Re: Silence was golden? mark1
in response to
by
posted on
Feb 10, 2010 11:02PM
Focused on becoming a near-term Gold Producer
Every mining junior has to try and maintain an active portfolio of projects, which includes adding projects because existing ones don't pan out or are put on hold for strategic reasons. Market conditions for base metals has changed significantly from 2 years ago so a nickel/copper prospect would require a large tonnage to be of interest and Onaman doesn't have that yet.The existing projects are still active and two of them, Paint Lake and the Golden Extension, have significant activity on the offsetting lands. Goldstone ( Ontex) is advancing their Brookbank project with recently released results ( Feb 2) that include drilling towards Sage's Paint Lake property. The Brookbank deposit has an existing NI43-101 resource estimate which undoubtedly will be revised upwards. They have a good change of developing a mine right next door. We're still waiting for some assays results from Paint Lake which hopefully will demonstrate some more good gold values. Kodiak will be releasing a NI43-101 resource estimate for their Golden Mile project which offsets the Golden Extension. They have indicated that the margins of the Elmhurst intrusive are more prospective for better gold grades and have mentioned that includes the portion of their Hercules property right beside the Golden Extension veins of Sage. It's may be more strategic for Sage to wait until Kodiak has developed their adjacent property some more before spending any more money. While we on the topic of money, the limited amount in Sage's purse restricts what they can do. Sage is required to carry out exploration drilling at Clavos to prove up more resource, but the NI43-101 technical report actually recommends specific locations for exploratory holes! Now I fully expect Sage's geos to review the existing data ( there's a large database of existing holes) and maybe a 3D model already exists that they view immediately, but a lot of the work has already been done. I expect they will announce a drilling program at Clavos later this year. Meanwhile we need to see the rest of the 2009 results. The Clavos deal is definitely an improvement for Sage.