I am pleased to report that Sego Resources continues to make excellent progress in the effort to explore and define a large alkalic porphyry copper-gold system in the Afton-Copper Mountain trend at Miner Mountain.
From 2008 to 2010 exploration was focused on the historic core area known as the Granby zone, where a zone of Cu+Au+Ag mineralization was defined in 100 -120m zone to at least 100m in depth.
After 2010, based on the intercept of MM-DDH 19 (27.43m of 0.42% Cu 0.3 g/t Au 1.45 g/t Ag), and numerous mineralized/oxidized trenches, the decision was made to test the IP chargeability anomaly to the south of the Granby zone. This acurate anomaly (informally known as the “Cuba Zone”) was tested with 102 percussion drill holes over 2011 which succeeded in locating a new zone of mineralization with a strike of 600m and an average width of 200m. An 8 hole diamond drill program in early 2012 yielded the best drill hole drilled to date on the property (MM-12-DDH-21) and confirmed the efficacy of percussion drilling as an exploration tool.
MM-12-DDH-21, from 10.06m to 110.45m, 100.39m of 0.946% Cu 0.55 g/t Au 3.473 g/t Ag
- Including from 10.06 to 45.11m, 35.05m of 2.457% Cu 1.35 g/t Au 8.896 g/t Ag
Also during summer 2012 the British Columbia Geological Survey, did a 6 day reconnaissance mapping project on the property which yielded many important insights into the stratigraphy and structure of the property. In the course of their work they located a sample of highly mineralized float, from a new zone. Sego is following up on this new high priority target. The full text of the report can be found here.
In August 2012 to advise Sego on the exploration and development of the property the management has formed a technical advisory comitte composed of Vic Preto Ph.D. ,P. Eng, Nick Carter Ph.D., P.Eng , and Christos Doulis CFA. Dr Preto and Dr Carter are both world recognized experts in British Columbia Porphyry Copper Deposits, with extensive experience in exploration. Christos Doulis has been active in the financial side of the mining industry for 18 years, including Vice President in the Mining Investment Banking group at Blackmont Capital, and a Partner at Gryphon Partners, a global corporate advisory consultancy specializing in mining and resource company mandates. His is currently an exploration advisor.
For the future Sego has planned a $5 million exploration budget of aggressive exploration designed to further expand and define the areas of known mineralization while discovering and expanding new zones.
Sego is dedicated to involving all stakeholders in all phases of property development and to this end, it has fostered an excellent relationship with the local community and the Upper Similkameen Indian Band. To strengthen and develop this relationship, Sego has signed a Memorandum of Understanding with the Upper Similkameen Indian Band. Sego and the USIB also have a strong working relationship resulting in the USIB contractors and Sego jointly winning an award for their trenching and reclamation.
It is worth noting that Copper remains at historic highs and Gold continues to approach record -reaking highs, despite the trying economic times. The industrialization of the emerging world has been and will remain the dominant driver of the growth of the base metal resource sector, while the economic uncertainty in the developed world provides an incentive for investors to diversify into gold.
Exploration by Sego on this property began just a few years ago and it has consistently produced encouraging results. We invite you to join us for the rest of the journey.
J Paul Stevenson - CEO Sego Resources Inc.
CEO J. Paul Stevenson has many years of experience in the mining industry and is a leader in aboriginal engagement in the resources sector. President Chris Sampson, P.Eng., has extensive experience in porphyry copper exploration and J. Allan Hilton is a well-known mine finder and prospector. Shelley Hallock has extensive experience in corporate governance and a background in media. This team has worked together for 20 years. The team above, has been bolstered by addition of Tyler Ducharme as CFO and Andrew Watson as a director.