The Dillard Property is located approximately
35 kilometres north of Princeton, where
Copper Mountain Mining Corp. recently put the Copper Mountain
(Similco) copper-gold-silver mine back into production,
with measured and indicated resources estimated at 326
million tonnes grading 0.373% Cu, and inferred resources
of 169 million tonnes grading 0.29% Cu, plus gold and
silver credits. Gold Mountain Mining Corp.’s recently
acquired past-producing Elk gold-silver mine lies approximately
15 kilometres to the northeast of Dillard.
The Dillard Property is composed of the
Dillard claims, co-owned by local prospectors, and the
Dill claim, 100% owned by Fjordland.
On August 31, 2011 Fjordland signed an option
agreement with private vendors to purchase a 100% interest
in the 2,200-hectare Dillard claims. Fjordland may make
staged cash payments to the vendors totaling $180,000,
may issue a total of 1,500,000 common shares of the Company
in stages and may expend $2,500,000 in exploration in
stages on the Property over a five-year period. The Company
will also reserve a 3% net smelter return royalty (NSR)
for the vendors that may be bought down by the Company
to a 1.5% NSR for $2,000,000.
On February 7, 2012 Fjordland signed an
option agreement with Almaden to purchase a 100% interest
n the 400-hectare Dill claim, subject to a 2% NSR, which
Fjordland has the option to purchase 50%. Fjordland has
currently earned in a 100% interest in the property and
if Fjordland completes a NI 43-101 Resource Estimate on
the Dill Property, it will issue an additional and final
1,500,000 common shares of Fjordland to Almaden.
On April 3, 2013 Fjordland signed agreements
with Sumac Mines, a subsidiary of Sumitomo Metal Mining
Co of Japan, on combined Dillard and Dill properties,
collectively called "Dillard". Sumac may earn
a 51% interest in Dillard by making total expenditures
of $3.5 million over 3 years (see
April 4, 2013 news release for details).
Numerous historic exploration programs were
completed on the Property and surrounding area. Previous
exploration on the Property includes work by Noranda (1972-1973),
Cominco (1981- 1983), Almaden (1987-1991) and Placer Dome
(1989-1991). Since then, there has been no significant
exploration in the immediate area.
Diamond drilling was completed on both properties.
On the Dill property Primer Group Minerals (1966-1969)
completed 18 core holes totaling 2330 metres and 3 percussion
holes totaling 201 m and Placer Dome Inc. (1989-1991)
completed 11 core holes totaling 2020 m. Structurally-controlled,
near-surface, copper-gold mineralization was encountered
in alkalic monzonites to monzodiorities that intrude Nicola
Group volcanic rocks. Drilling tested an area measuring
approximately 1300 m in length and 400 m in width, part
of coincident copper-gold soil and induced polarization
A selection of mineralized drill intercepts
from previous drilling is presented in the following table
SELECTED HISTORICAL MINERALIZED
In 2011, a prospecting program was completed
identifying numerous new exposures from recent and current
logging operations. Grab samples taken by Company
geologists during initial site investigations yielded
assays up to 1.64% copper, 7.4 ppm silver, 0.025 ppm gold
and 56.9 ppm molybdenum from new exposures in altered
Nicola Group volcanic rocks and up to 28.9 g/t gold and
11.4 ppm silver from a quartz vein in granodiorite on
the eastern portion of the property.
In 2012, 23.3 line kilometres and 11 line
kilometres of ground magnetic and induced polarization
surveys were completed over selected areas of the property.
These surveys led to the identification of coincident
copper-gold soil and IP anomalies in two areas in Dillard
East measuring approximately 2,000 metres by 800 metres
and 1,500 metres by 1,000 metres.
In 2013, exploration consisted of 17 lines
totaling 43.3 line kilometres of ground magnetics and
induced polarization surveys. In addition a high - resolution
helicopter - borne magnetic and radiometric survesy totaling
293 line kilometres was flown over the entire property.
A 6-hole, 2600 m reconnaissance drill program
was completed on both the Dillard East and West portions
of the property. Four holes totaling 1,588 metres and
two holes totaling 1,012 metres were completed on the
Dillard West and Dillard East targets, respectively. The
Dillard West target, measuring approximately 1,400 metres
by 1,200 metres, includes coincident induced polarization
chargeability and copper and gold soil anomalies. Hole
DI 13 - 04 returned 158.5 metres grading 0.2% Cu and 0.10
g/ t Au. Additional copper and gold intersections were
reported from holes DI 13 - 03, 05 and 06
On April 8, 2014, Fjordland announced that
Sumac Mines Ltd. had approved a 2014 budget and work program,
estimated at $ 950,000. The programs, expected to start
in early June, will include approximately 2,000 metres
of trenching, 2,500 metres of diamond drilling and geological
mapping and prospecting over the entire property. The
Company will be the operator of the project.
Note: John Peters, PGeo is the QP who has
reviewed the data presented.