Below is the summary taken from the April 1994 ACA Howe Report. The property ownership and claim area is now different. In April 1994 gold was worth $377/ounce. Today about four times that.
At the time the report was written the 90,000 oz +/- was in the proven and probable category so the gold exists. I suspect it is this gold that SGS has been retained to do a pre-feasibility study on mining. Nice grade at 4 g/t +/-
Of interest.
It calls it the Granada Mine !
It talks about the site being amenable to bulk mining methods.
It talks about the upgrading due to the nugget effect. It can do that because they drilled and bulk sampled. That means we will find more gold than the drills tell us !
It tell us there is a 2.5 mile (4 km.) strike length.
This report is referenced by SGS in the 43-101.
Is this not what we are now confirming ? Looks like nothing has changed since 1994. This report is why I bought into GBB.
SUMMARY
The Granada Gold Mine and surrounding property totalling some 3,082 acres (1,271 hectares) is owned and operated by KWG Resources Inc. The mine is situated four miles south of Rouyn in northwestern Quebec from which it is easily accessible by paved highway; a number of other paved and gravel roads cross the property area and all services are available. The mine was originally discovered in 1922 and a number of high-grade auriferous quartz veins were identified. Mining was carried out from 1930 to 1935 when a fire destroyed the facilities, but total recorded production during the period was 51,476 ounces of gold from 181,744 tons of ore averaging 0.283 ounces gold per ton, (9.7 g/t) mainly from the No. 2 vein. Kewagama Resources acquired the property in 1984.
The Granada property is situated in the Abitibi greenstone belt and is underlain by Timiskaming and Pontiac Group sediments that have been intruded by a series of syenite porphyry sills and dykes. The Cadillac Break, a major focus for gold mineralisation in Quebec, traverses the northern part of the property, and a wide zone of sub-parallel shears has now been identified sub-parallel to it, which is characterised by intense alteration and quartz veining.
Historic mining operations concentrated on high grade, more continuous quartz veins, but recent work has identified wider, structurally controlled zones of gold mineralisation within the shear systems that are amenable to bulk mining methods.
91,266 tons at an in-situ grade of 0.151 ounces gold per ton (5.17 g/t) have been mined from an open pit on the No. 1 zone and 21,747 tons at an in-situ grade of 0.101 ounces gold per ton (3.46 g/t) were recovered from a small pit on the No. 2 zone.
A further 120,804 tons at a grade of 0.121 ounces gold per ton (4.15 g/t) (14,600 oz.) have been delineated on the No. 1 zone and 651,763 tons at 0.119 ounces gold per ton (4.08 g/t) ( 77,600 oz.) on the No. 2 zone, both undiluted.
Evidence from the Granada Mine and a number of geologically comparable deposits in Archaean greenstone belts in Quebec and Ontario suggests that gold grades identified solely from diamond drill assays are often markedly underestimated due to the nugget effect of gold particles and the orientation of veinlets.
Some 1.84 million tons of ore at varying grades and mining widths have been inferred on the various known structures on the property and a large number of exploration targets over a strike length of at least 2.5 miles have been identified on both the original claim block and the extension area.