News

May 08, 2008

Goldsource Mines Sparks Saskatchewan Coal Frenzy

By Our Canadian Correspondent

It’s all a bit reminiscent of Diamond Field Resources’ discovery of the giant Voisey Bay nickel deposit in Labrador back in the 1990s, when the original target was diamonds. This time round, tiny Canadian-listed Goldsource Mines has inadvertently cut thick coals seams while drilling for diamondiferous kimberlite in Saskatchewan.

Goldsource, which was trading at C$0.30 per share on 22nd April when the company reported that drilling had been suspended on its Cowan Lake, Crossroads and Border properties in central and eastern Saskatchewan due to spring holidays. At that stage out of a permitted 22 holes had been drilled. None of those holes hit the targeted kimberlite but two holes drilled 1.6 kilometres apart on the Border property did cut a coal seam that showed a thickness of 25 metres from one hole and 35 metres from...