Candorado Operating Company Ltd. - Willow River

Overview:

Candorado Operating Company Ltd acquired a 100% interest in the Willow River Property through MTO filing.
The exploration target is a sediment-hosted sein (SHV) gold deposit, commonly referred to in the past as a turbidite-hosted gold deposit. Large scale deposits of this type are found in Russia and Australia. In North America, the Meguma Terrane in Nova Scotia is host to several small- to medium-scale deposits, as is the Seward Peninsula in Alaska
The Spanish Mountain gold deposit, owned by Spanish Mountain Gold Ltd (formerly Skygold Ventures Ltd), 140 km to the south of the Property, has many features similar to a SHV gold deposit

Location, Infrastructure and Resources:

The Property comprises 12,314 hectares
The claims are located within the Fraser Plateau, from about 57 to 80 km south-east of Prince George
Access is provided by an all-weather gravel road and a network of logging roads
The city of Prince George is the regional centre for many industries and services

History:

Historically, a number of placer claims on several creeks and tributaries have been worked, including several tributaries of the Willow River
Exploration for lode gold has been limited. In 1991, the area north-west of the Property was explored for vein-hosted gold. Diamond drilling intersected narrow quartz-carbonate veins
Exploration for SHV gold deposits began in 2006, with Spanish Mountain Gold acquiring a large mineral claim block called the Willow River property. At that time their claim block included much of Candorado's current Property. Spanish Mountain Gold conducted a reconnaissance scale geochemical program of stream sediments sampling (silt and heavy mineral) along with several follow-up soil surveys
In 2007, Candorado acquired much of the eastern part of this claim block by MTO filing
Regional airborne electromagnetic, magnetic and gravity surveys were flown over a large area of south-central BC in 2007, as part of the Quest Project by Geoscience BC, including the Willow River claim blocks

Geology:

Situated in the Quesnel Terrane, which in this area consists of three units belonging to the Late Triassic- Early Jurassic Takla-Nicola Group. These units consist of varying assemblages of argillites, greywackes, limestones and slates, with minor basalt
Many regional faults, including thrust faults, are present in the area
The combination of large scale structures, the presence of fine-grained, marine silici-clastic sedimentary rocks, and the occurrence of placer gold, are all favourable for hosting an SHV gold deposit on the Property

2007 - 2008 Exploration Program Highlights:

Candorado carried out a reconnaissance-scale geochemical survey over the majority of the Property in 2007, collecting heavy mineral stream sediments. Limited reconnaissance-scale heavy mineral till and soil surveys were also completed
In 2008, Candorado further refined the geochemical targets by collecting high energy silts, and by conducting a limited heavy mineral till program. Grid soils were completed in areas of anomalous gold geochemistry

Recent Developments in the Area:

Spanish Mountain Gold has delineated two gold-in-soil anomalies on their neighbouring Willow River property and plans to continue to explore for SHV gold deposits

Proposed Exploration:

A review of the two Quest regional airborne geophysical surveys will be incorporated into the framework in upcoming exploration programs
Other areas of anomalous gold-in-stream sediments will be followed up with detailed soil surveys, to create targets for trenching and possibly drilling