Dime Creek, Alaska
PRGCI will conduct due diligence on the property by: 1) complete a detailed geologic
map of the claims for sample orientation; 2) conduct 50 shallow auger drill holes
in Dime Creek placers above Haycock to obtain qualitative estimates of gold and PGE
content; 3) use same drill to re-test PGE soil anomalies with 15-20 shallow drill holes
obtained in 2001; and 4) recon the lower portion of Dime Creek placer.
In order to complete the phase 1 due diligence program, we must fly in the track-
mounted auger drill to Granite Mountain airstrip, about 12 miles from Dime Creek.
State permits must be obtained to conduct the overland crossing, which will take 4-6
weeks to process. A helicopter would mobilize the camp at the start of the project and
demobilize the camp at the cessation of the program. A report would be written
in the fall that would summarize the findings and make recommendations for 2010.
Budget Phase I Reconnaissance, Summer of 2009
| Item |
Unit Cost (USD) |
Subtotal (USD) |
| Goldstream Exploration LLC Bombardier Mounted Shallow Drill; capable of 4 inch auger holes to 30 feet maximum depth |
$450/day for 30 days |
$13,500 |
| Driller and welder/mechanic for auger drill |
$1,250/day for 35 days |
$43,750 |
| Box Car Flights; two round trips to and from Fairbanks to Granite Mountain airstrip |
$8,000/flight; two flights |
$16,000 |
| Two Round trip Air fares for personnel to Granite Mountain |
Chartered Aircraft from Wright’s Air Service $2,500/charter X2 |
$5,000 |
| Helicopter charter to mob/demob from camp; from Nome or Fairbanks |
10 hours @ $800/day wet |
$8,000 |
| PRGCI Field Camp for 2 drillers and 5 geologists and samplers |
$25,000 |
$25,000 |
| Senior field geologist (Bundtzen) |
$650/day for 30 days |
$19,500 |
| Two geologists; two assistants |
$1,800/day for 30 days |
$54,000 |
| Permitting Requirements |
4 days @ $550/day |
$2,200 |
| Cook |
$350/day for 30 days |
$10,500 |
| Expeditor in town |
$350/day for 30 days |
$10,500 |
| Food and camp supplies for Dime Creek camp |
$55/person for 30 days; 7 people |
$11,550 |
| Geochemical analyses; AL Chemex |
$25/sample; 400 samples |
$10,000 |
| PRGCI field rental (field gear; field computers; satellite phones; GPS, all other necessary gear) |
$40/day for 30 days |
$1,200 |
| Two 4-Wheelers @ Dime Creek |
$150/day for 30 days |
$4,500 |
| Project Report write-up by Bundtzen |
10 days @ $650/day |
$6,500 |
Office Requirements
(contractor paperwork requirements; invoicing; assist expeditor) |
5 days @ $450/day |
$2,250 |
Office Requirements
(contractor paperwork requirements; invoicing; assist expeditor) |
5 days @ $450/day |
$2,250 |
| TOTAL |
|
$243,950 |
Click Here to See the Dime Creek Summary Report
PRGCI would follow up the 2009 phase 1 program with: 1) a 10,000 foot, RC drill-definition
program that would provide NI 43-101 compliant gold/platinum resource estimates for the
Dime Creek placer deposit; and 2) drill test with shallow core holes the PGE targets
identified by previous soil sampling. In order to accomplish these goals, a more sophisticated
camp would be set up, including cook tent, laundry facilities and a field lab used to process
and reduce in size the bulk placer samples that would be shipped to Fairbanks. State
permitting requirements must also be met; the drill might have to be transported during winter
months. Although logistical paths would be similar to those developed during the 2009
phase 1 work, costs would necessarily be greater in order to accommodate the overall larger
scope and needs of the project.
Upon the cessation of the drill program, all placer samples would be processed
in a laboratory in Fairbanks—either our own or that of Metallogeny Inc., which maintains a
placer research lab for placer evaluation programs. Subsequently, PRGCI would take all drill
results and prepare a NI 43-101 compliant Technical Report that would describe the placer
gold resources at Dime Creek.
Budget Phase 2 Summer of 2010
| Item |
Unit Cost (USD) |
Subtotal (USD) |
| Goldstream Exploration LLC RC drill capable of drilling to depths of 150 feet; also converts to shallow core drill (200 feet) |
$2,000 /day for 100 days to drill 10,000 feet in 100 drill holes in placer; 1,500 feet of core into lode targets |
$200,000 |
| Driller plus mechanic (welder) for RC/core drill |
$1,250/day for 90 days |
$112,500 |
| Box Car Flights; eight round trips to and from Fairbanks to Granite Mountain airstrip |
$8,000/flight; eight flights |
$64,000 |
| Six Round trip Air fares for personnel to Granite Mountain ; transfer placer samples to Granite Mountain |
Chartered Aircraft from Wright’s Air Service $2,500/charter X2 |
$15,000 |
| Helicopter charter to mob/demob from camp; from Nome or Fairbanks |
20 hours @ $800/day wet |
$16,000 |
| Contracted Taiga Field Camp with kitchen and laundry facilities; PRGCI supplies sleeping tents for 2 drillers and 5 geologists and placer samplers |
$200,000 |
$200,000 |
| Senior field geologist (Bundtzen) |
$650/day for 75 days |
$48,750 |
| Two geologists; two assistants/placer samplers |
$1,800/day for 100 days |
$180,000 |
| Permitting Requirements |
8 days @ $550/day |
$4,400 |
| Cook |
$350/day for 100 days |
$35,000 |
| Expeditor in town |
$350/day for 100 days |
$35,000 |
| Food and camp supplies for Dime Creek camp |
$55/person for 100 days; 7 people |
$38,500 |
| Geochemical analyses; AL Chemex |
$25/sample; 150 samples |
$3,750 |
| Transport of large placer samples by air freight, Granite Mountain to Fairbanks |
Box car Fairbanks Granite Mountain two trips |
$10,000 |
| Final processing of placer samples in Metallogeny Inc. lab |
Processing of 100+ large placer samples |
$50,000 |
| Two 4-Wheelers @ Dime Creek |
$150/day for 100 days |
$15,000 |
| Project Report write-up by Bundtzen; with NI 43-101 compliant resource estimates by Bundtzen |
20 days @ $650/day |
$13,000 |
Office Requirements
(contractor paperwork requirements; invoicing; assist expeditor) |
20 days @ $450/day |
$9,000 |
| TOTAL |
|
$1,049,900 |
|
|
