In November 2009 NFR optioned the Tad/Toro property to 0851045 BC Ltd (a private BC company) that was merging with Uldamen Capital Corporation to form a new company called Dawson Gold Corporation. Under the option agreement Dawson Gold Corporation will complete $3,000,000 in exploration expenditures, pay NFR $125,211 in cash, and issue 3,000,000 common shares. See news release dated November 5th, 2009 for more details.
The Tad/Toro Property was originally targeted to explore for silver-lead-zinc mineralzation in the early 1920s. However, the lode gold potential of the property had not been fully recognized, despite presence of several gold placer producers, until the results of recent exploration programs.
Extensive work was undertaken including geological mapping, sampling, geophysics, trenching and diamond drilling. It was not until 1986 that the potential of a supergene oxide gold mineralized zone was identified and briefly explored by Noranda Exploration Inc. Samples collected from previously drilled holes were assayed and these, coupled with earlier results, established that a potential gold zone exists within a supergene oxide horizon within a Cretaceous aged quartz-monzonite porphyry intrusive.
Encouraging gold values were found in three holes: T-2 gave 0.51 g/t gold over 37.0 m (including 1.0 g/t gold over 8.2 m); T-12 gave 1.23 g/t gold over 4.9 m; and drill hole T-14 gave 1.68 g/t gold over 7.0 m. Other potential economic metals (silver, zinc and molybdenum) also exist in substantial amounts in other underexplored zones.
Additional work carried out by subsequent companies and property owners involved soil sampling, VLF-EM and magnetometer surveys. This work outlined strong Au-Ag-Zn-As soil geochemical anomalies. Compilation of geophysical and geochemical data outlined a 750 m NWSE trending Au-As anomaly with coincidental magnetic lows and variable chargeability responses that have not been adequately tested by previous drilling. Parallel structures to this anomaly are also indicated by the magnetometer shade plot.
View southwesterly over the Tad property, showing the location of the gold-in-soil geochemical anomaly
identified by Noranda in 1987. This anomaly likely represents the intersection of supergene gold horizon
with the present erosion surface.