Gold Cap/Polar Stewart
The Polar Stewart property lies at the eastern border of our Gold Cap property and the northern border of ground held by Kinross.
This 35 square kilometer property was acquired by way of an option agreement with RyanWood Exploration, headed by Dawson City prospector Shawn Ryan, who is credited with the initial discovery of the Underworld White Gold deposit.
Pacific Ridge can earn a 100% interest in the Polar Stewart property, subject to a 2% net smelter return interest ("NSR"), by making staged payments over the next 4 years totaling $300,000 and 1,250,000 Pacific Ridge shares. The 2% NSR can be bought down to 1% for a $1.0 million cash payment.
The Polar Stewart acquisition was based on its favorable geological setting and an aeromagnetic anomaly flanked by anomalous gold in soils produced from reconnaissance sampling by RyanWood. Initial soil sampling has outlined gold values reaching 634 ppb gold that will be further detailed during 2011 to define targets for trenching and drilling.