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Gold Exploration, Greenland Nanortalik Exploration License
Property Description and Location
The Nanortalik exploration license area is a 523 km2 area located in southernmost Greenland. It is the remaining portion of the original Nalunaq concession area, after the Nalunaq Mining License has been carved out from the initial 1,081 km2 concession and a reduction of 50% following the renewal in 2003. The Company has located several gold occurrences in the district, in different geological settings, and is confident there is a potential for commercial gold deposits in the concession area. The results of fieldwork in 2003 and 2004 were encouraging and a more intensive program with the goal of drilling and developing specific targets was carried out in 2005.
Ownership and Title
The Nanortalik Exploration License is held in Nanortalik I/S, a Joint-Venture between Crew and NunaMinerals. The property is operated by Crew as an early-stage exploration project where the ownership after the 2005 season will be approximately 83% and NunaMinerals at 17% holdings respectively. Future ownership ratios are based on the respective contributions of the Company and NunaMinerals. NunaMinerals notified Nanortalik I/S in the spring of 2004 and 2005 that they had elected not to participate in the funding in the summer’s program and, as a consequence, suffered dilution of its share of the project, in accordance with the Joint-Venture Agreement.
The Bureau of Minerals and Petroleum (BMP) set the work commitment at DKK 4.5 million per year in 2004 and 2005. Any excess or less spent amount can be transferred to the following year. BMP allows 50% overhead to all direct project costs.
During 2005, follow-up exploration was conducted
in two localities which appeared particularly
promising from previous sampling. The
first locality is known as the “LGM gold occurrence”
where previous sampling has returned
samples in the range of 2-60 g/t. Preliminary
results from this year’s work show that two new
high-grade samples were located. These samples
outline a continuation of the high-grade zone
already known. The second locality is an area
with several quartz veins, which last year
returned gold values between 1-3 g/t.
Preliminary results of the new sampling this
summer in this area were not promising.
The Niaqornarsuk area remains one of the most
highly gold-anomalous areas in south Greenland
and it is felt that the so far identified mineralizations
are insufficient to be the cause.
Continued low-cost prospecting and sampling
could lead to the discovery of a possibly unrecognized
type of mineralization as the cause of
the extensive gold signature of this area. The
exploration so far has been unsuccessful in
identifying mineralization with commercial
dimensions, but one of the structures identified,
“Nanisiaq”, hosts a 2 km mineralized structure
where systematic sampling has revealed 4 g/t
gold on average over 1 meter. The volume of
this occurrence is considered too small for commercial
exploitation, and has therefore not been
drilled, but it nevertheless remains an important
indication of the potential of this area.
Lake-410 Drilling Program
Lake 410 has long been known for highly anomalous
sediment samples and the occurrence of
free panning gold in the stream below Lake 410.
Sampling at several locations have returned
gold values in excess of 1 g/t.
In 2003, the area was drilled for the first time.
Mineralized structure was identified in all 4
holes suggesting continuity of at least 800 meters
strike-length and showing some 300 meters
down-dip extension. The best results were
2.12 g/t gold over 2 meters from two drill holes.
The associated alteration zones in these
intercepts were 3-4 m wide and heavily
impregnated with arsenopyrite.
Four holes were been completed in 2005 to test
the strike continuity of the best intercepts about
300 meters further NW of these while two other
drill holes have been completed to test the down
dip extension of the identified structure. The
drilling was terminated on September 16
because of unfavourable weather conditions and
the drilling equipment is being brought back
to Nalunaq to continue resource in-fill drilling
there.
The results so far are encouraging as the
drilling encountered two clear intercepts and
two questionable intercepts at the expected
depth. However assay results were low.
Akuliaruseq
On July 12, 2004 Crew received confirmation
from BMP of the granting of a new exclusive
claim for an area of about 284 km2 of the
Akuliaruseq peninsula in South Greenland had
been granted Crew Gold Corp. The area lies
north of the current Nanortalik I/S claims.
The new concession area has sourced a gold
sample of 109 g/t, which received the first price
in Greenland’s national mineral collection competition.
The peninsula also hosts a number of
very significant previously reported gold anomalies
and the concession is located on one of the
most prominent transcrustal shear zones in
South Greenland. The claim area could have
significant gold potential.
Some parts of the east coast and selected areas
at Akuliaruseq have been covered with earlier
sampling and provided anomalous samples.
To obtain full coverage of the peninsula, a
systematic sediment sampling programme was
conducted in the summer of 2005.
The field campaign was a typical first sweep of
sediment and scree sampling to identify areas
with anomalous gold content. These areas will
subsequently be the target for follow-up
prospecting and more systematic rock sampling.
A large part of the field work was carried out
along the coast from a small boat where the
personnel could stay during the campaign and
access sampling stations along the shores using a
zodiac or dinghy.
Inland portions of the concession were accessed
by helicopter and the establishment of fly camps
of 2-3 day`s duration. The area was largely
covered by the 2005 exploration program.
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