By: Nick Slinde
Georgia
We are continuing to gain support for a zone change from contiguous property owners in an effort to eliminate the existing 500 ft buffers which severely restrict the site’s mineability. Provided sufficient support is secured, we will seek 3rd party verification of past assays and proceed with the land use process. Timelines will be provided once available.
Arizona
Eagle Mining is in the process of contacting the parties who drafted the original bulk sampling applications for the AZ property. As was previously posted, discussions with BLM Arizona, equipment manufacturers and industry consultants suggest that a re-organization of the current workable area depth can and should be expanded to improve the projects footprint. We will evaluate overall feasibility once it is determined whether the area can be expanded.
General Update
Funding for operations, investigation, and advancement of existing and future projects has and will be a challenge for Drake considering its current share structure and the state of the market. Further, creating cash flow and increasing long term shareholder value and sustainability remain our main concerns. To this end, Drake has expanded its current business plan to facilitate the creation of revenue through strategic alliances and market expansion. We are evaluating many possible "turn-key" opportunities and are nearing completion of our due diligence on several of these possibilities. Initial terms are being discussed.
Drake is also working to utilize current management strengths and experience to explore opportunities in the real estate market. Recognizing Drake's main objectives and the precarious state of the economy, we are carefully researching each opportunity and will take no action until we are certain the project will fulfill the needs of the company both short and long term.
Showing posts with label Eagle. Show all posts
Showing posts with label Eagle. Show all posts
Thursday, October 30, 2008
Tuesday, September 30, 2008
CEO Nicholas J. Slinde Updates the Shareholders on Georgia and Arizona Projects
by: Nick Slinde
Based on the numerous issues Drake's former management had advancing the Georgia and Arizona Projects, I felt it necessary to reevaluate Drake's projects and determine if the same were truly viable from a monetary and/or regulatory perspective. That review has raised certain concerns about both projects which are outlined below:
Georgia
As a preliminary matter, a number of shareholders have inquired as to the legitimacy of the assays previously taken on site. Although we believe these assays are accurate and verifiable, it is prudent to have them confirmed by an independent third party. However, before incurring that expense, I felt additional investigation was needed to determine the true area of mineability and regulatory impact a free flowing stream located on site would have on the project. Applicable code requires a 500' buffer between mining activities and adjacent property lines which severely restricts the mineable area. To expand the mineable area, it is necessary to secure the rights to neighboring parcels and include them in the zone change application. Drake's current Lessor has been enlisted to help facilitate these acquisitions. This process should be completed before expending additional resources, monetary or otherwise, on the project. With respect to the stream, its central location further restricts an already limited mineable area. Applicable code requires a 50' buffer between workable area and water resource. To minimize impact and ensure an economically feasible project, I believe Drake must first acquire rights to the neighboring properties to effectively expand the mineable area. Provided additional properties can be secured, every effort will be made to prove up the sites’ potential yield through the confirmation of existing assays and ready the properties for production.
Arizona
I was similarly concerned with the restricted area of mineablity and reclamation process allowed/required under the current bulk sampling permit. Under the current Mining Notice, the dimensions in which active mining can occur were severely limited by the filed notice and existing bond. The BLM has confirmed that this area can be expanded by way of revising the mining notice and increasing the bond, if necessary. However, before this avenue is pursued, I believe it necessary to have non-refined assays taken from site evaluated, as existing assays measure the gold content of already refined samples. Management is working to arrange for the removal of non-refined on site material for testing. These processes, although time-consuming, are necessary to confirm the viability of the project. This process is ongoing and updates will be given as information is made available.
Where We Go from Here…
Funding for operations, project investigation and the advancement of projects, existing and future, remain a major concern. The current state of the financial markets has made raising capital extremely difficult and the shareholders' overwhelming opposition to a share restructuring severely limited our ability to generate much-needed funds. Nonetheless, we are working through a number of creative concepts for expanding Drake's operations to create revenue through strategic alliances and market expansion. Specifics about any such opportunities will be passed on once it is determined the same offer realistic growth opportunities for Drake. Ultimately, it is our shareholder base that will facilitate executing on these opportunities. Your continued involvement and support are appreciated.
As for the blog updates, I originally intended on giving bi-weekly updates and apologize they have not come that often. In the short term, I think it is more appropriate to provide updates whenever information worthy of distribution becomes available. This ultimately may be less frequent than originally proposed but will create what I hope to be a more fluid dialogue between management and the shareholders.
Please continue directing any questions and comments you may have to CEO@drakegold.com. As I am receiving a number of emails daily, it is becoming increasingly difficult to respond each of them directly. However, I promise any inquiries are being reviewed and considered at our weekly management meetings.
Based on the numerous issues Drake's former management had advancing the Georgia and Arizona Projects, I felt it necessary to reevaluate Drake's projects and determine if the same were truly viable from a monetary and/or regulatory perspective. That review has raised certain concerns about both projects which are outlined below:
Georgia
As a preliminary matter, a number of shareholders have inquired as to the legitimacy of the assays previously taken on site. Although we believe these assays are accurate and verifiable, it is prudent to have them confirmed by an independent third party. However, before incurring that expense, I felt additional investigation was needed to determine the true area of mineability and regulatory impact a free flowing stream located on site would have on the project. Applicable code requires a 500' buffer between mining activities and adjacent property lines which severely restricts the mineable area. To expand the mineable area, it is necessary to secure the rights to neighboring parcels and include them in the zone change application. Drake's current Lessor has been enlisted to help facilitate these acquisitions. This process should be completed before expending additional resources, monetary or otherwise, on the project. With respect to the stream, its central location further restricts an already limited mineable area. Applicable code requires a 50' buffer between workable area and water resource. To minimize impact and ensure an economically feasible project, I believe Drake must first acquire rights to the neighboring properties to effectively expand the mineable area. Provided additional properties can be secured, every effort will be made to prove up the sites’ potential yield through the confirmation of existing assays and ready the properties for production.
Arizona
I was similarly concerned with the restricted area of mineablity and reclamation process allowed/required under the current bulk sampling permit. Under the current Mining Notice, the dimensions in which active mining can occur were severely limited by the filed notice and existing bond. The BLM has confirmed that this area can be expanded by way of revising the mining notice and increasing the bond, if necessary. However, before this avenue is pursued, I believe it necessary to have non-refined assays taken from site evaluated, as existing assays measure the gold content of already refined samples. Management is working to arrange for the removal of non-refined on site material for testing. These processes, although time-consuming, are necessary to confirm the viability of the project. This process is ongoing and updates will be given as information is made available.
Where We Go from Here…
Funding for operations, project investigation and the advancement of projects, existing and future, remain a major concern. The current state of the financial markets has made raising capital extremely difficult and the shareholders' overwhelming opposition to a share restructuring severely limited our ability to generate much-needed funds. Nonetheless, we are working through a number of creative concepts for expanding Drake's operations to create revenue through strategic alliances and market expansion. Specifics about any such opportunities will be passed on once it is determined the same offer realistic growth opportunities for Drake. Ultimately, it is our shareholder base that will facilitate executing on these opportunities. Your continued involvement and support are appreciated.
As for the blog updates, I originally intended on giving bi-weekly updates and apologize they have not come that often. In the short term, I think it is more appropriate to provide updates whenever information worthy of distribution becomes available. This ultimately may be less frequent than originally proposed but will create what I hope to be a more fluid dialogue between management and the shareholders.
Please continue directing any questions and comments you may have to CEO@drakegold.com. As I am receiving a number of emails daily, it is becoming increasingly difficult to respond each of them directly. However, I promise any inquiries are being reviewed and considered at our weekly management meetings.
Monday, August 25, 2008
Project Status Update
by: Drake Management
ATLIN SILVER PROJECT
New management has decided to relinquish all interests in our Atlin Silver Project in Canada. We determined that despite the project’s potential for silver resources, its remote location presents too great an obstacle for profitability. The Atlin Project is located in an isolated region of British Columbia. Access to the property requires at minimum a several hundred-mile helicopter ride. Also, its northern climate severely restricts the mining season. These factors convinced company management that the Atlin Silver Project was not viable.
GEORGIA MINING PROJECT
During management’s internal review, it was determined that the current structuring of leases and agreements were insufficient to protect shareholder value. Specifically, the Joint Venture agreement with Southern Mining Exploration was void and the leases held by SME were invalid. Management is currently exploring alternative options to structure agreements pertinent to the Georgia project.
The Dove Explorer 500 has not been delivered to the site, as Aero Surface Mining Technologies has failed to fulfill its contractual obligations to Drake.
EAGLE MINING
There are no substantive updates at this time, but Drake management maintains a positive working relationship with Eagle Mining and is working to secure the equipment necessary to commence production.
ATLIN SILVER PROJECT
New management has decided to relinquish all interests in our Atlin Silver Project in Canada. We determined that despite the project’s potential for silver resources, its remote location presents too great an obstacle for profitability. The Atlin Project is located in an isolated region of British Columbia. Access to the property requires at minimum a several hundred-mile helicopter ride. Also, its northern climate severely restricts the mining season. These factors convinced company management that the Atlin Silver Project was not viable.
GEORGIA MINING PROJECT
During management’s internal review, it was determined that the current structuring of leases and agreements were insufficient to protect shareholder value. Specifically, the Joint Venture agreement with Southern Mining Exploration was void and the leases held by SME were invalid. Management is currently exploring alternative options to structure agreements pertinent to the Georgia project.
The Dove Explorer 500 has not been delivered to the site, as Aero Surface Mining Technologies has failed to fulfill its contractual obligations to Drake.
EAGLE MINING
There are no substantive updates at this time, but Drake management maintains a positive working relationship with Eagle Mining and is working to secure the equipment necessary to commence production.
Friday, May 9, 2008
Eagle Mining JV Report
Drake Gold Announces Joint Venture with Turn-key Arizona Project and Releases Detailed Report
As management recently announced, Drake Gold has signed a joint-venture agreement with Eagle Mining for their Abigail and Donovan mining claims in Arizona. Eagle Mining has already completed multiple geological assays that show great potential for profitability. Eagle Mining has also secured necessary permits and currently possess a variety of processing equipment for the sites.
Drake Gold has written a detailed investigative report covering this Arizona project as a whole. The report includes the assays, permits, BLM data and a host of other information pertaining to the project. Please click on the link below to get a better understanding of Drake’s latest venture.
Read Eagle Mining Investigative Report
Read Disclaimer
As management recently announced, Drake Gold has signed a joint-venture agreement with Eagle Mining for their Abigail and Donovan mining claims in Arizona. Eagle Mining has already completed multiple geological assays that show great potential for profitability. Eagle Mining has also secured necessary permits and currently possess a variety of processing equipment for the sites.
Drake Gold has written a detailed investigative report covering this Arizona project as a whole. The report includes the assays, permits, BLM data and a host of other information pertaining to the project. Please click on the link below to get a better understanding of Drake’s latest venture.
Read Eagle Mining Investigative Report
Read Disclaimer
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