RE: RE: RE: ResultsOk, I read all this and you do have some heating coal there. But, what is it that you are so excited about? Balls in your court as they say!!!
marketminer
PS: Goldsource soars on coal find
2008-05-08 09:02 ET - In the News
The National Post reports in its Thursday, May 8, edition that diamond explorer Goldsource has discovered coal in Saskatchewan. The Post's David Pett and Peter Koven write that it disclosed the discovery on April 22. Goldsource stock has risen from 30 cents to an intraday high on Tuesday of $5.28. It closed Wednesday at $3.90. Among those buying are three members of Goldsource's board of directors, who from April 24 and April 28, purchased a combined 82,500 shares at prices ranging from 70 cents to $2.15. Goldsource's discovery is early-stage. The coal was hit at the same depth in two holes, suggesting it is one flat, continuous seam. The seam itself is about 34 metres long, which is considered thick. "It looks like a pretty good coal seam, but this is basically two holes," says an unnamed analyst. "The market has sort of extrapolated the potential of what sort of resource they could be sitting on." The analyst did some math and calculated that Goldsource should be worth about $1.50 to $2 a share if one assumes the seam carries through that entire stretch between the two holes. The fact the stock has run beyond that level suggests investors think the deposit could be significantly bigger.
NP says Zerb advises caution on Goldsource Mines
2008-07-03 09:37 ET - In the News
The National Post reports in its Thursday, July 3, edition that Canaccord Adams analyst Wendell Zerb says investors may want to rein in their enthusiasm on new thermal-coal plays in Saskatchewan. The Post's David Pett writes that rising thermal coal prices are putting a bullish spin on junior mining companies looking for coal in Saskatchewan, including Goldsource Mines, which has climbed a whopping 9,000 per cent since April. However, Mr. Zerb says longer-term trends in power demand could "take a bite" out of the viability of coal mining in the prairies. "We love area plays. There is nothing better to drive interest in the junior mining sector," says Mr. Zerb. "That being said, we pose an important question: How viable is thermal coal in Saskatchewan?" Goldsource announced in April that an exploratory drill program looking for diamonds had actually discovered thermal coal, which is used primarily for its heating value and to generate electricity in power plants. News of the discovery triggered a prospecting rush. Mr. Zerb says the potential market will ultimately decide whether coal mining makes sense in Saskatchewan. Mr. Zerb says he is concerned about future demand for coal.
Goldsource drilling fails to confirm hoped-for deposit
2008-07-21 08:21 ET - News Release
Mr. J. Scott Drever reports
GOLDSOURCE UPDATES BORDER COAL DRILL PROGRAM
Goldsource Mines Inc. has completed the first drill hole and commenced drilling the second of seven additional core holes on its coal permits of the Border property near Hudson Bay, Sask. The first hole drilled in this sequence was BD08-01, which was followed by BD08-04.
Drill hole BD08-01 was drilled approximately 1,300 metres to the south of the initial discovery holes and roughly equidistant between these holes. The hole was drilled to a depth of 110 metres and intersected approximately 7.5 metres (41.0 to 48.5 metres) of carbonaceous mudstone, coal and sand partings at the base of the overburden followed by Lower Mannville mudstones and Devonian limestones that underlie the coal seam in the discovery holes. It appears that these basal units are about 50 metres higher at this location than in the original sites which suggest a gently undulating paleo-surface. There were also distinct differences in the nature of the overburden which suggests the possibility that an earlier glacial event may have removed a majority of the coal in this specific elevated location.
Drill hole BD08-04 is approximately 2,500 metres south of BD08-01. This hole is being drilled to a planned depth of about 120 metres and intersected approximately 8.3 metres (28.0 to 36.3 metres) of carbonaceous mudstone, coal seams and sand partings at the base of the overburden, followed by Lower Mannville mudstones. The drill rig is currently experiencing mechanical problems. Hole BD08-04 will be completed once the necessary parts are received to complete repairs.
It is expected that drill hole BD08-02, which is approximately 2,500 metres northwest of BD08-03, will be drilled after BD08-04. This hole was located based on a review of the available geophysical data, the apparent geophysical signature of the coal seam and geological data obtained in the first four holes.
J. Scott Drever, president, stated: "Our initial assumptions were based on the possibility of a main coal basin with more than one subbasin. The results of BD08-01 and of BD08-04 so far suggest that these assumptions appear correct and we may be on the eastern margins of one of the subbasins which contains the discovery holes and which may be flanked by a ridge of Lower Mannville sediments and Devonian limestones. While these holes did not encounter the thickness of coal intercepted in the discovery holes, they are important to help establish the orientation of the subbasins."
Mr. Drever continued by stating: "It is, however, extremely important to maintain perspective on what is the very early exploration stage of a discovery. We currently have 3.5 holes in an immense area that we know contains huge intercepts of coal. This is raw exploration and we are working from a limited technical database. The constraints of physical access and the limitations imposed by drill site permitting gives the program less flexibility than is optimal. However, we have a number of theories, and each drill hole will provide us with better ground proofing of the geophysics and allow us to build a geological model for the deposition of the coal and the impacts of paleo-topography and glaciation on the deposit. We remain confident that this current limited drill program represents only the first step in the delineation of a major coal deposit and will enable us to focus on the areas of greatest potential."
Independent qualified people from Norwest Corp. are present for this initial drilling to inspect coal intercepts, establish coal sampling and handling protocols, quality assurance and control, and set up a standardized coal-logging system. Samples will be shipped to Loring Labs in Calgary for analysis based on Norwest's recommendations.
N. Eric Fier, CPG, PEng, and qualified person for this news release, has reviewed and approved its contents.
We seek Safe Harbor.
Goldsource drills 23 m of continuous coal at Border
2008-08-19 09:18 ET - News Release
Mr. J. Scott Drever reports
GOLDSOURCE COMPLETES INITIAL DRILL PROGRAM BORDER PROPERTY, SASKATCHEWAN
Goldsource Mines Inc. has completed offset hole BD08-06A, hole BD08-08 and hole BD08-09, which are the last of this series of holes to be completed in the initial exploration drilling program at the Border property near Hudson Bay, Sask.
* BD08-06A -- 41.1-metre coal seam with 23.0 metres of continuous coal with minor partings.
* BD08-08 -- no coal intercepted.
* BD08-09 -- 6.7-metre coal seam with minor mudstone/sandstone partings.
Hole BD08-06A was drilled approximately 100 metres west of discovery hole BD08-06. This hole was drilled to a depth of 117.0 metres where it was abandoned due to down hole problems. The hole encountered a coal intercept of 41.1 metres including partings between 70.5 metres and 111.6 metres. A continuous coal interval of 23.0 metres was encountered from 70.5 to 93.5 metres with minor partings and the remaining 18.1 metres being mixed coal and highly carbonaceous, sandy siltstones with two predominantly coal intervals from 100.0 to 101.8 metres and 109.3 to 111.6 metres. The overall coal interval is approximately 6.9 metres greater in this hole than in BD08-06 due mainly to the increased thickness of the coal with partings at the base of the continuous coal interval.
The hole was drilled as an offset to discovery hole BD08-06, which intercepted 34.2 metres of coal including 24.0 metres of continuous coal. The purpose of the hole was to obtain additional samples for analyses and a down hole geophysical log of the stratigraphic section at this point. The coal in BD08-06A is black, hard and dull to bright with few visible partings and appears comparable in most respects with that of the intercept of discovery hole BD08-06 which was ranked as subbituminous to bituminous.
Hole BD08-08 was drilled approximately 2.8 kilometres to the northwest of BD08-05. This location was to test an area that exhibited an airborne geophysical signature that was somewhat different than that of the major coal intercepts encountered in the discovery holes and holes BD08-02 and BD08-05 and was believed to be within a broader depositional basin. The hole was drilled to a depth of 132.3 metres and intercepted interbedded mudstones, siltstones and sand before entering Devonian limestones at a depth of 121.5 metres. There was no coal intercepted in this hole.
Hole BD08-09 was drilled approximately one kilometre west of hole BD08-04 and 3.8 kilometres southwest of hole BD08-03. The hole was drilled to a depth of 84.0 metres and encountered 6.7 metres of coal with minor mudstone partings from 45.8 to 52.5 metres. The hole was drilled to test a geophysical anomaly that had a slightly different set of parameters than previous holes that encountered broad intercepts of coal. Both the coal and the Devonian limestones were encountered at higher elevations than in the discovery holes. The coal interval was thicker with fewer minor partings than hole BD08-04 to the east suggesting that BD08-09 is more toward the central axis of a basin. The coal in BD08-09 is black, hard and dull to bright with some visible partings and appears comparable in most respects with that of the intercepts of discovery holes which were ranked as subbituminous to bituminous.
The company cautions against placing undue reliance on the visual observations of the coal until the results of the analytical work have been announced.
J. Scott Drever, president, stated: "The completion of this program has given us important information about the nature of this coal deposit. As an early stage exploration program, the information obtained has helped us understand some of the geological and geophysical indicators of where the coal occurs and as importantly, where it does not occur. We will use data acquired from this limited initial program to plan the next steps for the delineation of the coal encountered to date and identification of possible additional coal basins on the property. We expect to compile the data, including sample analyses, over the next several weeks to develop a working geological model that will enable us to plan for detailed drilling of the known occurrences as well as to test additional areas of potential. The permitting process for a major drill program commencing after freeze-up is well under way. Pending commencement of the winter program, we will refine the interpretations of the airborne geophysics and explore other possible methods to define the potential geological basins and the presence of coal within those basins."
N. Eric Fier, CPG, PEng, and qualified person for this news release, has reviewed and approved its contents.
We seek Safe Harbor.
Goldsource drills 36 m of visual coal at Border
2008-10-03 14:16 ET - News Release
Mr. Scott Drever reports
GOLDSOURCE SUMMARIZES BORDER COAL DISCOVERY, PREPARES FOR WINTER PROGRAM
Goldsource Mines Inc. has provided the following summary of results to date as previously reported on the Border coal discovery located near Hudson Bay, Sask.
A total of 11 core holes (including two twin holes) have been drilled on the Border property with thick coal intercepts encountered in seven of the holes. The most significant continuous coal intervals were found in hole BD08-05 with approximately 36 metres of dull to bright coal with minor coal partings and hole BD08-06 with 24 metres of similar visual coal characteristics. The holes that intercepted coal are widely spaced and the coal seam is open to extension in all lateral directions.
BORDER COAL DISCOVERY DRILL RESULTS
Hole From (m) To (m) Width (m) Note
BD08-01 42.3 48.5 6.20 Carbonaceous mudstone, sand, coal
fragments
BD08-02 81.60 105.00 23.40 Durango coal seam
includes 81.60 82.85 1.25 Continuous coal with minor partings
includes 83.70 93.85 10.15 Continuous coal with minor partings
includes 97.28 103.80 6.52 Continuous coal with minor partings
BD08-03 78.90 107.00 28.10 Durango coal seam
includes 78.90 102.50 23.60 Continuous coal with minor partings
BD08-03A 80.30 119.00 38.70 Durango coal seam
includes 80.30 102.40 22.10 Continuous coal with minor partings
BD08-04 27.40 36.70 9.30 Carbonaceous mudstone, sand, coal
fragments
BD08-05 78.4 114.45 36.05 Durango coal seam -- continuous coal
with minor partings
BD08-06 78.3 112.5 34.20 Durango coal seam
includes 78.3 102.3 24.00 continuous coal with minor partings
BD08-06A 70.50 111.60 41.10 Durango coal seam
includes 70.50 93.50 23.00 Continuous coal with minor partings
includes 100.00 101.85 1.85 Continuous coal with minor partings
includes 109.30 111.60 2.30 Continuous coal with minor partings
BD08-07 53.20 73.25 20.05 Durango coal seam?, Carbonaceous
mudstone, sand, coal fragments
includes 53.40 54.38 0.98 Continuous coal with minor partings
BD08-08 0 132.2 132.2 No coal or coaly units
BD08-09 45.30 52.55 7.25 Durango coal seam -- 6.0 m
interbedded continuous coal with
minor partings
The Durango coal seam is interpreted to include the entire interval of continuous coal with few or minor partings plus the sections of interbedded coal, carbonaceous sections and significant partings that usually occur below the continuous coal intervals. The intervals in the table may differ from those previously reported as they have been adjusted to reflect the interpretation of the downhole geophysical logs which are generally more precise in the determination of the coal intervals than are visual identifications. These intervals will undoubtedly show additional variations once the analyses are received and composite results are calculated. The company has cautioned against placing undue reliance on the visual observations of the coal until the results of the analytical work have been announced.
Laboratory testwork is still under way at Loring Labs of Calgary, Alta., with the results of the proximate analyses (ash, moisture, fixed carbon, volatiles, sulphur and calorific values) anticipated by the first half of October. Once the proximate analyses are completed, final composite results for all holes will be announced. Select coal samples will be tested for FSI (coking characteristics), washability, microscopy and geochemical composition. The coal in the discovery holes has been ranked as bituminous to subbituminous.
The company is currently compiling detailed information on the Durango coal seam and its geophysical signature to better understand the geologic controls of the discovery. Geologically, the coal deposit is currently assumed to have formed under conditions similar to that seen in the present-day Florida everglades with low-velocity water flow (low-energy environment) and with vegetation accumulation into basins, subbasins and troughs during the Cretaceous period (Mannville group). The continuous coal interval of approximately 36 metres discovered by the company at Border represents potentially 300 metres of vegetation accumulated over millions of years. This is considered to be a significant geologic event with respect to coal formation in Saskatchewan and Canada.
Using the current drill results and both airborne and downhole geophysics, the company is preparing for the winter drill program to complete grid drilling in the discovery area and to test other potential targets within the company's estimated 132,000-hectare permit area. The pattern of drill holes in the discovery area is designed for resource estimation purposes and step-out drilling on multiple coal targets. The proposal for this winter's work program is in the permitting stage with Saskatchewan Environment and, coupled with the government's consultation duties, should enable the company to maintain its timeline to commence drilling in December subject to freeze conditions. The first phase of drilling will consist of an estimated 50 drill holes (5,000 metres). Approximately 300 holes are being permitted for a multiphased drill program with a valid permit of 18 months (two winter seasons). The company is also investigating the application of other geophysical tools including seismic techniques to further define the coal seam and the paleo-surface of the underlying Devonian limestones which is believed to be one of the controlling factors in the deposition of the coal.
The company has carried out an extensive review of government historical databases to identify other areas of potential which are located outside the Border property area and along the developing coal trend that appears to be a minimum of 600 kilometres in length throughout eastern Saskatchewan and parts of Manitoba. The company has applied for extensive additional coal permits in Saskatchewan and Manitoba, and will report on these acquisitions in detail in a subsequent release.
J. Scott Drever, president, stated: "We are excited about the progress that we have made and are anxious to complete the planning for the winter program and commence drilling as soon as weather and permitting requirements allow. Recent changes to the coal permit regulations has extended the time in which work requirements for permits can be completed. This has reduced the urgency to complete necessary work in an unrealistic time frame and enables us to proceed in a far more orderly fashion. This next phase of exploration at the Border property will be challenging, but we expect to emerge at the end of the program with the information necessary to support a resource estimate in the discovery area as well as identify other coal occurrences within the Border permits that are similar to the current discovery. The company is well-financed and will be able to pursue exploration of the Border property, as well as its acquisitions in other areas at a pace that should enable us to define truly significant coal resources in both Saskatchewan and Manitoba."
N. Eric Fier, CPG, PEng, and qualified person for this news release, has reviewed and approved its contents.
We seek Safe Harbor.