1980′s. The drilling data and assay certificates from that drilling indicates they intercepted multiple gold and copper mineralized zones including approximately 40 ft of gold mineralization at .304 ounces of gold per ton and 20 feet of copper mineralization of 1.83%. These higher grade zones were surrounded by grades of gold and copper ranging from .01 to .04 opt gold. The Company believes this mineralized zone is a copper and gold skarn that may be related to the deposit at Newmont’s Phoenix-Fortitude pit, which was originally reported at 8+ million ounces in gold reserve. The Company will be testing this theory by additional sampling and drilling.
Acquiring the exploration rights to both the Filipinni and Plumas Mine projects remains subject to completing due diligence, securing necessary financing and preparing definitive agreements.
Company CEO Scott Dockter stated, “The price of gold is currently at its historic, all time high. Steele Resources Corporation is aggressively working to identify and acquire projects that are sufficiently advanced to allow for the near term evaluation of their potential for production. If the LOI conditions are satisfied, adding these two excellent projects to our portfolio is a significant step towards this goal. In addition, we also have the Comstock Tyler Project, which sits on the historic Comstock Lode which has been a very prolific precious metal region. Throughout its history, the Comstock Lode has produced in excess of 6.9 million tons of ore. Our initial sampling of the Comstock Tyler project included assayed gold value of up to .19 ounces per ton and silver value of 1.895 ounces per ton. We also have the Fairview Hunter Project which has notable drill intercepts and a planned second round of drilling .”
Steele Resources Corporation is a Nevada precious metals exploration and development company operated by professionals with extensive exploration, mining, and public market experience. The Company is working to become an active gold producer through exploration, acquisitions, mergers, and by developing its existing portfolio of properties. Its current ensemble of exploration properties includes 600 acres in the historic Comstock District, 2,300 acres near the Denton-Rawhide Mine, and its pending acquisition of rights to 145 acres adjacent to Newmont’s Phoenix-Fortitude Mine.