The mining newspaper for Alaska and Canada's North
The mining newspaper for Alaska and Canada's North
SWN: TSX-V
President and CEO: Harlan D. Meade
Chairman: Wade Nesmith
Vice President, Exploration: Jason Dunning
Incorporated in 2004 in British Columbia, Selwyn Resources Ltd. is the successor to Pacifica Resources Ltd., which underwent a reorganization of its assets in June 2007.
Pacifica's acquisition of the Howard's Pass Joint Venture lands in eastern Yukon Territory in April 2005 consolidated ownership in the Howard's Pass District and formation of the Selwyn Project.
Unprecedented exploration success in Selwyn's 2005 and 2006 programs produced a world-class giant zinc-lead deposit of exceptional potential.
In the reorganization, all of Pacifica's assets outside the Selwyn District were transferred to another entity, Savant Explorations Ltd., in exchange for common shares of Savant and established Selwyn Resources Ltd. as a single-purpose company focused on the development of the Selwyn Project, the world's largest undeveloped zinc-lead project with partial delineation of 13 zones of mineralization over a strike length of at least 38 kilometers that is open to significant expansion as drilling continues.
Known mineralization on the Selwyn property hosts at least 154.35 metric tons grading 5.35 percent zinc and 1.86 percent lead of indicated resources, and 234.15 million tons grading 4.54 percent zinc and 1.41 percent lead of inferred resources.
High-grade underground mineralization, which could be initially targeted in development, exceeds 16Mt grading 10.25 percent zinc and 4.23 percent lead in indicated resources, and 26.7 Mt grading 8.81 percent zinc and 2.81 percent inferred resources.
The Selwyn Project straddles the Yukon-Northwest Territories boundary and requires consultation with several First Nations and regulatory groups for permitting and development.
Because of Selwyn's recent efforts to finalize a C$100 million, 50-50 joint venture deal with Chihong Canada Mining Ltd. an indirect subsidiary of China-based Yunnan Chihong Zinc and Germanium Co., Ltd., the company's 2010 exploration budget has remained a moving target.
The JV agreement was finalized in August.
The C$100 million investment will be spent primarily on completion of a bankable feasibility study for the Selwyn Project and to obtain initial licenses required to mine the XY and Don deposits.
Selwyn also was to recover from Chihong all of its exploration and development spending on the project since July 1, 2009.
In August, the Chinese investor reimbursed nearly C$5.08 million to Selwyn for exploration and development expenditures from July 1, 2009 to April 30, 2010.
An exploration team opened the Don Camp at Selwyn in early May, and began a program of about 4,800 meters of line-cutting, seismic and induced polarization surveys along the cut-lines and diamond drilling for condemnation and definition of the XY zone.
During the second quarter, 469 meters were drilled for condemnation purposes and 610 meters for definition of the XY zone.
An IP geophysical survey was conducted for different tailings site options, in order to define overburden depth and type of soil.
The junior planned to follow the IP geophysical survey with geotechnical drilling in the third quarter.
Two drills were spinning at Selwyn in mid-August, and Vice President of Exploration Jason Dunning said he was preparing to start a third drill.
"I've also been given approval to start looking for three more (rigs) to start in September," he told Mining News in August.
Selwyn planned to keep its camp open and continue drilling all winter.
Cash and short-term deposits: C$4.03 million (at June 30, 2010)
Working capital: C$2.91 million (at June 30, 2010)
Market capitalization: C$55.76 million (Sept. 10, 2010)
No. 700 - 509 Richards St. Vancouver, BC Canada V6B 2Z6
Tel: 604-801-7240 Fax: 604-683-8355
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