Teuton Resources Corp. (TUO) (Teuton) announces that it has completed a major staking program in the Stewart-Eskay Creek region of northwestern British Columbia. Claim holdings have almost tripled from 78,000 to 207,000 acres, making the Company a dominant land holder in one of the most highly mineralized terranes in North America.
Potential for hosting silver deposits was the primary consideration in selecting target areas for acquisition. The selection process was assisted by the Company’s extensive geochemical database, compiled during twenty years of regional grass roots exploration beginning in the early 1980’s. Much of this data is not in the public domain. Areas lying along regional strike from known silver deposits, particularly those areas where pronounced meltback of ice and snowfields has exposed previously inaccessible rock outcrops, were also selected.
Teuton now holds interests in more than 30 properties within the Stewart-Eskay Creek region. Almost all of these properties either cover known silver showings or are underlain by geology favourable for hosting silver mineralization.
Since 2002, silver has increased from $4.50 to $7.11 per ounce, gold from $320 to $399 per ounce. The much more rapid advance in the price of silver has resulted in a material change in the gold-silver ratio from 77-1 to 56-1.
During 2003 drilling of the LG vein structure on Teuton’s Del Norte property (now under option to Lateegra Resources Corp.), all of the initial seven holes encountered significant gold-silver mineralization. At metal prices prevailing at the time, gold was the majority contributor to gross metal value. However, at current prices, silver now accounts for an average 57% of gross metal value, underscoring the importance of this mineral.
Stewart-Eskay Creek Region History
The Stewart region of northwestern British Columbia became prominent in 1918 after the discovery of exceptionally high-grade gold and silver mineralization at the Premier mine, located 14 miles northwest of Stewart. In its early years the Premier shipped ore grading 4.2 oz/ton gold and 141 oz/ton silver, some of the richest ever to come out of a Canadian mine. Throughout this time the Premier enjoyed the reputation of being the best dividend-paying mine in North America.
In 1995, another very high-grade gold and silver mine went into production at Eskay Creek, located 52 miles northwest of Stewart. The main deposit at Eskay Creek is the 21B zone, which at mine onset had a proven and probable mining reserve of 1.08 million tonnes grading 1.91 oz/ton gold and 85.5 oz/ton silver. Eskay Creek, now owned by Barrick Corp., currently produces both high-grade shipping ore as well as lower grade milling ore.
It continues to be a highly profitable operation.
Eskay Creek is the 5th largest producer of primary silver in the world.
ON BEHALF OF THE BOARD OF DIRECTORS
TEUTON RESOURCES CORP
Dino Cremonese, P.Eng.
Teuton Resources Corp
Minvita Enterprises Ltd.
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