Manitoba Mining Information

New Gold Exploration Model Pays Off

In a recent Winnipeg Free Press story Hugh Wynne chairman of San Gold Corporation is quoted as saying that “everybody in the gold business” seems to be taken up with mergers and acquisitions as the way to boost inventory. The result, has been very little exploration.”Personally, I think it’s a big mistake,”  “What we believe in is going out and finding more gold. That’s the way to grow.” San Gold has been “extremely successful” in doing that, adding a million ounces to its known reserves in under two years. And it expects to add significantly to that soon.

Bill Ferreira an exploration geologist at San Gold came up with a new model and theory as to where gold deposits were likely concentrated. For decades all the gold was thought to occur in a particular rock type, and prevailing geological theories prevented exploration of other rock types in the area. The company started testing that theory in October and drilled at least a dozen holes without success. But then they finally hit on the one hole and then started following that up and it’s been nothing but success since that time. Basically, the company found a lot of gold that wasn’t supposed to be there, accordingly to past exploration models and aged thinking.

This is a remarkable acomplishment and indeed very good news for the company and the mining town of Bissett.  It is also excellent news for the Manitoba mining industry providing proof once again that the Rice Lake gold belt is extremely under explored and likely contains many mineral treasures waiting to be discovered.

This is indeed proof that gold is where you find it. There is also a larger message in this, fresh thinking and modern methods will in time reveal new discoveries in rock types and areas thought to be not worth exploring in the past.