Underground program near at Thunderwood prospect

Toronto-based International Thunderwood Explorations (VSE) reported a small operating loss of $9,024 during the 6-month period ended April 30.

But with a first-half working capital position of $900,000 and an additional $3.2 million for exploration, the company is financially equipped to continue with exploration on six priority projects.

They include Thunderwood’s wholly-owned Gold Hawk property at Val d’Or, Que., where an underground program designed to evaluate the continuity and mineability of a newly discovered gold deposit, will begin later this year.

The decision to go underground comes on the heels of a $1.1-million program comprising linecutting, geological mapping, VFL-EM and ground magnetic surveys, trenching and 52,000 ft of drilling.

As reported (N.M., May 2/88), the program led to the delineation of a deposit over a strike length of 700 ft and down dip for 1,175 ft.

Gold grades in excess of 0.35 oz gold per ton over mineable widths have been intersected in 13 of 36 holes drilled in the deposit, Thunderwood says, and an additional nine holes assayed between 0.15 oz and 0.35 oz over a 5-ft width.

An underground exploration program could also begin soon at the Pelletier Lake property south of Rouyn-Noranda, Que., where Thunderwood is earning a 35% interest by funding a $3-million program conducted by Falconbridge Ltd. (TSE).

After 60,000 ft of drilling, gold reserves have been expanded in the C-D-P zone. Some new gold-bearing shears have also been discovered, Thunderwood says.

Exploration is also continuing on the Linda McKayseff polymetallic property where Thunderwood has the right to earn a 40% interest. Located five miles southeast of Snow Lake, Man., it hosts two new massive sulphide horizons which contain up to 5% zinc and 8% copper over narrow widths.

On April 30, Thunderwood had $980,649 in cash and short-term deposits compared with $835,273 at the same time last year.