RESULTS TO DATE
During the past several years, we focused our efforts on identifying and exploring suitable mineral exploration targets on our optioned Viking Yellowknife and Peregrine mineral properties, in order to satisfy related joint venture earn-in obligations. In 2007, we completed a $1.5 million expenditure requirement for Viking Yellowknife (followed by an additional drill program in 2008), and in 2010, we completed a $1.0 Million expenditure requirement for Peregrine. The most recent Peregrine work included a 9-hole, 2010 winter drill program and a 3-hole, 2009 summer drill and channel sampling program.
Last Assay Results
Please see the following News Releases to view details of the last assay results received for drill programs on the Peregrine Property at Morris Lake - July 21, 2010 (winter program) and October 7, 2009 (summer program).
The last News Release to show assay results for the Viking Yellowknife Property was dated May 14, 2008 and can be viewed on SEDAR. An Investors Update on the Viking Yellowknife Property dated February 2009, is also available in PDF format in the Maps & Geology section for this project.
Area of Exploration
The property adjoining the optioned Peregrine property is held by Tyhee Development Corp. (“Tyhee”) and was the site of the Discovery Mine, the most important discovery of high-grade gold mineralization in the new Yellowknife Gold camp, following the discovery of the Con and Giant deposits. The Discovery Mine produced over one million ounces of gold from one million tons of ore between 1949 and 1969. That deposit was short and narrow in area but extended to over 4,000 feet vertically.
Diamond drilling on its property has enabled Tyhee to report a measured resource of 3.3 million tonnes averaging 3.41 gms/tonne (329,000 oz Au) and an additional indicated resource of 7.898 million tonnes averaging 3.42 gms/tonne (1.198 million oz Au). This work by Tyhee and predecessor companies has defined the Ormsby Zone to within 500 metres of the Tyhee/Viking boundary. Refer to Tyhee’s website at www.tyhee.com for further details.
Conclusions
The Viking Gold 2009 summer and 2010 winter exploration programs on the Peregrine Propery provided the first significant drill testing and confirmation of the continuation of the Ormsby gold zone south of the Tyhee discovery. As reported in our July 21, 2010 press release, an evaluation of the assay results indicated anomalous values of gold, arsenic and lead occurring in conjunction with electrically conductive and magnetic zones along a defined mineralized southwest trending zone of at least 2,200 meters in length. We also reported our conclusion that the trending zone is an extension of the Ormsby mineralized deposit situated on Tyhee Development Corp.’s adjoining property to the north.
The administration of our 2010 winter drill program and the logging of core were managed by Consulting Geologist William MacRae, M.Sc., P.Geol. The Qualified Person for all of our projects in 2010 was Robert M. Ginn, Ph. D., P. Eng, who was President and CEO of Viking Gold. Dr. Ginn resigned on June 22, 2010 and continued to work for us for a period thereafter as a Technical Consultant.
Most Recent Activities
In February 2011, we fulfilled additional reporting obligations to the government and to Peregrine, with the filing of a comprehensive technical report and supporting cost analysis, covering the years 2009 and 2010. In April 2011, we worked with our Viking Yellowknife JV partner to renew a mineral lease that would have otherwise expired on April 30, 2011.
