Golden Dory/540 Capital Expands Property Position and Commences Phase 2 Airborne at Burin Project
Golden Dory Resources announce that is has acquired 376 additional claims at its 100% owned (3135 claim, 78,375 ha) Burin Project in southern Newfoundland, and that Phase 2 airborne radiometric, magnetic and electromagnetic surveys have commenced. The Burin project is host to newly discovered uranium mineralization hosted within the St. Lawrence Granite and includes recently announced (see news release dated September 26, 2008) grab sample assay values of up to 1.886% U3O8.
The newly acquired claims include 329 staked claims as well as 47 claims optioned from local interests (1) all of which cover untested radiometric anomalies associated with the prospective St. Lawrence Granite. Ongoing exploration over the remainder of the Burin Project since September 1, 2008, has resulted in the collection of approximately 300 radioactive bedrock samples for assay at Activation Labs in Ancaster Ontario and results are expected shortly. Preliminary readings from hand held, RS-125 spectrometers, has indicated the presence of widespread bedrock uranium mineralization.
On October 1, 2008, Golden Dory announced the signing of a letter of intent with Cameco Corporation to jointly explore the Burin uranium project, including immediate funding of $250,000 which represents 50% of the 2008 exploration budget. The 2008 funding forms the initial part of a joint venture option agreement presently being finalized, pending a review of the results of the 2008 exploration program which includes the second phase of airborne surveys as well as an intensive geochemical sampling and mapping program currently underway on the property. The proposed joint venture being concluded will see Cameco earn a 55% interest in the Burin project by spending a total of $2.75 million in exploration in 2008, 2009 and 2010, and earn a 65% interest by spending an additional $1.5 million by December 31, 2011 for a combined total of $4.25 million.
The Burin property is targeting bulk tonnage uranium mineralization hosted within a Devonian aged alaskitic granite on the southern Burin Peninsula of Newfoundland. The granite is host to numerous base and precious metal occurrences as well as the past producing fluorspar deposits at St. Lawrence. The St. Lawrence Granite is similar in many aspects to the host rocks at the Rossing uranium mine in Namibia, one of the world’s largest producers of uranium. Extrusive phases of the St. Lawrence granite are also prospective for volcanic hosted uranium as at the large Streltsovska complex in Russia.
The property offers excellent attributes including: a network of roads, lying at ice free tidewater facing the major shipping lanes between Europe and North America, and where a newly constructed, 27 megawatt wind generated power plant is scheduled to commence operation this quarter.
(1) The optioned claims consist of 47 claims in 5 separate agreements with arms length local prospectors and are subject to TSX Venture exchange approval. The agreements include combined cash and share payments totaling $196,000 and 702,000 shares over a three year period at which point Golden Dory will own 100% of the optioned claims subject to a NSR retained by the vendors. The vendors retain a 2% NSR of which Golden Dory can buy back half of the NSR (1%) from each agreement for $1 million.
Golden Dory recently obtained a listing on the TSX Venture Exchange and is focused on uranium, gold and base metal exploration in Newfoundland and Labrador, Canada. In addition to the Burin uranium property, Golden Dory has 100% interests in the Brady (Au) property, a 50% interest in the Sims Ridge (U) property in western Labrador and a 30% interest in the grassroots stage Portage Lake (Ni, Cu) property in western Newfoundland. Golden Dory is seeking partners to jointly explore of its property holdings.
