Amador Gold

Recent work has revealed multiple-vein sites

The area around Timmins, in Ontario’s northeastern corner, is a fairly forbidding place much of the year; not too many people live there, except the ones hardy enough to see forestry and especially gold mining projects through to completion. For the ones who do stay, there appears to be lots of gold to go around. And when that gold is assayed and sent to market, the effort to find that gold could really pay off.

In that vein (pardon the pun), more favourable news was reported by yet another junior mining concern, Vancouver-based Amador Gold Corporation (TSX: V.AGX). In early August, AGX told gold industry watchers of a major strike on which it was working, 85 kilometres southwest of Timmins. Previous exploration programs, the company said, had confirmed the presence of both gold and volcanogenic massive sulphide-style (VMS) mineralization at its wholly-owned Horwood project. Previously reported grab samples from quartz veins within gabbros returned values of 17.30 g/t (grams per tonne) gold, 22.72 g/t gold and 19.68 g/t gold.

More recent work has revealed multiple-vein sites that also look rich in the shiny yellow metal; seven grab samples were taken, and four of the seven returned grades of 75.0, 57.1, 48.3 and 43.3 g/t gold with the remaining samples containing anomalous values of concentrated gold.

For sure, Horwood is a reserve in the big leagues, located not far from sites being mined by heavyweights like Lakeshore Gold and West Timmins Mining Inc. (TSX: T.WTM).

A member of the Hughes Exploration Group of Companies, Amador has applied innovative exploration techniques and geological concepts to select cost-effectively more than 30 properties of exceptional merit in established mining camps and emerging mineral districts of Canada. In all, Amador has assembled a portfolio of more than 20 properties of exceptional merit in established mining camps and emerging mineral districts of Canada.

AGX is also active on the nearby Loveland project, rich in not only gold but also copper and nickel. Gold finds there have yielded 37 g/t gold over 8.55 metres, 6.17 g/t gold over 3.0 metres, and 10.39 g/t gold over 3.1 metres. Its 2008/2009 drill program showed high-grade results and continuity of gold mineralization.

But the price remains junior, which is exciting news for investors with a few nickels to throw around. The stock has not seen the 16-cent mark in terms of price since last September, before the word “recession” was spread around every day. The stock bottomed out at 3.5 cents on the last day of July, before creeping back up to 6.5 cents, on the day of the latest announcement. Investors should hearken to the news of this aggressive little company starting to hit its stride in the Ontario gold fields.

Disclosure:

The author, Peter Szafranski, has not been compensated nor does he own any shares in the above mentioned companies.