EMO—Rainy River Resources Ltd., a junior exploration company currently working in Richardson Township, updated the public last Thursday afternoon on its Rainy River Project.
Company president Nelson W. Baker highlighted the continued positive results they are acquiring for about 40 people who turned up at the Emo Legion.
“We think it’s a gold camp,” Baker stressed. “We have the indication this could be big . . . and we think we’ll continue to get fabulous results.”
Baker noted they plan to spend $7 million on the project this year, with three drills actively defining the commercial gold potential.
But he added it will take some more time before the resource can be developed.
“We have to pull all the information together,” he stressed, noting work has been done in the area since the 1980s.
“We’re not there yet,” Baker admitted. “We have the chance at large deposits, but we don’t know how big. I want everyone to know we won’t be mining next year.”
He also indicated people have to understand not every drill hole is going to be a hit.
“We have a great drilling crew, though,” Baker enthused. “Probably one of the best in Canada. . . . It’s going as good as we could’ve ever expected.”
He also stressed he couldn’t ask for a better area to have the discovery located in, especially because of the roads, power, and no lakes being an obstruction.
“We only lose time when the hard workers—the drillers and geologists—take a break,” he said.
Baker added the price of gold is in a good market right now, with a gram going for about $21 (U.S.)
“We have outstanding grades,” he enthused. “And they rival with any of the grades in Canada.”
And he explained to mine the discoveries in the future, there will be the luxury of an open pit and then going underground because the grades will support underground mining.
But Rainy River Resources will not be conducting the mining when it gets to that stage. They will sell the project to another company.
“We don’t intend to be mining this project,” Baker noted. “We’ve already had expressions of interest from five major [companies]. All the big companies want to stay on top and this would be natural for them.”
Baker also announced the project had earned the Bernie Schneider Award for discovery of the year in 2006 in Northwestern Ontario and he sees a lot of growth potential.
“We’re seeing visible gold, which is very rare,” he remarked. “It’s definitely going to be a mineable zone.”
And it’s not just gold that’s been discovered in the area. Baker said there also is zinc, copper, and silver values, too.
“It’s a very interesting project,” he stressed, adding another one of their projects—in the Off Lake area—has shown many similarities and is virtually identical to the Rainy River one.
“The potential in this area is enormous for mining,” he enthused. “Someone is going to be here for a long time.”
He added it’s been the best project he’s been involved with. “I love being here,” he said. “We’ve had outstanding local support.”
Baker also provided a brief history of the project, showed some diagrams, and introduced those in attendance to some of their key workers.
He concluded by saying he plans to have another meeting in the future and promised he won’t wait so long to update the public.
“Anyone interested in having a look at the project should give us a call,” he said. “Or if you have any questions, we’d be more than happy to answer them.”