Pelangio Exploration Inc.
Ghana – Timmins – Red Lake ● World-class Gold belts
Pelangio Exploration Inc. Milton, Ontario; TSX: PX, is a Canadian junior gold exploration company active in two of the top-ranked mining jurisdictions in the world, Canadaand Ghana.
The Company's most recent success was the acquisition, exploration, re-envisioning and subsequent sale to Detour Gold of the Detour Lake deposit in northern Ontario (now a 14.9 million ounce reserve in a measured and indicated resource of over 20 million ounces).
As at Detour Lake, Pelangio consistently focuses on acquiring large land packages in existing gold camps.
Ghana, West Africa
The Company is now seeking even greater success on its latest projects: the Obuasi and Manfo Properties in Ghana, West Africa.
Pelangio’s 100 square kilometre Manfo Property, which lies on the Sefwi greenstone belt between the Ahafo and Chirano mines, respectively operated by Newmont and Kinross, is the site of recent near-surface discoveries, both high grade and bulk tonnage, on four separate targets.
The Company is also actively exploring its 290 square kilometre Obuasi Property, located on strike and adjacent to AngloGold Ashanti’s Obuasi mine, which has produced over 30 million ounces of gold since 1897.
Ghana - a stable, established, democratic system
- Ghana is Africa's second-largest gold producing country after South Africa.
- Close to 60 million ounces of gold have been mined in Ghana over the last century.
Gold reserves and resources are estimated at well over 100 million ounces.
Exploration Team in Ghana
Led by Warren Bates, SVP Exploration of Pelangio, our exploration team in Ghana has significant experience and depth. Sam Torkornoo, B.Sc., MBA, our Exploration Manager, has been working with us since 2006.
Our geologists are supported by a team of over 15 geotechnicians.
- Mining industry contributes approximately 40% of Ghana's gross export earnings.
- Government entitled to a free carried equity interest of 10% in mineral ventures with the option of purchasing an additional 20% at a fair market price.
- Government retains a 5% net smelter royalty on production.
- Some of the world's most senior gold producers have made large investments in Ghana:
- AngloGold Ashanti operates two producing mines: Obuasi and Iduapriem
- Gold Fields operates the Tarkwa and Damang mines
- Golden Star Resources operates the Bogoso/Prestea and Wassa mines
- Newmont started operations at the Ahafo mine in 2006 and is developing the Akyem project
- Kinross recently entered the country following its $7.1 billion acquisition of Red Back Mining, which developed the Chirano mine
Canada
Pelangio controls a number of early-stage properties in Ontario and Quebec, mostly in areas with active and historic mining activities.
Birch Lake, Ontario
Pelangio owns a 100% interest in the Birch Lake property, which comprises 28 contiguous unpatented mining claims (1,120 acres) located in the Keigat Lake area, approximately 120 kilometres northeast of Red Lake, Ontario.
The property is subject to an underlying agreement whereby Goldcorp retains a 2% NSR royalty on all of the claims. There are currently no obligations to Goldcorp other than payment of the royalty on production.
Previous work by Placer Dome delineated a gold-bearing system (High Grade Island) over a strike length of approximately 300 metres to a vertical extent of 150 metres. From 1986 to 1996, Placer Dome completed 110 drill holes totaling 19,918 metres, together with mapping, trenching, geochemical and ground geophysical surveys.
Poirier Gold, West Timmins, Ontario
Pelangio owns 100% of the Poirier Gold Property, which comprises two contiguous unpatented mining claims (160 acres) located in Bristol Township, 22 kilometres west of Timmins. We are also in the process of converting these claims to leases. The property is subject to a 1% NSR payable to the vendors and a further 1% NSR payable to a third party.
The claims are contiguous with Lake Shore Gold Corp.'s Timmins Gold Project (which holds a 1.2 million ounce gold reserve at a grade of 10.4 g/t) and the Thunder Creek project. Lake Shore Gold reported a drill result of 83.40 metres grading 12.75 g/t gold in hole TC-09-68b at Thunder Creek in June 2009, which was collared within 250 metres of our property boundary.
Underground drilling has continued to confirm the presence of a large gold mineralized zone at Thunder Creek, with recent results including an intersection of 11.53 g/t gold over 147 metres.
The Poirier Gold Property is located in a mafic volcanic unit approximately a kilometre to the west of the mafic, ultramafic and sedimentary contact, which dips steeply westwards towards our claim block. Subsequent to the end of the second quarter, we conducted prospecting and MMI surveying on the property, the assay results of which are pending.
Quartz veining and sulfide occurrences were noted on the property during this program. We intend to continue monitoring Lake Shore Gold's exploration progress and may initiate a drill program on the property based on the information that our neighbours' results will provide.
Other Canadian Properties and Royalties
Pelangio currently owns a number of other Canadian properties, as shown in the following chart,
Seeley Lake |
Lartic Gold |
Thunder Gold |
Black Township |
Mahaffey |
|
Location |
14 kilometres northeast of Marathon, Ontario |
4 kilometres west northwest of Malartic, Quebec |
20 kilometres west of Timmins, Ontario |
100 kilometres east of Timmins, Ontario |
50 kilometres north of Timmins, Ontario |
Size |
19 claims |
9 claims (900 acres) |
1 lease |
2 claims (480 acres) |
231 (9,240 acres) |
Interest |
100% |
100% |
100% |
100% |
100% |
Underlying Royalty |
None |
None |
2% to vendors and $1000 per year advance royalty |