Up, and up and up she goes, and where the price of gold stops, nobody knows. The price of the shiny yellow metal reached an all-time high of more than $1,270 U.S. in mid-September, and with it, the competition for where best to look for ore only gets fiercer.
Among the best places on earth to look is northwestern Ontario’s gold belt, near the town of Fort Frances, where Q-Gold Resources Ltd. (TSX-Venture:QGR) has its field offices. The company, with main offices in Flagstaff, Arizona, is coming upon new discoveries of gold all the time, and finding its fortunes rising with each new find.
QGR controls a large and diversified portfolio of highly prospective gold, silver and copper properties, in both Ontario and Arizona.
What should make the mouths of prospective investors positively water is what lies beneath the ground in the gold-rich Kenora District, which QGR has owned for five years since a reverse takeover. QGR’s 100%-owned Foley mine at Mine Centre – just 70 kilometers east of Fort Frances – has been the site of a summer drilling program commenced in June. The program was expected to unearth more information about the extent of gold-bearing sulfide mineralization in four fissured quartz veins, in particular the extensive West, Jumbo and Goldpanner veins.
This program follows up on work done last summer by QGR on the Baselein vein on Foley’s north shaft. Detailed sampling on vein material from this mine was assayed at about 8.4 grams/tonne (g/t) gold and 9.66 g.t silver. What’s more, two major gold discoveries have been made within 90 kms of Mine Centre, by rivals Rainy River Resources Ltd. (TSX-Venture:RR) and Brett Resources, since taken over by Osisko Mining Corporation (TSX:OSK). RR’s find was particularly lucrative, producing infill drilling yields of 407.9 g/t gold over 4.5 metres.
QGR has also been particularly in its own backyard, having acquired options two years ago on six historic gold and silver properties near Crown King, Arizona, home to more than 20 million ounces of gold equivalent historically. It’s been estimated that as much as five million ounces more in gold resolves are lurking under the ground near the Company’s owned project.
The agreement in Crown King enables QGR to acquire a 100% interest in mining rights of to up a dozen mining claims in the historic Tiger Mining District of Central Arizona. The optioned properties are located in the Southern Bradshaw Mountains in Yavapai County, about 73 kms. northwest of Phoenix and are all within an eight-kilometre radius of Crown King.
QGR also holds options on three copper exploration properties in Arizona, including a property adjacent to ASARCO's massive Ray copper mine.
The stock is in the lower regions of a 52-week trading range that bottomed out at 9.5 cents in July, after hitting a peak of 60 cents just before Halloween. These days, the price languishes around 20 cents, after gold traders took some profits from its sky-high heights on September 14. But with the potential presented by the properties in both Ontario and Arizona, and the recent stock price advances, investors should soon learn this is a stock they can’t take their eyes off for too long.
