Trade Winds Ventures is a Canadian based gold exploration company whose primary focus is the advancement of its Detour Lake Block A and Gowest properties, located in the Abitibi Greenstone belt in Northeastern Ontario.
Trade Wind Ventures rallies after releasing updated gold resource for Block A
Trade Wind Ventures (TSX-V:TWD) was in demand today after the junior gold exploration company released an updated resource estimate for the Block A property, which is held in a 50/50 joint venture with Detour Gold (TSX:DGC).
Block A sits adjacent to Detour Gold’s Detour Lake project in north-eastern Ontario.
The updated resource estimate took into consideration a base case gold price of US$1,000 per ounce and included 30 additional drill holes (11,591 meters) completed in 2010. The most recent drilling focused on near surface mineralization within the ‘M Zone’ and on the western extension of the modelled pit.
Using a cut-off of 0.4 grams per tonne gold, the indicated resource now stands at 70.8 million tonnes averaging 0.85 grams per tonne gold for 1.924 million ounces. There is an additional 27.3 million tonnes averaging 0.87 grams per tonne gold in the inferred resource category, for 762,000 ounces of gold.
"This mineral resource estimate completed by WGM has significantly increased the indicated category of the gold resource on Block A, which now stands at 1.924 million ounces contained within a US$1,000/oz pit shell, of which 50% is attributable to Trade Winds,” Ian Lambert, CEO and President of Trade Winds stated.
“As operator of the Block A project, we plan to proceed with a 30,000 metre drilling program during the first half of 2011 to increase the confidence level of the resource estimate and to test areas outside the Block A pit shell with the objective of expanding the known mineral resources."
Trade Wind Ventures also noted that the current pit shell design crosses the boundary of the eastern side of Block A onto a lease held by Detour Gold. The resources on the Detour lease are not included in the Block A resource released today by Trade Wind Ventures.
Shares in Trade Wind Ventures climbed more than 8% on the resource update, while shares in Detour Gold held steady.