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JUNIOR GOLD STOCK |
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With A Power Grid, A Railway And Highways All Within 5 To 10 Kilometers Of Their Coldstream Property In Ontario, Foundation Resources Inc. Has The Infrastructure In Place To Continue Exploration And Deliver Strong Drilling Results |
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Mr. Osmani brings 27 years
of Canadian and International mineral exploration experience in gold,
platinum-group and base metals providing exploration consulting services for
numerous resource companies as well with the Ontario Geological Survey. Most
recently, he was the Chief Geologist of TNR Gold Corp. ("TNR"), a
multi-commodity explorer in Canada and South America. Prior to joining TNR
in 2007, Mr. Osmani was vice president - exploration and director of a
Canadian junior company exploring for gold and base metals in India. His
contribution while working with the Ontario Geological Survey included the
discovery of numerous mineral occurrences of precious and base metals, which
are documented in over 38 publications. His contribution to the mineral
industry includes both exploration and development of mineral properties
from grass-roots to advanced levels. Interview conducted by: Lynn Fosse, Senior Editor, CEOCFOinterviews.com, Published – December 24, 2010
Mr. Osmani: I have been working in Ontario for the majority of my 27 year career. While I was working in the 1990s for the Ontario Geological Survey (OGS), the Coldstream Property of Foundation Resources Inc. (“Foundation”), which is located 115 km west of Thunder Bay in the Shebandowan Greenstone Belt (“SGB”), was already on my radar since. At that time, Noranda was conducting exploration on the project. I have visited the property many times during this time and afterwards, so I really knew the property inside and out, in terms of both geology and gold potential. I have been waiting for an opportunity to get my hands on this property for a long time. During the downturn one and a half years ago, opportunity came knocking from my friend, who is the president of Alto Ventures Ltd. (“Alto”) and I was delighted to present this excellent gold project to Foundation which was only a Canadian Pool Company (CPC) at the time. That is when all the negotiations started between the two companies. Foundation had signed an agreement with Alto to acquire up to 70% of the Property in 2009. Initially, I was involved with Foundation as a consultant and then in June 23, 2010 I became the president of the company.
CEOCFO: What do you like about the Coldstream Property?
Mr. Osmani:
What I like about the Coldstream Property is its easy accessibility and its
strategic location within the western SGB which hosts several past producing
metal mines including, gold (Ardeen Mine), copper (North Coldstream Mine)
and nickel (Shebandowan Mine). Alto, our joint venture partner on this
property, had consolidated this large property package by acquiring claims
from various previous operators over the past few years. The Property now
extends approximately15 km from northeast to southwest, covering an area of
5,738 hectares. This huge property is host to one past producer (North
Coldstream copper-gold mine), an advanced stage deposit with historical gold
resource (East Coldstream Deposit), Span Lake deposit, and the Moss Lake
Deposit with NI 43-101 compliant gold resources (1.1 million ounces gold
inferred and 560, 000 ounces gold in indicated categories) located adjacent
to the southern Coldstream claims.
CEOCFO:
What is happening on the ground today?
CEOCFO: Is the property accessible? Mr. Osmani: Our Coldstream Property is located just south of Highway 11 and is 115 kilometer west of Thunder Bay, Ontario. Additionally, a major railway line and electrical power grid run parallel to the highway. Basically, all the major requirements of a mine is readily available: there is a power grid, a railway, and a major highway, all within 5 or 10 kilometers of our Coldstream Property. A secondary highway and several logging roads also criss-cross the property, so the infrastructure is incredible. Skilled and general labor, exploration/mining services and supplies are readily available from Thunder Bay.
CEOCFO: Do you also have property in Mexico? Mr. Osmani: We do have a property in Mexico and like the potential of the project, but we are still working on finalizing some property administration before we commence work there. Things are moving a little slow in Mexico but we are almost there! The province of Durango, Mexico is well known for the wealth of gold in the famous Sierra Madre Mountains and we can’t wait to get started on it in 2011.
CEOCFO: What is the financial picture like for Foundation Resources? Mr. Osmani: We set out to maximize shareholder value by drilling and discovering new gold potential, I think we have done that very well. By the end of the drill program this summer, we spent majority of our last financing and had about half million dollars cash remaining. The interest in the project is apparent, as we have just raised around $3.4 million through Fraser-Mackenzie of Toronto this month for our 2011 program. These funds will be enough to conduct 6,000 metres of drilling plus carry out some geophysical surveys this winter (2011) on the property. We intend to raise additional funds to carry out another 8,000-10,000 of drilling program in 2011 summer and fall seasons.
CEOCFO: Are you finding investor interest these days? Mr. Osmani: Investor interest is certainly surging in Foundation considering we are a fairly new company, having just commenced a short year and a half ago. Since our original drill results from April 2010, we have been fortunate that a lot of interest has been shown in Foundation and its Coldstream property. We believe with the planned work next year should increase valuation further and award loyal investors royally. Our last placement was oversubscribed and we actually had to decline some of the investment, as we believe valuation will increase further from here.
CEOCFO: Do you do much investor outreach? Mr. Osmani: The Foundation team actively networks and solicits existing and new investors year round. We have engaged a proven investor relations team and also leveraged the management team’s resourceful network of industry contacts spanning media, financial institutions, brokerage firms, and marketing.
CEOCFO: In closing, why should potential investors pick Foundation Resources out of the crowd? Mr. Osmani: Here are some of the following reasons: 1) Building towards a multi-million gold ounces resource in an accessible and prolific gold belt in Ontario - just 115km from Thunder Bay. Accessible year round with excellent infrastructures. 2) Only 30 million shares outstanding and well structured for share appreciation 3) Over 10,000m of drilling so far with results such as 4.88g/t over 27m and 1.12g/t over 111.3m gold, advancing a historic resource by Noranda from 1990's to a NI 43-101 compliant resource 4) Well cashed with over $3.5 million for 2011 large exploration / drilling program 5) Proven management from geology and finance
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From The Exploration And
Production Of Lithium To Partnering For Manufacturing, Lomiko Metals
Inc. Is Developing Into A Fully Integrated Battery Company |
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Access thousands of full-text Public
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What I like about the Coldstream Property is its easy accessibility and its strategic location within the western SGB which hosts several past producing metal mines including, gold (Ardeen Mine), copper (North Coldstream Mine) and nickel (Shebandowan Mine). Alto, our joint venture partner on this property, had consolidated this large property package by acquiring claims from various previous operators over the past few years. The Property now extends approximately15 km from northeast to southwest, covering an area of 5,738 hectares. This huge property is host to one past producer (North Coldstream copper-gold mine), an advanced stage deposit with historical gold resource (East Coldstream Deposit), Span Lake deposit, and the Moss Lake Deposit with NI 43-101 compliant gold resources (1.1 million ounces gold inferred and 560, 000 ounces gold in indicated categories) located adjacent to the southern Coldstream claims. The East Coldstream Deposit, which is the most advance of all deposits within the Coldstream property, is the focus of recent drilling by Foundation. The deposit is modeled as a bulk tonnage operation, which has tremendous potential of becoming an open-pit mine. - Ike Osmani, M.Sc., P.Geo. |
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