NEWS!
Canasia to raise money privately for Jumbo phase I work
2007-08-27 14:59 ET - News Release
Mr. David Derby reports
PROPERTY INSPECTION AND REPORT
Barry Price, MSc, PGeo, has visited the Jumbo property on Enterprise Creek in the Slocan mining camp, and Canasia Industries Corp. has received a technical report (National Instrument 43-101 compliant) from Mr. Price recommending a phase I work program.
Mineralization on the Jumbo property consists of galena, sphalerite, minor chalcopyrite and gold in the form of electrum associated with carbonate/quartz epithermal veins which have formed along fracture zones within Nelson intrusive rocks. The mineralization tends to be concentrated in high-grade pods along fault or shear structures.
Mr. Price took seven confirmatory samples at several zones on the property. The main JBZ-1 zone contains the mineralization from which small, past production (53 tonnes) was achieved. One chip sample over a metre averaged 2.56 grams per tonne gold and 23 g/t silver. A number of selected samples from dumps and float (which would not be representative of the average grade of the zone) ranged from 6.6 g/t gold to 28.1 g/t gold and 14 g/t silver to 571 g/t silver, respectively.
Further work recommended would consist of:
Road clearing and access;
Re-establishment of a grid;
Trenching and stripping of the JBZ-1 zone and remapping;
An induced polarization (IP) survey;
Sampling and assaying;
Mapping and prospecting other zones.
This program is estimated to cost $120,000. A drill program in phase II would be contingent on favourable results in phase I. Permitting and reclamation bonding will be required prior to commencement of any physical work.
This news release has been reviewed by the qualified person and geological consultant Mr. Price, PGeo, of B.J. Price Geological Consultants Inc.
Private placement
The company has entered into a non-brokered private placement for five million units at seven cents per unit, each unit will consist of one share and one purchase warrant. The warrant will entitle the unitholder to purchase an additional share at 12 cents for a period of two years. A finder's fee will be payable on the private placement upon exchange approval.