Grayd hits massive sulphides

In a continuation of last year’s drilling program, Grayd Resource (GYD-V) has encountered volcanogenic massive sulphide mineralization in the first three stepout holes in the Fosters Creek area of the Dry Creek property.

Much of the Vancouver-based junior’s work to date has focused on DC North, one of four mineralized horizons identified on the property, situated in the Bonnefield district of Alaska. DC North coincides with an 1,830-metre-long electromagnetic (EM) anomaly.

In 1997, Grayd completed 3,935 metres of diamond drilling in 37 holes along the DC North horizon. Three zones of massive sulphide mineralization, dubbed Discovery, Lago Creek and Fosters Creek, were identified along a 1,037-metre strike length in the central part of DC North.

Only four holes tested the Fosters Creek area in 1997; the holes were drilled in two shallow fences, 30 metres apart. Hole DC97-32 intersected 5.9 metres averaging 15.74% zinc, 7.47% lead, 0.4% copper, 1 gram gold and 144.3 grams silver per tonne, starting at a downhole depth of 28.1 metres.

Downdip, hole DC97-33 hit 7.2 metres averaging 15.13% zinc, 6.59% lead and 0.35% copper, 1 gram gold and 333.9 grams silver, beginning at a depth of 39 metres.

The second fence of holes was drilled 30 metres farther east. Hole DC97-5 intersected 5 metres averaging 5.79% zinc, 2.79% lead, 0.19% copper, 2.4 grams gold and 130.3 grams silver, starting at 17.1 metres downhole. Hole DC97-6, drilled downdip of hole 5, encountered two intervals: 1.5 metres of 7.03% zinc, 3.26% lead, 0.2% copper, 1 gram gold and 76.5 grams silver, starting at a 6.1-metre depth; and 2.1 metres of 5.11% zinc, 3.41% lead, 0.17% copper, 0.68 gram gold and 291.4 grams silver, beginning at 18.3 metres.

Grayd began the 1998 program by stepping out 30 metres west of last year’s high-grade holes, DC97-32 and DC97-33. Hole DC98-38, collared at minus 45, intersected 7.9 metres (true width) averaging 5.22% zinc, 2.35% lead, 0.14% copper, 1.11 grams gold and 193.9 grams silver (including 4.2 metres grading 9.28% zinc, 4.23% lead, 0.23% copper, 1.86 grams gold and 296.5 grams silver), starting at a downhole depth of 59 metres.

Hole DC98-39, drilled downdip of hole 38 at minus 70, encountered 12.2 metres (true width) averaging 7.3% zinc, 3.18% lead, 0.2% copper, 0.37 gram gold and 45.2 grams silver (including a 7-metre interval grading 10.33% zinc, 4.49% lead, 0.28% copper, 0.45 gram gold and 45 grams silver), beginning at 77.6 metres downhole.

Stepping out in the other direction, hole DC98-40 was collared at a minus 45 angle, 45 metres east of holes 97-5 and 6. The hole intersected 29 metres (true width) averaging 6.22% zinc, 2.56% lead, 0.22% copper, 1.03 grams gold and 182.8 grams silver, starting at 6.1 metres downhole. The intersection included a number of high-grade hits, including 3.7 metres grading 23.58% zinc, 8.46% lead, 1.02% copper, 2.42 grams gold and 531.5 grams silver.

Taken together, the seven holes have tested 105 metres of strike length in the Fosters Creek area, which is approximately 750 metres west of the Discovery area. While Grayd is continuing with stepout drilling on the Fosters Creek zone, the company also plans to test the projected extensions of high-grade mineralization in the Discovery area, as well as a number of geophysical and geochemical anomalies. Past drilling in the Discovery area has shown highly variable grade and thickness.

A total of 3,600 metres of drilling is planned in 1998 on the Dry Creek property.

Meanwhile, Grayd has commenced drilling on the Anderson Mountain property, 29 km southwest of Dry Creek. There, massive sulphide float ranging up to 1.5 metres in diameter is traceable along a trend coincident with a 1,373-metre long EM conductor. Grab samples from the float averaged 14% combined lead and zinc, 2.5% copper and 274 grams silver. A 2,440-metre drilling program is planned.

Drilling is also under way on the Delta joint-venture project with Inco’s (N-T) U.S. exploration subsidiary, American Copper & Nickel. Grayd holds a 16.2% interest in the project, situated 290 km southeast of Fairbanks in the east-central part of Alaska, and can increase this to 34% by spending US$1.8 million on exploration in 1998.

More than 40 massive sulphide prospects have been discovered on the 114-sq.-km property. Thus far, drilling has tested 18 of the prospects to some degree, defining eight zones of interest. The first phase of the 1998 program will consist of 2,500 metres of drilling on six targets within four different stratigraphic horizons.