Cranbrook-based Eagle Plains Resources Ltd. completed acquisition Aug. 18 of the Yellowjacket gold project near Atlin. B.C. and hopes to start a 2,000 metre drilling program in September.

Eagle Plains purchased the property for an undisclosed price from Prize Mining Corporation, its joint-venture partner in the project.

The Yellowjacket Joint Venture (YJV) has now been dissolved and Eagle Plains is now the sole owner and operator of the project, according to a company press release.

Armed with a technical report by geologists Barry Price and Linda Dandy that says the “Yellowjacket Gold Zone represents a legitimate development target,” Eagle Plains is now looking for potential partners to provide technical expertise and financing, says Eagle Plains Exploration Vice President Chuck Downie.

“Going forward we need to focus on better definition of the Yellowjacket ore zone in terms of near surface grade and tonnage through detailed chip sampling and shallow drilling. Expansion of the east pit indicates that the mineralized zone extends into areas that have not been tested by any diamond drilling and a better understanding of the distribution of the nugget gold should result in more efficient grade control,” he says in the release.

The Yellowjacket project is located nine km east of the small community of Atlin, B.C. in north-west B.C. near the Yukon border. Placer mining activity has gone on for more than 100 years in the Atlin area and the Yellowjacket site is accessed by an all-seasons road with hydro-electric power located within five km of the boundary property.

The project received a B.C. Mines Act permit in July 2009 for an open pit gold mine and onsite concentrator capable of processing up to 75,000 tons of ore a year. The permit contemplates a mine life of seven to nine years from a series of open pits within an area already disturbed by placer workings.

Gold is recovered using a gravity concentrating recovery plant without the use of chemicals or additives. In October 2009, Eagle Plains and its former partner Prize announced a formal ratification of an Impact and Benefits Agreement with the Taku River First Nation.

Eagle Plains is a junior exploration company with a long history in Western Canada and the Cranbrook area. The company explores, researches and acquires properties throughout Western Canada and holds mining royalties on various projects.

The company currently controls over 35 gold, base-metal and uranium projects with third-party partners.