» Properties
In July 2007 Fjordland and Serengeti Resources Inc (TSX-V:SIR)
signed a "Letter of Intent" to explore for porphyry-related
precious and base metals, targeting the Quesnel Terrane
between Williams Lake and Fort St James. Both companies
initially had a 50% interest in the option agreement,
however, through dilution Serengeti currently has a 63.7%
interest.
In 2007 a total of 28 properties totalling 1,482 square
kilometres were acquired comprising the QUEST JV. Fjordland
and Serengeti acquired the properties based on publically
available historic geophysical, geological, and geochemical
information. Currently, there are 12 properties in the
QUEST JV.
On September 21, 2011 six of the properties (Rob, Ping,
Reid Lake, ST, PG, and MP), totalling approximately 27,700
hectares, were optioned to Xstrata Copper Canada, a business
unit of Xstrata Canada Corporation. The agreement provides
Xstrata the right to earn an initial 51% interest in the
properties by funding $5 million in exploration expenditures
and making firm and optional cash payments to the joint
venture over four years, totalling $325,000. Xstrata has
the right to earn an additional 14% interest for an aggregate
65% interest in the properties by completing a feasibility
study or incurring no less than an additional $25 million
in expenditures on the properties.
The Properties lie within the early Mesozoic-aged Quesnel
Trough, a large regional depositional feature extending
2000 kilometres from the U.S. border in the south to the
Stikine River in the north. The Quesnel Trough assemblage
hosts numerous deposits of porphyry gold-copper style
mineralization (see Quesnel Trough map) generally related
to dioritic or monzonitic sub-volcanic intrusive bodies
including the Mount Polley, Kemess, Kwanika, Quesnel River
(QR) and Mt Milligan deposits.
Much of the area underlain by the properties is covered
by glacial overburden, which has historically hampered
conventional exploration. As such, this region represents
a significantly under-explored area.
» Exploration
In late 2007 to early 2008 airborne magnetic surveys
at 250-metre line spacing were completed on 18 of the
origianl 28 properties.
Follow-up reconnaissance scale IP surveys totalling approximately
130 line-kilometres were completed over the most favourable
magnetic anomalies on 11 of the QUEST properties. The
2008 IP surveys resulted in strong, coincident chargeability/resistivity
anomalies on 7 of the 11 properties tested and weaker
anomalies on 2 of the remaining 4 properties tested. Exploration
is ongoing.
Note: John Peters, PGeo is the QP who has reviewed the
data presented.
