Canyon Gold & Gravel is a Canadian resource-based enterprise. The Company is headquartered in West Vancouver, British Columbia, Canada. Its lead project is located about 120 km due east of Vancouver in the New Westminster Mining Division of British Columbia with access directly off Trans Canada HWY 1. The project covers approximately 168.16 hectares of placer gold leases and 160 with 1,000 meters of Fraser Riverfront, centered on Union Bar, a level gravel bar on the west acres of private land bank of the Fraser River approximately 2 km upstream from the town of Hope, B.C. The land, referred to as “Lot 57” is privately held by Canyon Gold and Gravel Inc., and it includes the placer rights and the under-surface gravel rights to mine the Union Bar property.
The Company’s primary objective is to develop the property as a rock/gravel source to the gravel and concrete industry in and around Vancouver BC’s Fraser Valley. The Company believes, and this overview will attempt to uphold, that the industry includes sufficient demand to support the project. Further, the property is relatively unique on multiple fronts. Beyond the notion that many developing portions of North America are experiencing shortages of construction-based materials like sand and gravel, the property is essentially an old gravel bar, as such the rock source is already relatively fine. That is, over 70% of the source is less than 1.5 inches diameter rock, which means that unlike many quarry operations, it does not require significant amounts of crushing or other processes to make it amenable to concrete and construction requirements. Secondly, because the rock source was laid down blanket by blanket over 5,000 years, it contains mineable amounts of alluvial gold throughout the property as shown in lab tested results, which the Company believes they will be able to economically capture up to one third of their income at today’s gold prices. As a result of these two advantages, the Company’s financial model reflects a favorable cost profile (due to the naturally occurring size of the contained aggregate, which requires less processing) as well as gold credits that again should be markedly additive to their profitability. The Company is in the process of preparing a 43-101 reserve profile of the gold potential in the source. In addition, the Company believes they can collect tolling fees from surrounding projects for the acceptance of noncontaminated waste (dirt, rock, etc.) that will essentially replace the aggregate material they remove from the property.