Greg Beischer on Millrock's (TSX-V: MRO) Multiple Efforts: Stellar Copper-Gold, Golden Triangle, and a New Land Package Near Pogo
Gerardo Del Real: This is Gerardo DelReal with Resource Stock Digest. Joining me today is president and CEO of Millrock Resources (TSX-V: MRO)(OTC: MLRKF), Greg Beischer. Greg, thank you so much for your time today.
Greg Beischer: My pleasure, Gerardo. Always a pleasure to speak with you.
Gerardo Del Real: Thank you so much. I wanted to have you back on because you've had several news releases and you know, you've been very busy the entire year but we're starting to see a lot of that payoff and progress. I want to start with a news release from September the 22nd, where you announce that you're making progress at the Stellar gold-copper project. I know that that's a project that we've talked about in the past. It's one that's very attractive and one that you nearly let go and just couldn't do it. Can you tell us a little bit about what's going on there?
Greg Beischer: Yeah. We got exploration ongoing on a number of different fronts right now, Gerardo, in the three different jurisdictions in which we're operating. This is just the way it's supposed to work, a constant pipeline of projects, moving them forward to drill readiness. Everything's falling into place right now. Stellar, it's a project, I'll tell you... we came close to letting it go just over a year ago, but we held on. We know it's a good project, but times were just so tough, but thankfully a small Australian junior company called Vista Minerals came out of nowhere and negotiated with us a deal on the property, a standard option to join venture agreement, so they've assumed the project. They've been diligently working away. They've paid their option payments. They've maintained the claims on our behalf, and recently just completed an induced polarization geophysical survey.
This is a good type of survey to use in this particular environment where we're looking for one of two things. A high grade copper-gold deposit or a large scale porphyry style copper gold deposit. The Zackly skarn is of interest. Here we have at least a couple of hundred thousand ounces in a historic resource. This geophysical survey followed that along strike and initial results looked pretty darn good to us, so we're happy that Vista's active and look forward to them drilling targets next summer.
Gerardo Del Real: Excellent. Now you mentioned the Zackly gold target, and I understand the copper-gold target. My understanding is that it's never been drilled. Is that correct?
Greg Beischer: Right. Zackly, so this is sort of an established deposit on the Stellar project. It has definitely been drilled, but the porphyry that we suspect is nearby has never been drilled, no.
Gerardo Del Real: Perfect, perfect. That's excellent. Pivoting a little bit, you're busy on multiple fronts. I know that you wrapped up drilling recently in Sonora, Mexico, and you obviously are advancing Stellar. Now you have a land position in the Goodpasture Mining District there near the Pogo mine in Alaska. Can you tell me a little bit about how that's coming along?
Greg Beischer: Yeah, sure. The Goodpasture mining district right now consists of just one hard rock lode gold mine. There's quite a number of placer mines that operate in that mining district, but the Pogo gold mine operated by Sumitomo Metal Mining Company just quietly cooks away and produces very profitably for that company. It's a great deposit with high grade gold veins, large tonnage. Good thicknesses of the veins. I'm absolutely convinced there's gonna be multiple mines in this district. There's only been really one surge of exploration since the initial discovery of Pogo back in the mid-1990s. It's been a target of ours for a number of years now. Millrock acquired and built its database on the district, and then we made a number of moves with our strategic partner, a major Australian gold miner over the past two years.
Here's what we've done. We bought the west Pogo project from Corvus, a former Alaska explorer, and when we bought those claims, two things. I couldn't even have staked the claims for the purchase price that we paid, and number two, we also purchased at the same time at very low cost in excess of $5 million worth of regional exploration work. Our strategic partner reimbursed us for both those costs. We built up our land position. The Goodpasture was blanket staked after the initial discovery of Pogo, but over the past few years, a lot of claims got dropped, and Millrock is now restaked a lot of those claims and purchased the key claims that were still held by individuals besides Corvus around the west Pogo area and more recently from Kiska Minerals, we purchased a series of seven different claim blocks that covered great prospects there. I feel like we got a fantastic land position in a very under-explored mining district that's gonna produce multiple million-ounce gold deposits over the coming decades.
Gerardo Del Real: Excellent. Now pivoting a little bit to BC, the Steward Golden Triangle district, I understand that you now have all the project information in a database to develop drill targets for 2017. How are things coming along there, Greg?
Greg Beischer: We're on the hunt for a partner for those projects. We've been talking to a number of different groups but no one's locked on yet, so we're just slowly advancing the projects. As you say, there is quite a bit of existing data that we've accumulated and put into a proper form in our computer programs. We really took a hard look at all the geophysical work that had been previously done. We hired Geotech, an excellent geophysical contractor to compile and assimilate and reprocess all that information. On top of that, hired the same company to fly Z-TEM, an airborne server that sees yet deeper into the earth. We're merging that with our geophysical database and then we'll merge all the geophysical information with geochemistry and geology to identify specific drill targets. We'll take those targets to prospective partners and see if they'll step up and fund drilling on those targets. Things are looking good. We bought those projects just under a year ago, and we've had a good look at them at this point. I'll tell you, there's no buyer's remorse. We really like these projects.
Gerardo Del Real: Excellent. That's what project generation's all about. Greg, I love seeing you guys execute it and obviously looking forward to drill results and drilling at several of these projects. I know some of these projects you're in the process of talking with potential partners, but some of the other projects already have joint venture partners, and so the drilling part would be the next exciting catalyst I think.
Greg Beischer: Like I said, we just completed a drilling program at Los Chinos in Sonora, Mexico with Centerra Gold funding that work. There'll be a lot more coming with Centerra, more drilling programs, and in fact, the way things are shaping up, Millrock is probably going to achieve its short-term goal of having a drill turning on one project or another throughout this coming bull market.
Gerardo Del Real: Fantastic. That's exciting for shareholders. Greg, thank you so much for coming on. I really appreciate your time.
Greg Beischer: Anytime at all, Gerardo. We'll see you soon.
Gerardo Del Real: Take care.