Post by Franko10 ™ on Feb 22, 2005 19:41:03 GMT -5
GOLDEN ARCH RESOURCES LTD.
#928 – 470 Granville Street, Vancouver, BC V6C 1V5
Phone: (604) 681-8222 Fax: (604) 681-8282
Email: goldenarchresources@telus.net
GAI: TSX Venture
GARCF: O.T.C
Exemption 12g3 - 2(b)
SEC File # 82-659
#928 – 470 Granville Street, Vancouver, BC V6C 1V5
Phone: (604) 681-8222 Fax: (604) 681-8282
Email: goldenarchresources@telus.net
GAI: TSX Venture
GARCF: O.T.C
Exemption 12g3 - 2(b)
SEC File # 82-659
REDHAWK OPTIONS ARIZONA GOLD AND SILVER PROJECTS
FROM GOLDEN ARCH RESOURCES
February 11, 2003 - Golden Arch Resources Ltd. (“Golden Arch”) and Redhawk Resources, Inc. (“Redhawk”, RDK-TSX) are pleased to announce that, following the approval of each of their Boards of Directors, the Companies have signed an option agreement which allows Redhawk to earn up to a 75% interest over five years in the Gold Bullion Project and the Malachite Silver Project by spending money, issuing shares, making a private placement in Golden Arch to pay outstanding Golden Arch liabilities, and by making cash payments to both Golden Arch and the underlying property owner. The projects are located in Pima County, Arizona approximately one hour drive south-south-west of Tucson. This agreement is subject to the Definitive Agreement and certain other items that form part of this part and parcel agreement receiving Regulatory Approval.
THE GOLD BULLION PROJECT
The Gold Bullion Project’s principle mineralized zone is called the Gold Bullion trend. It is defined by widespread rock chip sampling and a partially co-incident soil anomaly which extends the currently defined limits of the mineralized gold zone that has been traced on surface for 2.14 kilometers (7000 feet) in length and an average of approximately 150 metres (500 feet) in width..
The Gold Bullion trend is oriented in a north-east/south-west direction and is open for extension. It contains numerous steeply dipping veins both large and small throughout its length surrounded by an extensive envelope of lower grade gold mineralization. The underground workings of the historic high-grade Gold Bullion Mine are towards the south end of the gold trend and the Jupiter Gold Mine workings are towards the north end.
Prior to Redhawk’s involvement Golden Arch completed three trenches on the Gold Bullion trend south of the Jupiter Mine. The trenches were oriented to partially crosscut the width of the gold trend over a north-south distance of about 460 meters (1500 feet). The trenches were dug by hand and then channel sampled in two meter intervals. Trench A is the most northerly trench. Trench B is located about 260 meters (850 feet) south-west of Trench A and Trench C is located about 200 meters (650 feet) south of Trench B. The analysis of Trench A will be completed in Phase One.
In the mid 1970’s a limited air track drilling program was undertaken by previous owners.
In 1974, Kalium Chemicals Limited drilled 35 holes up to 150 feet thick with an Airtrak percussion drill. Given this very crude drilling system, the recovery expected would be erratic and poor; however, the results were encouraging. Twenty-seven holes intersected the mineralized conglomerate, which has been identified as the primary host rock for the gold mineralization. All twenty-seven holes had highly anomalous gold values that ranging from 0.012 opt Au to 0.076 opt Au. The best results were in hole SH #3 that returned values of 0.076 opt Au over 75 feet (55’-130’). No silver values were available from this drill program. All these holes were located near the Jupiter Mine Area. Although the data set is incomplete, enough information is in hand to show this effective but crude first pass exploration tool recovered gold values from beneath the surface, demonstrating this extensive gold system extends beyond the surface to depth. In addition there are three large soil anomalies that lie south, southeast and southwest of the Gold Bullion zone that will see initial exploration in the first phase program.
In 1999, Canarc Resources Ltd. took 35 samples from the Mildred Peak property. 12 samples were very anomalous in gold and 9 samples assayed from 1 gram gold per tonne to 10 grams gold per tonne. Five of the 35 samples returned assays from 12.57 grams gold per tonne (0.37 opt gold) to 67.45 grams gold per tonne (1.97 opt gold). In most underground mining operation, values like these would indicated ore-grade material. In 2000, Echo Bay Exploration Ltd. took rock chip samples from the north zone, returning values of 0.088, 0.503, 0.452, 0.183, 0.508, 0.775, 0.244, and 0.152 opt Au, for an average of 0.363 opt Au. Local historical records including a 1913 Professional Engineer’s report indicate the Gold Bullion Mine was initially explored in the 1880’s. The discovery of the high-grade gold/silver veins at the Gold Bullion Mine led to further prospecting in the surrounding area looking for similar deposits. This resulted in the discovery of the Jupiter Gold Mine near the north end of the trend and the numerous small surface showings and underground workings still seen today, scattered along the Gold Bullion trend. Golden Arch the larger high-grade gold/silver veins are potentially significant in their own right. For example, the 1913 report includes channel sample results on the Last Chance vein (one of 8 veins from which significant results and workings were reported on) from surface down to the third level 48.8 meters (160 feet) below the shaft collar. The shaft continued below the third level, but when the engineer sampled the vein the water level had risen to just below the third level. The average grade of the 12 channel samples reported from the Last Chance vein on three levels was 19.9 gms gold and 485 gms of silver per tonne (0.58 oz gold and 14 oz silver per ton) across an average width of 1.22 meters (4.0 feet).
Management cautions the reader that although we are personally confident with the information taken from the 1913 report we do not have any first hand verification of this information. Later this year we intend to commence drilling the Gold Bullion trend. The first drill program will begin assessing the bulk tonnage gold potential along the 2.14 kilometer mineralized trend. Holes will also begin investigating some of the larger discreet high-grade gold/silver veins along the trend, including the Last Chance. This is a large gold system, and we know it is going take some time and much drilling for us to get a good understanding of what the ultimate possibilities are for the whole Gold Bullion trend and its bulk tonnage and high-grade gold potential. At the time these old working were excavated on the high-grade gold and silver veins, the potential for bulk tonnage gold mineralization in the surrounding wall rocks was not considered because it was of no economic significance.