Full Metal is exploring prospective Native-owned lands in the Alaska Peninsula. This region represents a classic island-arc volcanic setting that has received limited modern exploration which is prospective for both epithermal gold, and porphyry copper-gold mineralizing systems.
Epithermal and porphyry-type deposits are found near oceanic plate subduction zones. The Aleutian Islands and the Alaska Peninsula represent an island arc formed by the Pacific Ocean plate diving under the North American plate.
- This is the only island arc environment in the Pacific “Ring of Fire” without a major mine in production (due to lack of exploration)
- A number of historic deposits and mines in the area prove the existence of epithermal and porphyry-style mineralization
- These deposits provide a geological template for new discoveries as well as the potential for expansion
The Shumagin and Apollo gold deposits on Unga Island
Together, these deposits host a historical resource of 280,000 tonnes averaging 27.7 g/t gold and 92.6 g/t silver. Apollo produced about 145,000 ounces of gold between 1891 and 1904. US natural gas producer, NGAS Resources, currently owns the deposits. The resource associated with the deposits was completed prior to NI-43-101, and have not been independently audited and should therefore not be relied upon.
The Centennial gold project on Popov Island
Battle Mountain Gold outlined a small 6-million tonne resource averaging about 1.5 g/t gold in an epithermal system during the 1980′s. This is not a qualifying resource according to 43-101 standards. This resource, completed prior to NI-43-101, has not been independently audited and should therefore not be relied upon.
Full Metal Options Epithermal Gold Targets to Redstar
Full Metal Minerals has entered into a Letter Agreement with Redstar Gold Corp. (“Redstar”) (TSX.V:RGC) whereby Redstar can earn a 60% interest in Full Metal’s Unga and Popov epithermal gold targets. See news release dated June 13th,2011.
The Unga-Popov property includes the multiple high-grade as well as bulk-tonnage disseminated gold-silver prospects. The property is located on Unga and Popov islands in the Shumagin Islands, southwest Alaska.
Scott Weekes, President of Redstar comments: “This is an extremely important acquisition for Redstar. The Unga-Popov property together with the Shumagin property gives Redstar control of an under explored epithermal vein field or camp. Two parallel gold bearing trends can be traced for over ten kilometers on the properties – this gives us a total strike length of over 20 kilometers to explore. The historic resource reported on the Shumagin property together with the exploration potential of the Unga-Popov property provides a unique opportunity for a company to control an entire epithermal district. We are also extremely pleased to have partnered with Full Metal Minerals on this project. Full Metal has extensive experience in Alaska and a very strong technical team to help advance the project.”
Previous work on the Unga-Popov property has included soil geochemistry, ground geophysics, geologic mapping, alteration studies and drilling. More than eight gold showings have been identified to date including the Aguila vein system. The Aguila system is approximately six kilometers along strike from the Shumagin vein and has been traced through trenching and drilling for over two kilometers. The system is comprised of at least of three sub parallel near vertical veins. Initial drilling in the early 1980’s returned grades up to 113 g/t gold over 0.4 meters and 12.0 g/t gold over 2.74 meters. No follow up drilling has been completed under these high grade intercepts.
The Unga-Popov Property includes the Centennial deposit, a bulk tonnage target was identified in the 1990’s on Popov Island, near the community of Sand Point. During the late 1980’s Battle Mountain Gold Corp. outlined 4.9 million tonnes grading 1.4 g/t (200,000 oz gold) within 50 meters of surface. Trenching and geophysics indicates the zone remains open in a number of directions. Note that a qualified person has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves that is compliant with NI 43-101. The Company is not treating the historical estimate as current mineral resources or mineral reserves and the historical estimate should not be relied upon or understood to indicate the existence of reserves or resources.
The mineral rights to the Unga-Popov property are held by Full Metal Minerals Inc. under a Lease Agreement with Aleut Corporation, an Alaska Native Regional Corporation. Redstar has signed an Agreement with Full Metal giving Redstar the right to earn a 60% interest in the property by: completing $5 million in exploration expenditures by August 1, 2015, making cash payments totaling $300,000 by August 1, 2014 and issuing 1,000,000 shares by August 1, 2014. Redstar has the option of earning an additional 25% interest by producing a Bankable Feasibility Study and issuing an additional one million shares to Full Metal. Redstar will issue an additional one million shares on the commencement of commercial production.