| Teryl Resources (TSX.V:TRC) is set to take flight as it | | | | anomalous drill targets. |
| moves into the next stage of an ambitious drilling | | | | Teryl's strategy is simple in that it looks for deposits |
| program on its Gold Hill property near Bisbee, Arizona. | | | | near major existing or former producers. This |
| The company has just signed a drilling contract for the | | | | approach allows the company to maximize reward |
| project, with work to commence as soon as a drill | | | | potential while mitigating risk for investors. The |
| becomes available. The program will target several | | | | company is also applying this philosophy to its program |
| copper showings on the property. The Gold Hill Mine | | | | in Alaska. Teryl has entered into a joint venture |
| property comprises 14 patented mining claims that | | | | agreement with Kinross, with 80% Kinross/20% Teryl, |
| include the Old Gold Hill, Superior, and Baston mines. | | | | on the Gil Project. The main Gil Zone consists of a |
| Old shallow placer diggings are found throughout the | | | | 3000 ft. strike length. According to Teryl's website, the |
| property as well as small shafts, pits and cuts. Gold Hill | | | | company has spent $1.6 million on exploration that has |
| is located less than four miles west of Phelps Dodge's | | | | defined a resource of 400,000 ounces of gold (10 |
| (since bought out by Freeport McMoRan for $26 billion) | | | | million tons grading 0.04 ounces per ton gold). |
| Copper Queen/Lavender Pit, which was one of the | | | | The company's management isn't afraid to think big. |
| world's biggest and richest mines during its heyday | | | | "All we need to do is find another Fort Knox," says |
| from 1954-1970. This open-pit operation yielded 75 | | | | John Robertson, Teryl's president. The company also |
| million tons of gold, silver and copper ore for Phelps | | | | has a 50-50 joint venture agreement with Linux Gold |
| Dodge. The company has expanded its holdings in the | | | | (of which Mr. Robertson is also president), on the Fish |
| area by staking another dozen patented claims near | | | | Creek claims. The company has recently completed a |
| Copper Queen. Teryl has a chance to earn a 100% | | | | $400,000 private placement- with $150,000 earmarked |
| interest in the property, with a small royalty payable to | | | | for drilling targeted zones on the Fish Creek property |
| the original owners. | | | | that were identified as geophysical anomalies. |
| Teryl's other major project consists of four | | | | Alaska is usually regarded as an expensive place to |
| strategically-located claim blocks (the Gil Project, the | | | | work; however, Teryl is particularly well situated to run |
| Fish Creek claims, the Stepovich claims, and the West | | | | a low-cost operation. The property is only 22 miles |
| Ridge property) in the Fairbanks Mining District of | | | | north of Fairbanks- hence workers can stay in town- |
| Alaska- where it is one of the main landowners- with | | | | thus eliminating the need for company-constructed |
| holdings contiguous to Kinross' (TSX: K; NYSE: KGC) | | | | housing. The area's infrastructure is excellent, given the |
| Fort Knox Project. Fort Knox is the largest producing | | | | property's close proximity to the Fort Knox mill and to |
| gold mine in Alaska, with a 4,000,000 oz. Au ore | | | | a major highway. |
| deposit. | | | | Several key factors allow the company to offer its |
| Other properties in the company's portfolio include a | | | | investors an attractive risk-reward ratio: the ability to |
| joint venture silver prospect located in northern British | | | | defray its overhead costs; two work programs |
| Columbia, as well as revenue-producing oil and gas | | | | entering the drilling stage; properties in the backyards |
| projects in Texas and Kentucky. | | | | of major producers in historically rich (and politically |
| Production in the Bisbee Mining District dates back to | | | | stable) areas, and high metals prices. |
| 1880 with the discovery of the copper carbonate | | | | Any exploration success at Bisbee will undoubtedly |
| deposit at the Copper Queen. New reserves are still | | | | garner interest from the majors like Rio Tinto (owners |
| being found, and as of 2006, there were 11 producing | | | | of Bear Creek), Freeport McMoRan, and Newmont. Mr. |
| copper mines in Arizona. According to a monograph | | | | Robertson is optimistic regarding the company's |
| by Spencer Titley and Lukas Zurcher of the University | | | | direction, as "the price of gold is moving to new highs, |
| of Arizona, the geology of the area is recognized as | | | | and Teryl is very well-positioned". |
| "Nevadan-aged plate convergence [which] was | | | | Teryl offers unparalleled value at its current price |
| attended by formation of rhyolite calderas in a | | | | range- with the downside risk being minimal- while the |
| WNW-trending belt that overlaps the international | | | | ongoing program at Gold Hill shows very high upside |
| border and, of which, Bisbee, Arizona (ca. 200Ma) may | | | | potential. Few companies at this price range have this |
| be a product. Extension of the Chihuahua terrane into | | | | much potential. This could well be a play that floats like |
| southern Arizona reveals a distinctive crustal block | | | | a butterfly- and stings like a bee. |
| characterized by Laramide igneous activity and | | | | This article is intended for information purposes only, |
| Cu-related intrusion centered ore systems in a metal | | | | and is not a recommendation to buy or sell the equities |
| province than transgresses the border." Results on the | | | | of any company mentioned herein. It is based on |
| property so far support such a hypothesis- with 3% | | | | sources believed to be reliable, but no warranty as to |
| Cu in surface sampling, with gold values as well. | | | | accuracy is expressed or implied. The opinions |
| Recent very deep penetrating geophysics in Arizona | | | | expressed in the article are those of the author |
| has revealed new deep-seated copper resources | | | | except where statements are attributed to individuals |
| previously unknown by past operators. The company's | | | | other than the author, in which case the opinions are |
| analysis of its geophysical info has defined 3-4 highly | | | | those of the individual to whom they are attributed. |