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Exciting New Gold Intersects For Junior Miner, Stock Soars on News
By: AllPennyStocks.com News
August 16, 2010
Perhaps because of the weather -- much more characteristic of summer than last year’s cold, rainy excuse for a season -- searching for gold has been much more active for companies throughout North America. As a result, the shiny metal has been harvested in abundance, at just the time when prices are finding new frontiers through which to pass.
In mid-August, Vancouver-based Gold Canyon Resources Inc. (TSX-Venture:GCU) joined the chorus of successful gold mining companies by announcing results for the first two drill holes of its summer Diamond Drill Program at its 100% controlled Springpole Gold Project, located in Northern Ontario’s Red Lake Mining District.
Just a couple of drill holes revealed results that included 217.0 metres at 1.57 grams per tonne gold (712 feet at 0.046 oz per ton), and 123.0 metres at 1.45 grams per tonne gold (404 feet at 0.042 oz per ton).Overall, mineralization on this project ranged up to 11.26 g/t one particularly rich drill hole.
Springpole is an alkaline gold system sharing similarities with other such deposits such as the great Cripple Creek deposit in Colorado. Other zones on Springpole include East Extension, Camp and Main, consisting of high-grade veins and pods surrounding the northwest and northern margins of the Portage Zone. These mineralized zones underlie an area of about four square kilometres.
GCU is in the business of acquiring and exploring of mineral and precious metals properties. The Company controls a 100% interest in Springpole, as well as a host of other properties, currently under option to Shoreham Resources Inc. (TSX-Venture:SMH) following a joint venture agreement signed in December 2005 -- all in the Red Lake Mining District.
Through its wholly-owned U.S. subsidiary, Gold Canyon Resources USA Inc., the Company controls a 100% interest in the Cordero Gallium Project, which covers over 3,800 acres, and is situated approximately seven miles or 15 km southwest of the town of McDermitt, Humboldt County, Nevada.
Nor is the company’s repertoire limited strictly to gold; GCU’s Kratz Spring property is an identified Iron Oxide Copper Gold-Rare Earth Elements (REE) deposit located in the St. Francois Mountains of southeastern Missouri. This region hosts several iron-oxide, apatite, and copper-gold-REE deposits.
News of the latest developments from Springpole spurred investors to spring to life, trading in more than 3 million shares in GCU on August 16 alone. It drove the price up near 41 cents a share, in the middle of a 52-week trading range that peaked at 60 cents early in April, after dropping to a low of 10.5 cents in late August of last year. GCU might prove to be something to look out for among would-be investors searching for added gold exposure, certainly before this wonderful summer runs out.
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