Poirier Gold, West Timmins, Ontario

 

 

Pelangio owns 100% of the Poirier Gold Property, which comprises two contiguous unpatented mining claims (160 acres) located in Bristol Township, 22 kilometres west of Timmins. We are also in the process of converting these claims to leases. The property is subject to a 1% NSR payable to the vendors and a further 1% NSR payable to a third party.

 

The claims are contiguous with Lake Shore Gold Corp.'s Timmins Gold Project (which holds a 1.2 million ounce gold reserve at a grade of 10.4 g/t) and the Thunder Creek project. Lake Shore Gold reported a drill result of 83.40 metres grading 12.75 g/t gold in hole TC-09-68b at Thunder Creek in June 2009, which was collared within 250 metres of our property boundary. Underground drilling has continued to confirm the presence of a large gold mineralized zone at Thunder Creek, with recent results including an intersection of 11.53 g/t gold over 147 metres.

 

The Poirier Gold Property is located in a mafic volcanic unit approximately a kilometre to the west of the mafic, ultramafic and sedimentary contact, which dips steeply westwards towards our claim block. Subsequent to the end of the second quarter, we conducted prospecting and MMI surveying on the property, the assay results of which are pending. Quartz veining and sulfide occurrences were noted on the property during this program. We intend to continue monitoring Lake Shore Gold's exploration progress and may initiate a drill program on the property based on the information that our neighbours' results will provide.