The mining newspaper for Alaska and Canada's North
The mining newspaper for Alaska and Canada's North
UW: TSX-V
President: Adrian Fleming
Chairman: Michael Williams
Director: Rob McLeod
Underworld Resources, organized in 2005 in British Columbia, is a mineral exploration company focused on expanding its new gold discovery in Yukon Territory.
Underworld acquired an option over the White Gold and Black Fox properties located 95 kilometers south of Dawson City in May 2007.
First drilling was completed in 2008 with discoveries at the Golden Saddle and Arc targets.
In 2009, the company also acquired an option to acquire a 100 percent interest in the JP Ross property in the same general area of the Dawson Mining District.
The discovery hole at the Golden Saddle deposit was Hole 4 which returned 4.35 grams per metric ton gold over a core length of 18.1 meters from a depth down hole of 14.5 meters.
On March 11, 2010, Kinross Gold Corp. offered to acquire Underworld Resources for a combination of stock and cash valued at about C$139.2 million.
The sale closed June 30.
Prior to the purchase offer, Underworld reported an NI 43-101 resource estimation for the Golden Saddle and Arc deposits at the White Gold property.
The resource at Golden Saddle includes 1,004,570 ounces at a grade of 3.2 g/t gold in an indicated category, with an additional 407,413 ounces of inferred resources at an average grade of 2.5 g/t gold.
In the Arc zone, the initial resource includes 170,470 ounces at an average grade of 1.2 g/t gold in the inferred category.
The resource estimates were based on drilling carried out on the property in 2008 and 2009.
Underworld held 3,616 quartz claims for 731 square kilometers in what has become known as the White Gold District.
Exploration of the Golden Saddle and Arc deposits as well as targets on the JP Ross property was expected to continue during the 2010 field season.
Cash and short-term deposits: C$10.66 million (March 31, 2010)
Working capital: C$10.65 million (March 31, 2010)
Market capitalization: N/A
No. 1500 - 409 Granville St. Vancouver, BC, Canada V6C 1T2
Tel: 604.684.4001 Fax: 604.484.7155
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