David R. Webb, B.A.Sc. (Engineering) M.Sc., Ph.D., P.Geol. President & CEO, Director and Roger G. Sylvestre, Dipl.T. Exec. Vice President, Director, has over 45 years of international experience in exploration drilling in over twenty countries. He is a founding director of Tyhee
Dave Webb, president and CEO of Tyhee Development Corporation, explains why his company is worth its weight in gold.
David Webb and his well qualified team are doing an excellent job developing gold properties in Canada. Deep in the Northwest Territories of Canada, you’ll find a historic gold-mining exploration project called Yellowknife. The property is currently occupied by Tyhee Development Corp., and includes the Nicholas Lake and Ormsby Gold Zones, the Goodwin Lake Property, and the Clan Lake Property.
“The Yellowknife gold project initially started off as two properties and has since expanded to four properties,” explained Dave Webb, President and CEO. “So far, 1.85 million ounces of gold have been drilled off in our measured and indicated category. And an additional 269,000 ounces of gold have been drilled off in our inferred category.”
According to Webb, Tyhee Development also owns 100 percent of the properties, which puts the company in a great position moving forward. “We are fully financed for our prefeasibility study,” he explained. “And that will be completed in the next six or seven months. We are also fully financed for the next stage of our permitting program. We are not financed for our expanded drill program. But we will see what the market has to say about resources in about four or five weeks.”
Tyhee Development is currently in the middle stages of their permitting program, and the company plans to file a final environmental assessment report in the next six or seven months. “Our preliminary assessment and scoping study included over 500 drill holes,” explained Webb. “We put in about 1000 meters of underground development. Our ounces were 1.6 million in total. Now we are doing a preliminary feasibility study as well which is much more rigorous so we will not be allowed to count our inferred ounces. The important thing to mention is that when we did our initial assessment, we showed that the existing resource we had (1.6 million ounces) was very economic. We could mine 163,000 of gold per year on average, from a 3,000 ton per day operation. Our cash cost would be in the range of $385 dollars per ounce. We need to keep it economically viable for everyone.”
Location of Discovery mine within the Yellowknife Greenstone belt.
To keep investors interested, and show this is only part of the story, Tyhee Development has a few exploration programs going on as well. “We are looking at putting in an extensive $3 million dollar exploration program this winter called the Clan Lake Property,” said Webb. “We went in there drilling at 7 or 8 meters at 2 grams of gold per ton. Then we were at 20 meters at 15 grams of gold per ton.
Diamond Drill Core from Ormsby Zone, Discovery Mine Property Showing Abundant Visible Gold within Volcanic Rock This differs from the typical quartz vein association.
As far as financing is concerned, Webb is content with the position of his company. “We have enough money in the bank to finance the prefeasibility and permitting projects, and some leftover for exploration,” he said. “I think it’s premature to borrow, but we have had interest from investors.”
Tyhee Development Corp. (TSXVenture, TDC) announced on December 1, 2009 a revised resource estimate for its Yellowknife Gold Project, representing a 39% increase in the Indicated Gold Resource at the Clan Lake Main Zone. Tyhee is pleased to report an Indicated Resource of 3 million tonnes grading 3.64 gpt gold containing 354,000 ounces of gold in the Clan Lake Main Zone. This brings the total Measured and Indicated Resource for the Yellowknife Gold Project to 1.95 million ounces of gold plus an Inferred Resource of 269,000 ounces of gold.
Aerial View of Discovery Mine Property on West Side of Giauque Lake, View to the East.
Tyhee Development is currently trading at a “paltry” $28 million dollars for 2.2 million ounces of gold. That kind of return will turn anyone’s head. “With the exploration success we’ve had, it looks as though we may be able to produce over 200,000 ounces of gold annually,” Webb explained. “Because of that, there have been inquiries. So we are looking at possible partnerships, alternative means of financing, and some other interesting things.”
Additionally, an experienced and talented Board of Directors helps to keep Tyhee Development on the right path. “We are a company that has expanded on our exploration group,” said Webb. “As a result, we have added a few key players to our Board of Directors to help steer us in the right direction. We have recently added people from the producing side, the finance side, the engineering side, and the discovery side.”
A few of those “key players” include, Dave Nickerson. Nickerson is a professional engineer and geologist with plenty of experience mining in the Northwest Territories. He is also a former Chairman of the NWT Water Board, a former MLA, NWT, a former Minister of Health and Social Services, and a former Member of Parliament. Then there’s Bill Burton, who is the former General Manager of Echo Bay’s Lupin Mine. He has also held numerous senior executive positions with Echo Bay Mines, Ltd., and is currently Vice President of Operations for Western Canadian Coal Group. The most recent management additions included Lorne Anderson, a Chartered Accountant and former Chief Financial Officer and Treasurer for Glamis Gold, Doug Levesque, former Mine Manager of the Seabee Mine, and Hugh Wilson, former manager of all environmental issues for Miramar Mining and previously Echo Bay Mines.
With a sound Board of Directors in place, sufficient financing, and optimistic exploration projects, Tyhee Development Corp. is a mining company worth keeping an eye on. The future looks bright on all fronts, especially in Yellowknife.
For more information:
Tyhee Development Corp
401, 675 West Hastings St.,
TDC - TSX.V