Altair Gold TSX.V AVX

Richard (Rick) Mills

AheadoftheHerd.com

 

As a general rule, the most successful man in life is the man who has the best information

 

According to a July 2012 research report by Natural Resource Holdings there are only 164 undeveloped gold deposits globally with over one million ounces of gold in all categories that are owned by non-major mining companies. 

 

The average grade of all these deposits is 0.66 g/t.

 

Selected average gold eq. grade:

 

Alamos Gold - 0.78 g/t

Coeur d’Alene Mines – 0.48 g/t

Cream Minerals – 0.38 g/t

International Tower Hill Mines – 0.49 g/t

Northern Dynasty Minerals – 0.32 g/t

New Gold – 0.57 g/t

Osisko Mining – 0.75 g/t

Spanish Mtn. Gold – 0.45 g/t

Exeter Resource – 0.46 g/t

 

The total current gold resource on Altair Gold’s Kena property sits at 1.06 million ozs.

 

Kena Gold Zone:

 

Measured and Indicated (M&I) – 300,000 oz @ 0.64g/t Au

Inferred (I) – 85,000 oz @ 0.70 g//t Au

 

Gold Mountain Zone

 

Measured and Indicated (M&I) – 249,000 oz @ 0.71 g/t Au

Inferred (I) – 428,000 oz @ 0.60 g/t Au

 

 

On September 10, 2012 Altair Gold TSX.V – AVX announced the results of holes 12KG03 through 12KG08 from the Kena Gold Zone (“KGZ”) and holes 12GM01 and 12GM02 from the Gold Mountain Zone (“GMZ”).

 

Kena Gold Zone, KGZ

 

Altair previously released the results from the first two diamond drill holes (12KG01 and 12KG02) at the KGZ, which returned long intercepts of consistent gold mineralization containing shorter intervals of ‘bonanza’ grade values, including 32.9 grams a tonne gold (g/t Au) over 2.95 meters (47.55m to 50.5m) in 12KG02.

 

Significant results from the first two drill holes:

 

Hole ID

From (m)

To (m)

Length (m)

Au (g/t)

12KG01

10.31

128.05

117.74

1.04

includes:

11.75

29.26

17.51

0.97

and:

71.93

114.60

42.67

1.93

includes:

71.93

94.06

22.13

2.78

includes:

73.97

85.23

11.26

4.21

12KG02

15.20

100.30

85.10

2.07

includes:

44.50

86.15

41.65

3.76

Includes:

44.50

58.30

13.80

9.63

 

Holes 12KG03 to 12KG08 were designed as step-outs from the first two holes. Hole 12KG06 was drilled outside of the mineralized zone but all other holes intersected wide zones of gold mineralization.

 

The six holes were drilled at step-outs of approximately 50, 100 and 150 meters west from holes 12KG01 and 12KG02. Drilling depths ranged from 150 to 185 meters.

 

Significant results from the new drill holes completed on the Kena Gold Zone are tabled below:

 

Hole ID

From (m)

To (m)

Length (m)

Au (g/t)

12KG-03

6.09

77.97

71.88

0.53

12KG-04

4.88

137.47

132.59

0.42

includes:

82.85

90.87

8.02

1.52

12KG-05

3.05

154.53

151.48

0.61

includes:

14.33

42.68

28.35

1.06

12KG-07

20.15

95.47

75.32

0.64

includes:

20.15

41.08

20.93

0.88

and:

75.78

90.95

15.17

0.92

12KG-08

3.00

154.84

151.84

0.58

includes:

32.20

55.58

23.38

0.89

and:

78.59

81.69

3.10

5.54

and:

135.90

154.84

18.94

0.59

*Note: True widths of intercepts are unknown at this time.

True widths may be less than core lengths reported.

 

Gold Mountain Zone, GMZ

 

While the first hole at Gold Mountain, 12GM01, was planned to twin historic hole 01GM-03, which returned 1.87 g/t Au over 116.05 meters, all other holes were drilled as step-outs from the existing gold resource blocks.

 

Significant results from the first two drill holes completed on the Gold Mountain Zone are tabled below:

 

Hole ID

From (m)

To (m)

Length (m)

Au (g/t)

12GM-01

10.97

106.32

95.35

1.37

includes:

21.25

44.34

23.09

2.66

and:

89.05

104.12

15.07

2.40

includes:

91.93

94.16

2.23

4.01

and:

96.39

98.39

2.00

4.52

12GM-02

100.80

156.97

56.17

0.55

includes:

137.50

150.88

13.38

0.74

includes:

149.55

150.88

1.33

3.05

and:

210.80

221.20

10.40

0.75

*Note: True widths of intercepts are unknown at this time

True widths may be less than core lengths reported.

 

The first two holes completed on the Gold Mountain Zone returned significant widths of strong gold mineralization, highlighted by drill hole 12GM01 which intersected a 95.35 meter width averaging 1.37g/t Au. 

 

Altair has now completed step-out drilling from the central zone at Gold Mountain, with nine more holes drilled along the zone to the southeast.  These holes were interspersed over a distance of approximately 1,000 meters from holes 12GM01 and 12GM02, with an average 110 meter interval between holes.  Core samples from these holes are now being analyzed, with results expected within the next three weeks.

 

“The results of these first step-out holes indicate how consistent the gold mineralization is on the Kena property.  With continuity comes the capability to add ounces to the current resource.” Fayyaz Alimohamed, Altair’s President & CEO

 

Historic focus has always been on the KGZ & GMZ at Kena, however there are indications of a gold and copper mineralized corridor linking all the zones and old mines.

 

 

The large Kena Property hosts a number of historic past producers - the largest of these is the former Silver King Mine which produced 243,000 tonnes grading 665 g/t silver and 3.3% copper.

 

The remainder of the past producers were high grade gold vein type deposits and their production records state:

  • Athabasca – 20,000 tonnes of 31.2 g/t Au and 10 g/t Ag
  • Euphrates – 307 tonnes of 46.9 g/t Au and 249 g/t Ag
  • Great Western – 34 tonnes of 52.2 g/t Au
  • Starlight – 21 tonnes of 27.7 g/t Au

Good exploration targets exist along strike and to depth at all of these historic workings.

 

There are also targets on the Kena Property which have not yet been tested or remain under explored:

  • High Grade Corridor - a deformation zone containing high grade gold mineralization
  • Kena Copper King Zone - widespread copper-gold mineralization that may be of a porphyry style lies within an Induced Polarization (IP) anomaly that is 6,000 meters long by 900 meters wide  
  • A significant gap exists between the Gold Mountain and Kena Gold Zones that is essentially untested and could join the two areas of mineralization

Share Structure

 

Shares Outstanding: 27,743,206

 

Stock Options: 2,481,666

Warrants: 7,892,356

 

Shares Outstanding Fully Diluted: 38,117,228

 

Insider Ownership

 

Dubai Investors: 21.8%

Insiders: 6%

 

Conclusion

 

It’s this authors opinion that the current Kena gold resource has the very real potential to double or triple in size. With a 43-101 compliant resource to build on, preliminary metallurgy results favorable and with assays from step out holes coming back comparing very favorably to the compliant existing resource, an investment in Altair has seen considerable de-risking.

 

Altair Gold Inc. TSX.V – AVX should be on every investors radar screen. Is it on yours?

 

If not, maybe it should be.

 

Richard (Rick) Mills

rick@aheadoftheherd.com

www.aheadoftheherd.com

 

Richard is the owner of Aheadoftheherd.com and invests in the junior resource/bio-tech sectors. His articles have been published on over 400 websites, including:

 

WallStreetJournal, SafeHaven, MarketOracle, USAToday, NationalPost, Stockhouse, Lewrockwell, Pinnacledigest, UraniumMiner, Beforeitsnews, SeekingAlpha, MontrealGazette, CaseyResearch, 24hgold, VancouverSun, CBSnews, SilverBearCafe, Infomine, HuffingtonPost, Mineweb, 321Gold, Kitco, Gold-Eagle, The Gold/Energy Reports, CalgaryHerald, ResourceInvestor, Mining.com, Forbes, FNArena, Uraniumseek, FinancialSense, Goldseek, Dallasnews, Vantagewire, Resourceclips and the Association of Mining Analysts.

 

If you're interested in learning more about the junior resource and bio-med sectors, and quality individual company’s within these sectors, please come and visit us at www.aheadoftheherd.com

 

Legal Notice / Disclaimer

 

This document is not and should not be construed as an offer to sell or the solicitation of an offer to purchase or subscribe for any investment.

 

Richard Mills has based this document on information obtained from sources he believes to be reliable but which has not been independently verified; Richard Mills makes no guarantee, representation or warranty and accepts no responsibility or liability as to its accuracy or completeness. Expressions of opinion are those of Richard Mills only and are subject to change without notice. Richard Mills assumes no warranty, liability or guarantee for the current relevance, correctness or completeness of any information provided within this Report and will not be held liable for the consequence of reliance upon any opinion or statement contained herein or any omission.

 

Furthermore, I, Richard Mills, assume no liability for any direct or indirect loss or damage or, in particular, for lost profit, which you may incur as a result of the use and existence of the information provided within this Report.

 

Richard Mills does not own shares of Altair Gold Inc.

 

Altair Gold Inc. TSX.V – AVX is a sponsor of Richard’s site aheadoftheherd.com



About Ahead of the HerdAbout Us

Aheadoftheherd.com is a community where investors trade ideas on the buying and selling of stocks


Ahead of the HerdSponsors List



Ahead of the HerdOur Location

www.aheadoftheherd.com

Office Hours
5am - 4:30pm, M-F
9am - 12pm Saturday

Closed Sunday

No Charge  Newsletter Signup   Free Forum Signup



To contact us please email rick.mills@aheadoftheherd.com

Ahead of the Herd
www.aheadoftheherd.com