Namibia to receive additional $1.1M for Lofdal drilling
Namibia Critical Metals Inc. has noted that Japan Oil, Gas and Metals National Corp. (JOGMEC) will provide an additional $1.1-million to expand and accelerate the current drilling program for the Lofdal heavy rare earths project in northern Namibia. This additional commitment will increase the term 1 joint venture expenditure from $3-million to $4.1-million by March 31, 2021. This increase in financing allows for an additional 6,000 metres of diamond drilling to develop resources at Lofdal as described herein. A second rig has been deployed to site in order to maintain term 1 program scheduling.
Read MoreDon Burton, president of Namibia Critical Metals, stated: “Lofdal is a very exciting project and is unique as one of only two primary xenotime deposits under development in the world, the other deposit being Browns Range in Australia. As demonstrated in our preliminary economic assessment [1], Lofdal has the potential for significant production of dysprosium and terbium, the two most valuable heavy rare earths used in high-powered magnets. JOGMEC is supporting the security of light rare earth supplies for Japan by applying its financial scheme to Lynas Corp. We are very pleased to see this additional injection of funds by our joint venture partner, which will enable us to further demonstrate the value in Lofdal as a long-term, sustainable supply of heavy rare earths for Japan.”
Term 1 drilling program expanded
The initial term 1 budget provided for a total of 7,200 m of resource drilling in Area 4 and 1,500 m of exploration drilling at the Northern Splay and Dolomite Hill to be completed by year-end with the primary objective of doubling the resource size in Area 4. Following recommendations to the joint venture management committee, the drilling budget has been increased to enable resource evaluations in two additional areas — Area 2B and Area 5, and to supplement drilling in Area 4 with an additional 1,000 m of drilling. This additional 6,000 m of drilling will provide for a total of 8,200 m in Area 4, 2,600 m in Area 2B and 2,400 m in Area 5. Both Area 2B and Area 5 have historic drilling and trenching that was carried out by the company during the period 2010 to 2012. A second drill rig has been deployed to the project to maintain schedule and drilling will now continue through to March, 2021.
Drilling in Area 4 is over 60 per cent completed and on schedule to deliver an updated 43-101 resource estimate in Q1 2021. The company will now target to include a maiden resource estimate for Area 2B in the same report. In order to meet this additional objective, both drill rigs are currently operating in Area 2B to complete that planned drilling before moving back to Area 4. Drilling in Area 5 will commence in Q1 2021 after which time results will be assessed for inclusion in a separate resource estimate.
JOGMEC joint venture agreement
As previously announced (company press release dated Jan. 27, 2020), the joint venture agreement with JOGMEC provides for the two companies to jointly explore, develop, exploit, refine and/or distribute mineral products from Lofdal. JOGMEC has the right to earn an interest in stages following an initial non-refundable exploration commitment of $3-million (term 1). Subsequent financial commitments may be exercised at the sole discretion of JOGMEC upon completion of each phase with term 2 requiring a $7-million contribution to earn a 40-per-cent interest in Lofdal, term 3 requiring a $10-million contribution for an additional 10-per-cent interest in Lofdal after which JOGMEC may elect to acquire an additional 1-per-cent interest for $5-million. The agreement contemplates completion of a feasibility study for Lofdal at the end of term 3 and makes provision for JOGMEC to elect to exclusively finance development of Lofdal provided that the company’s interest will not be diluted below 26 per cent. The additional expenditure of $1.1-million during term 1 can be credited toward the term 2 expenditure commitment of $7-million. Please refer to the company press release of Jan. 27, 2020, for further details.
About Namibia Critical Metals Inc.
Namibia Critical Metals holds a diversified portfolio of exploration and advanced-stage projects in the country of Namibia focused on the development of sustainable and ethical sources of metals for the battery, electric vehicle and associated industries. The two advanced-stage projects in the portfolio are Lofdal and Epemebe (described herein). The company also has significant land positions in areas favourable for gold mineralization.
Gold: At the Erongo gold project, stratigraphic equivalents to the sediments hosting the recent Osino gold discovery at Twin Hills have been identified but not yet sampled. Soil surveys are progressing over this highly prospective area.
Tantalum-niobium: In addition to Lofdal, the Epembe tantalum-niobium project is also at an advanced stage with a well-defined, 10 km long carbonatite dike that has been delineated by detailed mapping with over 11,000 m of drilling. Preliminary mineralogical and metallurgical studies, including sorting tests (XRT), indicate the potential for significant physical upgrading. Further work will be undertaken to advance the project to a preliminary economic assessment stage.
Copper-cobalt: The Kunene copper-cobalt project comprises a very large area of favourable stratigraphy (the DOF) along strike to the west of the Opuwo cobalt-copper-zinc deposit. Secondary copper mineralization over a wide area points to preliminary evidence of a regional-scale hydrothermal system. Exploration targets on EPLs held in the Kunene project comprise direct extensions of the DOF-style mineralization to the west, sediment-hosted cobalt and copper, orogenic copper, and stratabound manganese and zinc-lead mineralization.
Earlier-stage projects include the Grootfontein base metal and gold project, which has potential for magmatic copper-nickel mineralization, Mississippi Valley-type zinc-lead-vanadium mineralization and Otjikoto-style gold mineralization. Detailed interpretation of geophysical data and regional geochemical soil sampling surveys are under way.
Mr. Burton, PGeo and president of Namibia Critical Metals, is the company’s qualified person, and has reviewed and approved this press release.
[1] Preliminary economic assessment on the Lofdal rare earths project, Namibia, dated Oct. 1, 2014, written by David S. Dodd, BSc (honours) FSAIMM — The MDM Group, South Africa, Patrick J. F. Hannon, MASc, PEng, and William Douglas Roy, MASc, PEng — MineTech International Ltd., Canada, Peter Roy Siegfried, MAusIMM (CP geology), and Michael R. Hall, BSc (honours), MBA, MAusIMM, PrSciNat, MGSSA — The MSA Group, South Africa. The PEA should not be considered to be a prefeasibility or feasibility study, as the economics and technical viability of the project have not been demonstrated at this time. The PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. Furthermore, there is no certainty that the PEA will be realized.
Anaconda releases Point Rousse NI 43-101 reserves
Anaconda Mining Inc. has filed a technical report prepared in accordance with National Instrument 43-101 (NI 43-101) reporting on updated mineral resource and mineral reserves estimates (MRMR) for its 100-per-cent-owned Point Rousse gold project in Newfoundland and Labrador, Canada. The technical report follows the previous announcement on August 4, 2020 outlining the updated MRMR for the Argyle Deposit (“Argyle”) at Point Rousse (All dollar amounts are in CDN $ unless otherwise stated).
Read MoreHighlights of the Mineral Resource and Mineral Reserves at Point Rousse Include:
- Point Rousse Probable Mineral Reserve includes material from Argyle, the Pine Cove Mine and the Pine Cove Run of Mine (“ROM”) stockpile and includes 706,443 tonnes at an average diluted grade of 1.90 grams per tonne (“g/t”) gold containing 43,183 ounces, based on a gold price of $1,900 (US$1,425);
- Point Rousse combined Indicated Mineral Resource of 1,470,000 tonnes at an average grade of 2.34 g/t gold containing 110,800 ounces, and a combined Inferred Mineral Resource of 515,000 tonnes at an average grade of 3.33 g/t gold containing 55,100 ounces;
- Mineral Reserves from the Pine Cove Mine Pit and ROM stockpile include 170,851 tonnes at an average diluted grade of 1.40 g/t gold, which will provide mill throughput into late Q4 2020;
- Mineral Reserves from the Argyle Deposit include 535,592 tonnes at an average diluted grade of 2.06 g/t gold containing 35,477 ounces; and
- At Argyle a pre-tax net present value at a 5% discount rate (“NPV 5%”) of $13.1M and an Internal Rate of Return (“IRR”) of 262%, and an after-tax NPV 5% of $11.4M with an IRR of 245%, all based on a $1,900 (US$1,425) gold price.
“The Point Rousse Technical Report demonstrates strong economics of continued mining at Anaconda’s Point Rousse Operation. While we continue to profitably process ore from the final benches of the Pine Cove Mine, we have commenced the development of the Argyle Gold Mine, which at a conservative gold price of C$1,900 will generate after-tax cumulative free cash flow of over $12.6 million. At current Canadian gold prices, Argyle could generate an after-tax net present value of over $20 million over the next 22 months. Meanwhile we are conducting a 4,000 metre drill program to extend mineralization at Stog’er Tight where we recently announced a drill discovery of broad, high-grade mineralization, that has not yet been incorporated into the mineral resource for Stog’er Tight outlined in the technical report. Leveraging our established infrastructure and strong operating team, we continue to demonstrate our ability to fast track successful exploration to production in the Baie Vert peninsula,” said Kevin Bullock, President and CEO, Anaconda Mining Inc.
Point Rousse Mineral Reserve Estimate
The total Probable Mineral Reserves for the Point Rousse Project are as follows:
Table 1. Probable Mineral Reserves - Point Rousse Project (see notes for Effective Dates) Deposit Reserve Cut-off Tonnes (t) Average Grade Contained Ounces of Gold Category Grade (g/t) of Gold (g/t) Argyle Probable 0.56 535,592 2.06 35,477 Pine Cove - Mine+ROM Probable 0.50 170,851 1.40 7,706 Pine Cove - Marginal StockpileProbable 0.50 252,560 0.55 4,466 Total Combined Probable 959,003 47,649
Point Rousse Mineral Reserve Notes
Mineral Reserves were prepared in accordance with NI 43-101, the CIM Definition Standards for MRMR (2014) and 2019 CIM MRMR Best Practice Guidelines.
Mineral Resources are inclusive of Mineral Reserves.
Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
The Argyle Mineral Reserve is based on the Mineral Resource Estimate prepared by Mercator Geological Services Limited with an effective date August 4, 2020.
The Argyle Mineral Reserve Estimate has an effective date of August 4, 2020.
The Argyle Mineral Reserve Estimate is reported from Indicated Resource blocks at a 0.56 g/t cut-off within the optimized pit shell design developed by Dassault Systemes Canada Inc.; base-case optimization parameters include: mining at $4.00 per tonne, combined processing and G&A at $29.00 per tonne, average pit slope angles of 48 degrees (north) and 35 degrees (south), daily mill throughput of 1,200 tonnes per day, and average process recovery of 87%, and a gold price of CAD$1,900/oz (US$1,425/oz).
The Pine Cove Mineral Reserve Estimate is based on the Mineral Resource Estimate prepared by Adiuvare Geology and Engineering Ltd. with effective date August 8, 2020 and internal reconciliation of stockpiled marginal and ROM with an Effective Date of August 31, 2020.
The Pine Cove Mineral Reserve has an effective date of August 31, 2020.
The Pine Cove Mineral Reserve Estimate is reported from Indicated Resource blocks at a 0.50 g/t cut-off as determined by ongoing mining at the Pine Cove Mine including mining costs of $3.50 per tonne mined, combined processing and G&A costs of $28.60 per tonne milled, daily mill throughput of 1,200 tonnes per day, an average process recovery of 87%, and a gold price of CAD$1,900/oz (US$1,425/oz).
Argyle Mineral Reserves Economics
As previously reported, total gold ounces scheduled for mining at Argyle over the 22-month life of mine is expected to be 35,477 ounces at an average grade of 2.06 g/t gold from 535,592 tonnes of ore mined (see Table 2). It is expected that Argyle ore will be mined using conventional open pit mining methods with waste rock being stored locally at site and ore being transported by truck to the Pine Cove Mill. It is expected that Argyle ore will be batch-processed at approximately 1,200 tonnes per day with additional material from Pine Cove stockpiles supplementing the mill capacity of 1,300 tonnes per day. This will be accomplished with stockpile management techniques and circuit inventory methods in the mill to account for different mill feeds.
Anaconda has received material permits to initiate development at Argyle, including a release from the Environmental Assessment and receipt of a Certificate of Approval (Department of Municipal Affairs and Environment), and the acceptance of the Development, Rehabilitation and Closure plan (Department of Natural Resources). Initial development activities have commenced, including cutting, land clearing and access construction, with mining of ore expected to commence in Q4 2020.
Argyle has robust economics with a pre-tax discounted NPV 5% of $13.05M with an IRR of 262%, and an after-tax NPV 5% of $11.4M with an IRR of 245%. Total initial capital requirements of $2.98M are required, mainly for pre-stripping of waste and site preparation.
Table 2: Key Assumptions and Costs Used in the Argyle Mineral Reserve (all prices shown are in Canadian Dollars) Production Profile Gold Price - Base Case CAD$1,900/ounce Total Tonnes Milled 535,592 tonnes Diluted Head Grade 2.06 g/t gold Total Gold Ounces Mined 35,477 ounces Reserve Cut-Off Grade 0.56 g/t gold Mine Life (LOM) 22 months Total Waste Tonnes 4,346,119 tonnes Strip Ratio 8.1:1 Daily Mill Throughput 1,200 tonnes per day Gold Recovery 87% Total Gold Production 30,865 ounces Capital Requirements Pre-production Capital Cost $2.98M LOM Sustaining Capital Cost $2.69M Unit Operating Costs Mining Costs $42.32/tonne milled Processing Costs $23.26/tonne milled G&A $4.90/tonne milled LOM Operating Cash Costs(1) CAD$1,219 per ounce sold (US$914) LOM All-in Sustaining Cash Costs(1)CAD$1,306 per ounce sold (US$980) Project Economics Royalties(2) 3% net smelter return Income Tax/Mining Tax Rates 30%/15% Pre-Tax NPV (5% Discount Rate) $13.05M Internal Rate of Return 262% Payback Period (months) 12 Cumulative Cash Flows $14.34M After-Tax NPV (5% Discount Rate) $11.44M Internal Rate of Return 245% Payback Period (months) 12 Cumulative Cash Flows $12.57M
(1) Cash cost includes mining cost, mine-level G&A, mill and refining cost. This is a non-GAAP performance measure. please see “NON-IFRS Measures” below.
(2) A portion of the project is also subject to a 7.5% net profits interest (“NPI”) with Royal Gold Inc. Depending on the price of gold in the future, operating and capital costs, the production profile of Argyle, the NPI could become payable at a future date.
Argyle Gold Price Sensitivity
An analysis of the Argyle economics was completed at a variety of gold selling prices, and on the base case CAD$1,900 optimized pit and Probable Mineral Reserves as outlined in Table 3. The analysis demonstrates robust economics for Argyle at CAD$1,900, with strong leverage to rising gold prices which have exceeded CAD$2,600 per ounce at times. At a gold price of CAD$2,600 per ounce (US$1,950) which is in line with recent market pricing, Argyle could produce a pre-tax NPV 5% of $32.7M and an IRR of 1,336% and an after-tax NPV 5% of $24.5M and an IRR of 1,273%.
Table 3: Gold Selling Price Sensitivity Analysis Gold Price $1,500$1,700Base Case $1,900$2,100$2,300$2,600 Pre-tax NPV 5% $1.8M $7.4M $13.1M $18.7M$24.3M$32.7M Pre-tax IRR 28% 124% 262% 459% 1,732%1,336% After-tax NPV 5%$1.2 $6.5M $11.4M $15.9M$19.3M$24.5M After-tax IRR 21% 114% 245% 443% 687% 1,273%
Point Rousse Mineral Resources
The total Mineral Resources, inclusive of Mineral Reserves, for the Point Rousse Project are as follows:
Table 4. Total Mineral Resource Estimate - Point Rousse Project (See Notes for Effective Dates) Point Rousse Mineral Resources Open Pit (OP) Constrained Deposit Cut-off (g/t)Indicated Tonnes (t)Gold (g/t)Ounces Argyle 0.5 488,000 3.14 49,300 Pine Cove 0.5 722,000 1.64 38,100 Stog'er Tight 0.5 102,000 2.39 7,800 Combined Indicated0.5 1,311,000 2.26 95,100 Deposit Cut-off (g/t)Inferred Tonnes (t) Gold (g/t)Ounces Argyle 0.5 9,000 3.80 1,100 Pine Cove 0.5 13,000 1.56 700 Stog'er Tight 0.5 134,000 3.06 13,200 Combined Inferred 0.5 156,000 2.98 14,900 Point Rousse Mineral Resources Out of Pit (OoP) Deposit Cut-off (g/t)Indicated Tonnes (t)Gold (g/t)Ounces Argyle 2.0 62,000 2.86 5,700 Pine Cove 2.0 83,000 3.01 8,000 Stog'er Tight 2.0 14,000 4.27 1,900 Combined Indicated2.0 159,000 3.06 15,700 Deposit Cut-off (g/t)Inferred Tonnes (t) Gold (g/t)Ounces Argyle 2.0 56,000 3.89 7,000 Pine Cove 2.0 93,000 2.93 8,800 Stog'er Tight 2.0 210,000 3.62 24,400 Combined Inferred 2.0 359,000 3.48 40,200 Combined Point Rousse Mineral Resources Category Cut-off (g/t)Tonnes (t) Gold (g/t)Ounces Indicated 0.5/2.0 1,470,000 2.34 110,800 Inferred 0.5/2.0 515,000 3.33 55,100
Mineral Resource Estimate Notes
Mineral Resources were prepared in accordance with NI 43-101, the CIM Definition Standards for MRMR (2014) and 2019 CIM MRMR Best Practice Guidelines.
Mineral Resources are inclusive of Mineral Reserves. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
Open Pit Mineral Resources occur within an optimized pit shell developed by Dassault Systemes Canada Inc.; base-case optimization parameters include: mining at $4.00 per tonne, combined processing and G&A at $29.00 per tonne, and a gold price of CAD$1,900/oz (US$1,425/oz).
“Open Pit” Mineral Resources are reported at a cut-off grade of 0.50 g/t gold within the optimized pit shell and are considered to have reasonable prospects for eventual economic extraction by open pit mining methods.
“Out of Pit” Mineral Resources are external to the optimized pit shell and are reported at a cut-off grade of 2.00 g/t gold. They are considered to have reasonable prospects for eventual economic extraction using conventional underground mining methods based on a mining cost of $91 per tonne, processing and G&A cost of $29.00 per tonne, and a gold price of CAD$1,900/oz.
“Combined” Mineral Resources are the tonnage-weighted average summation of Open Pit and Out of Pit Mineral Resources.
Mineral Resources were interpolated using Ordinary Kriging methods applied to 1 metre downhole assay composites capped at 15 and 30 g/t gold (Pine Cove and Stoger Tight) and 20 g/t gold (Argyle).
An average bulk density value of 2.77 g/cm3 was applied to all Mineral Resources.
Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues.
Mineral Resource tonnages and troy ounces have been rounded to the nearest 1,000 and 100, respectively; totals may vary due to rounding.
The following Mineral Resource Estimate Effective Dates apply: Argyle – August 4, 2020, Pine Cove – August 8, 2020, and Stoger Tight – April 22, 2020.
Technical Report Filings and Qualified Person Statements
The technical report is available under the Company’s profile on SEDAR and on the Company’s website. For readers to fully understand the information in this news release, they should read the technical report in its entirety, including all qualifications, assumptions and exclusions that relate to the Mineral Resources and Mineral Reserves. The technical report is intended to be read as a whole, and sections should not be read or relied upon out of context.
The technical report, entitled ” NI 43-101 Technical Report, Mineral Resource and Mineral Reserve Update on the Point Rousse Project, Baie Verte, Newfoundland and Labrador, Canada ” with a report date of September 18, 2020, was authored by Independent Qualified Persons Cath Pitman (P. Geo.) of Adiuvare Geology and Engineering Ltd., Michael Cullen (P. Geo) and Matthew Harrington (P. Geo) both of Mercator Geological Services Limited., , and Qualified Persons Kevin Bullock (P. Eng), Jordan Cramm (P.Eng.), Chris Budgell (P.Eng.), Paul McNeill (P.Geo.) and David Copeland (P. Geo) of Anaconda Mining.
This news release has been prepared and approved by Kevin Bullock, P.Eng., President and CEO and Paul McNeill, P. Geo., VP Exploration with Anaconda Mining Inc., and Michael Cullen, P.Geo., and Matthew Harrington, P.Geo. of Mercator Geological Services Limited., and Cath Pitman of Adiuvare Geology and Engineering Ltd., all qualified persons as defined under NI 43-101.
Mr. Harrington, P.Geo. is responsible for disclosure regarding the Argyle Mineral Resource Estimate. Ms. Cath Pitman, P. Geo is responsible for disclosure regarding the Pine Cove and Stog’er Tight Mineral Resource Estimate. Mr. Bullock, P.Eng. is responsible for disclosure regarding the Point Rousse Mineral Reserve Statement and related Project Economics. Mr. McNeill is responsible for all other scientific and technical information disclosed in this news release.
Amarillo Gold 118,967,000-share private placement
The TSX Venture Exchange has accepted for filing documentation with respect to a brokered private placement announced July 22, 2020.
Read MoreNumber of shares: 118,967,000 shares
Purchase price: 30 cents per share
Number of placees: two placees
Insider: 2176423 Ontario Ltd. (Eric Sprott), 43.3 million
Broker’s fee: Mackie Research Capital Corp. has received an aggregate cash commission of $746,601.01.
For more information, please refer to the company’s news releases dated July 22, 2020, and Aug. 13, 2020.
Amarillo Gold prospectus offering
Effective Aug. 6, 2020, the company’s final short form prospectus dated Aug. 5, 2020, qualifying the distribution of 71,699,000 common shares of the company, was filed with and receipted by the Ontario Securities Commission and filed with and accepted by the TSX Venture Exchange. Under Multilateral Instrument 11-102, Passport System, the prospectus is deemed to have been filed with and receipted by the securities regulators for each of the British Columbia, Alberta, Saskatchewan, Manitoba, New Brunswick, Nova Scotia, Prince Edward Island, and Newfoundland and Labrador securities commissions.
Read MoreThe exchange has been advised that the closing of the offering occurred on Aug. 13, 2020, for gross proceeds of $21,509,700.
Offering: 71,699,000 common shares
Share price: 30 cents per share
Underwriters: Mackie Research Capital Corp. and Sprott Capital Partners LP
Underwriters’ commissions: cash commissions totalling $964,095
For further details, please refer to the company’s short form prospectus dated Aug. 5, 2020, and news releases dated July 22, 2020, and Aug. 13, 2020.
Southern Silver agreement for Cerro Las Minitas
The TSX Venture Exchange has accepted for filing a 60-per-cent interest purchase agreement with Electrum Global Holdings LP and Southern Silver Holdings Ltd. (Southern BVI) and Minera Plata del Sur S.A. de C.V. dated June 19, 2020, and amended by an amendment agreement dated July 20, 2020, whereby the company will purchase the remaining 60-per-cent interest in Southern BVI, thus indirectly holding a 100-per-cent interest in the Cerro Las Minitas property in Durango state, Mexico.
Read MoreIn consideration, the company will pay $15-million (U.S.) in combination of cash and common shares of the company up to a maximum number of 34.05 million shares. The company may elect to pay cash in lieu of some or all of such shares.
Highgold starts 3,500 m drill program in Ontario
Highgold Mining Inc. has started a 3,500-metre drill program at its Munro-Croesus and Golden Mile properties located in the Timmins gold camp, Ontario, Canada. The Program follows-up and expands upon the Company’s drill program that was suspended mid-March in response to COVID-19.
Read MoreAt Munro-Croesus, the Company recently completed a prospecting and mapping program followed by mechanical stripping, power washing and channel sampling of gold-bearing quartz vein systems. Several of these vein prospects, which are developed in areas outside the historic Croesus mine environment, will be drill tested for the first time during the current drill program. Highlights from the first batch of assayed channel samples include:11.24 grams per tonne gold (“g/t Au”) over 1.85 meters17.05 g/t Au over 0.8 meters8.42 g/t Au over 1.5 meters
HighGold has also continued to expand its Munro-Croesus land position with recent property purchases and claim staking, which taken collectively, increase the size of the property fivefold to 20 square km (1,968 ha). The acquisitions have consolidated a previously fragmented and underexplored package of highly prospective ground within the influence of the Pipestone Break, a regional fault system that is host to gold deposits throughout the Timmins gold camp.
Copper Fox applies for okay for Mineral Mtn EA
Copper Fox Metals Inc. and its wholly owned subsidiary, Desert Fox Copper Inc., have provided an update of recent studies and its exploration plans for its 100-per-cent-owned Mineral Mountain porphyry copper project located approximately 15 miles east of Florence, Ariz.
Read MoreHighlights:SWCA, Incorporated (“SWCA”) has been retained to complete an environmental assessment in advance of the proposed geophysical survey (see News Release dated July 13, 2020). A geochemical factor analysis has identified a clearly defined CuMoAuAgTe target measuring about 2,000 meters north-south by 500 meters east-west in Target #1.The vectoring analysis has identified an overlapping multi-phased hydrothermal event related to the Laramide intrusion. The vector study recommended a 1,500m long diamond drill hole to determine if the source of the surface CuMoAuAgTe target is within economically minable depths and whether it comprises potentially economic grades.
Elmer B. Stewart, President and CEO of Copper Fox, stated, “Copper Fox welcomes the opportunity to complete the requested environmental assessment prior to commencing the proposed geophysical survey at Mineral Mountain. This assessment is expected to provide significant information that would be beneficial in the planning of future drilling programs. The vector study has better constrained the interpreted center of the porphyry system and identified multiple overlapping hydrothermal events that supports the project’s geological model and suggests that a substantial porphyry copper system exists in the subsurface, situated directly beneath the CuMoAuAgTe anomaly.”
Environmental Assessment
Copper Fox was advised by the Bureau of Land Management (“BLM”) that it is required to complete an Environmental Assessment (“EA”) of the project prior to commencing the proposed ground geophysical survey (see news release July 13, 2020) The Plan of Operations are located within designated Critical Habitat for the Acuna cactus, presence of which triggers a National Environmental Policy Act analysis requirement. Copper Fox has retained SWCA, Incorporated (“SWCA”) of Phoenix, Arizona to complete the EA and to comply with the BLM and other Arizona state statutes and requirements. Commencement of the EA is subject to receipt of authorization from the BLM to complete the EA survey. The request for authorization has been submitted to the BLM and is pending. The EA will consist of three specific components:
Task 1: Cactus Survey
This portion of the EA consists of surveying a portion of the property for the Acuna cactus and other vegetation species within the project area.
Task 2: Cultural Resources
This portion of the EA process includes a cultural resources survey over a portion of the property administered by the BLM and consists of an archaeological survey of the project to locate and document previously recorded and new archaeological features or sites. If features or sites are located, the survey may also include consultation with any affected Native American Tribes.
Task 3: Preparation of Environmental Assessment
The results from Task 1 and 2, provides the information required for natural/biological, and cultural resources to be included in the EA. The EA will be published on the BLM’s website where it will have a 30-day public comment period. Based on any public comments and those of the BLM, the EA will be updated and revised to reflect those comments. The EA will then move through a process of Finding Of No Significant Impact (FONSI) and final draft Decision Record (DR) describing any selected alternatives or project mitigation, prior to final approval.
Rationale for Geochemical Factor Analysis Study:
The Geochemical Factor Analysis was completed by Dr. T. Marsh, P. Eng. Q-Mode factor analysis was conducted on 618 rock chip and trench samples, for which 48-element multi-acid digestions and gold fire assays have been completed. The conclusions and interpretation of the study results are:The study indicates shallow-level hydrothermal fluid leaks out of a geochemically well-zoned deeper porphyry copper system. These leaks are manifested in the steeply dipping, copper-bearing veins and aplite dikelets that support the conjecture that significant (i.e. >15degree) post-mineral rotation of the entire district has not occurred since the Laramide mineralizing event.The mineralization constitutes leaks from a buried system is supported by:the extreme contrasts between the geochemical factor scores in samples a few meters apart, can only be explained by hydrothermal fluids from an evolving fluid reservoir utilizing the same tightly constrained fluid pathways (veins, veinlets, fractures),the district scale extent of distinct but related geochemical factors is consistent with an evolved porphyry copper hydrothermal system.
Study Procedure:
The factor analysis approach groups elements that behave in a statistically similar manner into multi-element “factors”, which explains most of the geochemical variance in the dataset. Once the geochemical factors are identified, the entire database can be reconstituted in terms of these factors and it is common for the geographic distribution of factors to show a more robust relationship to geology than individual chemical elements. Factor analysis results were subjected to Oblimin rotation to yield the eighteen geochemical factors.
Elmer B. Stewart, MSc. P. Geol., President and CEO of Copper Fox, is the Company’s non-independent, nominated Qualified Person pursuant to National Instrument 43-101, Standards for Disclosure for Mineral Projects, and has reviewed and approves the scientific and technical information disclosed in this news release.
Excellon to begin trading on NYSE American soon
Excellon Resources Inc.’s common shares will commence trading on the NYSE American LLC in the coming days, subject to completion of certain duties of the company’s transfer agent. The Company will provide an update on the specific date that trading will commence when available.
Read MoreExcellon’s Common Shares will trade on the NYSE American under the ticker symbol “EXN”. The Company’s common shares on the OTCQX will continue to be traded until market close on the day prior to commencement of trading on the NYSE American, after which these shares will begin trading under the ticker symbol EXN on the NYSE American. Excellon’s Common Shares will continue to trade under the ticker symbol EXN on the Toronto Stock Exchange.
Garibaldi samples 249 g/t Au at Casper
Garibaldi Resources Corp. has provided information on developments including new assay results from the Casper high-grade gold quartz vein discovery 13 kilometres north of the company’s flagship E&L nickel-copper-cobalt massive sulphide project in northwestern British Columbia. In addition to E&L and Casper, Garibaldi owns a 100% interest in over 180 sq. kms of highly prospective mineral claims in the heart of the historic Eskay camp, one of the richest mineral districts in the Province.
Read MoreGaribaldi’s Casper gold vein is a strategic low elevation target (420 meters) within a km of road access and hydroelectric power. It is located 15 km west from Garibaldi’s 1,500 hectare “Eskay North” gold prospect which borders the historic past producing Eskay Creek mine now being redeveloped.
Discovering a high-grade gold prospect proximal to the E&L project, is a tactical bonus allowing field crews to maintain productivity by accelerating surface exploration at Casper during weather delays on top of Nickel Mountain.
For a summary of results from earlier backpack drilling, initial channel samples and grab samples, see Feb.28, 2020 news release announcing the discovery. Exploration progress at the Casper gold quartz vein system in 2020 are as follows:
Highlights:
Field crews have collected 165 samples within 250 meters north of and 250 meters south of the NW-SE striking Casper vein with grades reaching as high as 249 g/t gold, 13 returned grades exceeding 10 g/t, and 23 samples with greater than 1 g/t gold (Table 1);
Mechanical trenching at the Casper gold quartz vein has further uncovered the high-grade vein over more than 120 meters, from the initial 43 meters of hand trenching exposing the discovery;
The quartz vein remains open with mineralized rock samples extending along trend for 330 meters within a 500 meter gold-in-soil and MMI geochemical anomaly;
Four new mineralized veins have been discovered this season most notably one 44 metres downslope from the main vein which like the Casper vein also contains visible gold and returned 76.9 g/t Au;
The quartz vein sulphides include chalcopyrite, galena, pyrrhotite, pyrite and arsenopyrite with native gold. This discovery occurs along the robust and under-explored McLymont Creek structural corridor;
Garibaldi has completed 86 unbiased channel samples spaced 1 meter apart throughout exposed sections of the Casper vein {ᇏ –} assays pending. This latest round of channel sampling will aid in drill hole planning and additional trenching to be completed this year.
Jeremy Hanson, Garibaldi VP-Exploration, stated: “Even at this early stage, it’s remarkable to see such consistent elevated gold grades in a quartz vein extending more than 120 meters that remains open. The recent discovery of additional mineralized veins is extremely encouraging, especially with visible gold. Casper is certainly living up to the enthusiasm generated by its initial discovery”
The discovery of the high-grade Casper gold quartz vein close to our nearby base camp is already proving to be an advantage in deploying our field crews in the Eskay camp. Along with very promising results, this has contributed to accelerating the advancement of the Casper prospect to a planned drill stage sooner than expected.
2020 Casper Rock Grab Sample Highlights Sample EastingNorthingAu g/tAg g/tCu ppmPb ppmZn ppm E00051571 397437 6284614249.00 67 2854 5921 16 E00053949 397438 6284683 76.90 11 531 5 21 E00051576 397480 6284550 75.30 53 2786 6964 12 F00066204 397438 6284683 70.15 3 250 1 11 E00051572 397437 6284614 60.61 32 1600 2467 26 E00051577 397437 6284614 58.40 35 3832 4057 46 F00066207 397438 6284683 47.69 3 235 2 30 F00066206 397438 6284683 31.82 6 238 1 23 E00051593 397378 6284674 27.70 30 4667 1383 117 E00051579 397459 6284686 21.90 4 11 7 8 E00051581 397442 6284675 13.37 3 148 1 10 F00066072 397407 6284654 12.80 45 10624 2865 207 F00066209 397399 6284709 5.80 2 125 7 23 E00051582 397442 6284675 5.21 2 143 1 21 E00053945 397459 6284686 5.00 3 743 5 22 E00053939 397561 6284652 4.20 4 235 30 15 E00051580 397459 6284686 3.40 2 189 5 22 E00051934 397485 6284538 3.22 22 4688 15 182 F00069957 397345 6284663 2.60 9 4148 117 129 F00069956 397345 6284663 1.60 7 3782 26 100 E00053944 397459 6284686 1.50 1 76 5 18 E00053942 397340 6284767 1.20 1 12 4 36 E00051575 397432 6284601 1.09 14 2858 105 110
Grab samples are selected samples and are not necessarily representative of the mineralization hosted on the property.
Casper Map
See http://www.garibaldiresources.com for the latest Casper map displaying high grade gold samples, mineralized quartz veins and geochemical anomalies
Quality Assurance/Quality Control (QA/QC)
All field sample batches included 5% QA/QC samples consisting of certified blanks, standards and field duplicates. Multiple certified ore assay laboratory standards and one blank standard were used in the process. Samples for Casper were submitted to SGS Canada Inc. In Burnaby, British Columbia, an ISO 9001: 2008 certified lab, for base metal, sulphur and precious metal analysis using Inductivity Coupled Plasma (ICP), and Fire Assay (FA) methods.
Samples were prepared by crushing the entire sample to 75% passing 2mm, riffle splitting 250g and pulverizing the split to better than 85% passing 105 microns. Gold was analyzed using a 50-gram fire assay and ICP-AES, or metallic screen for coarse gold. Samples with coarse visible gold are subject to the nugget effect, may be difficult to reproduce or duplicate and may not be indicative of the overall mineralization of the vein. Samples with visible gold were analyzed using the Metallic Screen method where a minimum 500 gram sample is crushed and separated into two batches. A Minus batch with particles less than 106 microns, and a Plus batch with particles greater than 106 microns. Both batches of the sample are analyzed with a fire assay and finished with AAS, ICP-OES or gravimetric depending on grade. A final weighted average is calculated from the two portions.
The performance on the blind standards, blanks and duplicates achieved high levels of accuracy and reproducibility and has been verified by Jeremy Hanson, a qualified person as defined by NI-43-101.
Qualified Person & Data Verification
Jeremy Hanson, P.Geo., VP Exploration Canada for the Company and a qualified person as defined by NI- 43-101, has supervised the preparation of and reviewed and approved of the disclosure of information in this news release. Mr. Hanson has verified the data, including drilling, sampling, test and recovery data, by supervising all of such procedures. There are no known factors that could materially affect the reliability of data collected and verified under his supervision. No quality assurance/quality control issues have been identified to date.
Omineca Begins Diamond Drilling at Wingdam
SASKATOON, SK, Sept. 22, 2020 /CNW/ – Omineca Mining and Metals Ltd. (TSXV: OMM) (“Omineca” or the “Company”), announces that it has commenced its maiden diamond drill program at the Wingdam gold exploration project in the Cariboo Mining District of south-central British Columbia.
Read MoreInitial drilling is focussed on an area within a one kilometer radius adjacent to and upstream of the single underground crosscut that yielded 173.4 ounces of placer gold. The drill program follows initial exploration consisting of airborne geophysics, rock sampling and soil geochemical analysis conducted by Stephen Kocsis and Axiom Exploration Group’s geological team.
Omineca’s lode gold exploration program targets several NW striking faults where they intersect NE trending faults identified in the magnetic survey completed in 2018. This structural control pattern is indicative of Riedel style strike-slip deformation known to produce sub-vertical ore shoots at the Osisko Gold Royalties’ Cariboo Gold Project located 25 kilometers to the east. The Wingdam and Cariboo Gold projects share similar lithology and structure; two of the main ingredients for mineralization in the gold producing Barkerville Terrane.
Qualified person
Stephen Kocsis, P.Geo, is a qualified person within the context of National Instrument 43-101 and has prepared, read, and approved the technical aspects of this news release.
About Omineca Mining and Metals Ltd.
Omineca Mining and Metals Ltd. controls its flagship Wingdam Project and the Fraser Canyon Project through its wholly owned subsidiary CVG Mining Ltd. The Wingdam Project is located 45 km east of Quesnel B.C. on the Barkerville highway. The property includes both placer and hard-rock tenures now totaling over 51,000 hectares (510 square kms) surrounding the Lightning Creek valley. Topographic conditions created a thick overburden which preserved a large portion of an underground channel from conventional surface placer mining activity. For 2020, Omineca has plans to re-start a bulk sampling program to recover placer gold trapped underground while also conducting a diamond drill program to explore for multiple potential hard rock sources of the placer gold.
Forward Looking Statements
This release includes forward-looking statements regarding Omineca and its business. Such statements are based on the current expectations and views of future events of Omineca’s management. In some cases, the forward-looking statements can be identified by words or phrases such as “may”, “will”, “expect”, “plan”, “anticipate”, “intend”, “potential”, “estimate”, “believe” or the negative of these terms, or other similar expressions intended to identify forward-looking statements. The forward-looking events and circumstances discussed in this release may not occur and could differ materially as a result of the failure to consummate the project financing, the economic feasibility of the Wingdam Project, known and unknown risk factors and uncertainties affecting Omineca, including risks regarding the resource industry, economic factors and the equity markets generally and many other factors beyond the control of Omineca. No forward-looking statement can be guaranteed. Forward-looking statements and information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statement or information. Accordingly, readers should not place undue reliance on any forward-looking statements or information. Forward-looking statements speak only as of the date on which they are made and Omineca undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by applicable securities laws.
Bonterra Intersects 5.6 g/t Au over 4 metres in the Western Extension of the Barry Deposit
Val-d’Or, Quebec–(Newsfile Corp. – September 22, 2020) – Bonterra Resources Inc. (TSXV: BTR) (OTCQX: BONXF) (FSE: 9BR2) (“Bonterra” or the “Company“) is pleased to announce the initial results of the ongoing drilling campaign on the Barry project. The results include several intersections, including 5.6 g/t Au over 4 metres (“m“) in hole MB-20-269, 4.3 g/t Au over 4.2 m and 8.9 g/t Au over 0.5 m in hole MB-20-271, and 6.0 g/t Au over 1.8 m in hole MB-20-275.
Read MoreThe 2020 drilling campaign began on January 6, 2020 and was suspended on March 17, 2020 due to the COVID-19 pandemic. This campaign resumed on July 23, 2020 with two drills currently in operation, one on a barge on Lac Limpide and the other on dry land near the Barry deposit.
From January 6 to March 17, 2020, 26 drill holes were drilled for a total of 10,662 m. Analyses were pending for several drill holes. Some of the results of those holes were announced in a press release dated April 1, 2020, but were incomplete.
Since July 23, 2020, the Company has drilled 20 additional holes representing a total of 6,400 m. Results from seven holes are complete, some results from eight drill holes are still pending, and drill core samples from five drill holes have yet to be analyzed.
This release presents the results from the drill holes not released prior or with pending results prior to the suspension of drilling related to the COVID-19 pandemic as well as the drill holes of the current campaign analyzed to date.
Pascal Hamelin, Interim CEO and VP, Operations commented: “I am very pleased to see these very encouraging results to the west of the Barry deposit this early in the drilling campaign. It bodes well for the rest of the campaign and ultimately for the potential to add mineral resources in the next resource update.”
The 20,000 m drilling campaign on the Barry project is designed to:
1) Develop the western and eastern extensions of the Barry deposit on land;
2) Perform infill drilling between intervals greater than 100 m around the deposit, as outlined by the 2019 resource estimate; and
3) Explore a magnetic anomaly under Lac Limpide west and north of the deposit.
The following table shows the significant intersections of the drill holes.
Hole ID | From (m) | To (m) | Length (m) | (Au g/t) | Zones | Purpose | |
MB-20-257 | 303.9 | 307.6 | 3.7 | 1.2 | Infill Resource | ||
310.8 | 311.3 | 0.5 | 2.1 | ||||
319.4 | 320.0 | 0.6 | 1.6 | ||||
364.0 | 379.8 | 15.8 | 3.4 | ||||
including | 364.8 | 373.6 | 8.8 | 5.3 | |||
416.2 | 421.0 | 4.8 | 2.1 | ||||
MB-20-260 | 199.5 | 202.9 | 3.4 | 1.1 | H1 | Western Extension | |
400.3 | 400.8 | 0.5 | 2.3 | ||||
MB-20-261 | 339.9 | 340.5 | 0.6 | 1.5 | Infill Resource | ||
MB-20-262 | 199.5 | 200.0 | 0.5 | 1.0 | Western Extension | ||
MB-20-263 | 21.4 | 22.3 | 0.9 | 1.0 | Extension under Lac Limpide | ||
214.2 | 217.3 | 3.1 | 3.3 | H2 | |||
216.0 | 217.3 | 1.3 | 7.4 | ||||
MB-20-265 | 203.9 | 205.0 | 1.1 | 1.9 | Western Extension | ||
344.7 | 347.5 | 2.8 | 1.1 | ||||
MB-20-266 | 51.0 | 52.0 | 1.0 | 2.1 | Infill Resource | ||
61.5 | 62.3 | 0.8 | 4.3 | 950 | |||
70.2 | 71.3 | 1.1 | 2.5 | ||||
78.2 | 82.0 | 3.8 | 1.2 | ||||
MB-20-267 | 155.3 | 158.1 | 2.8 | 1.2 | H1 | Extension under Lac Limpide | |
MB-20-268 | 26.2 | 26.9 | 0.7 | 1.3 | Infill Resource | ||
39.3 | 40.7 | 1.4 | 1.0 | 800 | |||
78.0 | 79.5 | 1.5 | 2.4 | ||||
146.6 | 148.7 | 2.1 | 1.7 | ||||
206.9 | 208.0 | 1.1 | 5.4 | 1000 | |||
MB-20-269 | 181.1 | 182.3 | 1.2 | 3.5 | Western Extension | ||
242.8 | 246.8 | 4.0 | 5.6 | H2 | |||
including | 244.3 | 245.7 | 1.4 | 14.0 | |||
382.0 | 386.3 | 4.3 | 2.3 | H15 | |||
MB-20-270 | No significant values | Extension under Lac Limpide | |||||
MB-20-271 | 161.7 | 165.9 | 4.2 | 4.3 | Western Extension | ||
198.2 | 199.0 | 0.8 | 2.8 | ||||
273.3 | 274.8 | 1.5 | 1.1 | ||||
367.7 | 368.2 | 0.5 | 8.9 | H15 | |||
MB-20-272 | 93.2 | 95.1 | 1.9 | 2.3 | H1 | Western Extension | |
114.8 | 115.3 | 0.5 | 1.1 | ||||
173.6 | 174.1 | 0.5 | 2.2 | ||||
MB-20-273 | 86.2 | 87.7 | 1.5 | 4.0 | H1 | Western Extension | |
92.4 | 94.4 | 2.0 | 3.3 | ||||
MB-20-274 | 59.5 | 61.7 | 2.2 | 1.9 | H1 | Extension under Lac Limpide | |
245.4 | 246.1 | 0.7 | 1.1 | H15 | |||
MB-20-275 | 75.1 | 76.1 | 1.0 | 1.6 | H1 | Western Extension | |
155.5 | 157.3 | 1.0 | 6.0 | H2 | |||
including | 156.5 | 157.3 | 0.8 | 12.8 | |||
314.3 | 315.5 | 1.2 | 2.2 | H15 | |||
MB-20-276 | Pending assays | ||||||
MB-20-277 | No significant values | Extension under Lac Limpide | |||||
MB-20-278 | 239.6 | 241.1 | 1.5 | 1.8 | Infill Resource | ||
294.7 | 295.2 | 0.5 | 1.0 | ||||
337.6 | 338.2 | 0.6 | 3.8 |
Notes:
1)The meterage represents the length of the drilled lengths.
2)True widths are estimated to be greater than 85% of the drill intersection length.
3)The mineralized intervals shown above use a 1.0 g/t Au cut-off grade with not more than 0.5 m of internal dilution.
Eight drill holes (MB-20-260; 262; 265; 269; 271 to 273 and 275) were drilled in the western part of the Barry deposit, in the area of hole MB-20-250 (7.35g/t Au over 8.35 m) to determine the extent of the zones of the deposit to the west of the deposit. The results of these drill holes indicate that the zones extend to the west at least an additional 500 m. These holes have made it possible to verify the continuity of zones H1, H2 and H15.
Five drill holes (MB-20-263; 267; 270; 274 and 277) were drilled on Lac Limpide from an ice drill pad (263; 267 and 270) and on a barge for drill holes 274 and 277. Hole MB-20-270 had to be abandoned following suspension of drilling due to the COVID-19 pandemic. However, holes
MB-20-267 and 274 have confirmed the continuity of the H1 zone.
Five holes (MB-20-257; 261; 266; 268 and 278) were drilled for infill purposes between the 2019 inferred resource. Two holes (266 and 268) are located northwest of the 2019 resource and the other three holes (257; 261 and 278) are located to the south of the resource.
Hole MB-20-266 has intercepted zone 950 with a value of 4.31 g/t Au over 0.8 m. Drill hole
MB-20-268 confirmed the continuity of zone 1000 with 5.41 g/t Au over 1.1 m.
The three holes south of the Barry deposit intercepted zones between the H1 and 800 zones in porphyry intrusions and often in basalt shear zones in contact with these intrusions. Significant drill intersections include MB-20-257 with 2.1 g/t Au over 4.8 m and MB-20-278 with 3.8 g/t Au over 0.6 m.
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Quality control and reporting protocols
The Barry project’s drill core gold analysis is performed at the Bachelor Mine Analysis Laboratory. The Company employs a rigorous QA-QC analysis program that meets industry standards. The analytical results were carried out by fire assay (A.A.) in the mine laboratory. Blanks, duplicates, and certified reference standards are inserted into the sample stream to monitor laboratory performance. The Company’s QA-QC analytical verification program requires that at least 10% of samples be audited in an independent laboratory. These verification tests were sent to the ALS laboratory located in Val-d’Or, Quebec. The results of the audits are consistent with those obtained.
Qualified persons
Sabrina Bernard, P.Geo., Chief Geologist of the Company oversees all exploration activities on the Barry Project. Ms. Bernard is a qualified person as defined by National Instrument 43-101 (“NI-43-101“). Marc Ducharme, P.Geo. and Bonterra’s Principal Geologist, approved the information contained in this press release. Mr. Ducharme is a Qualified Person as defined by NI 43-101.
Upcoming Events
Webinar – September 24, 2020 at 11:00 am EST hosted by Adelaide Capital. Registration link: https://us02web.zoom.us/webinar/register/WN_laVZ3mNXQE6Hy_9uKA9aDA
FOR ADDITIONAL INFORMATION:
Pascal Hamelin, Interim CEO and VP Operations
ir@btrgold.com
2872 Sullivan Road, Suite 2, Val d’Or, Quebec J9P 0B9
819-825-8678 | Website: www.btrgold.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary and Forward-Looking Statements
This press release contains “forward-looking information” that is based on Bonterra’s current expectations, estimates, forecasts and projections. This forward-looking information includes, among other things, statements with respect to Bonterra’s exploration and development plans. The words “will”, “anticipated”, “plans” or other similar words and phrases are intended to identify forward-looking information. This forward-looking information includes namely, information with respect to the planned exploration programs and the potential growth in mineral resources. Exploration results that include drill results on wide spacings may not be indicative of the occurrence of a mineral deposit and such results do not provide assurance that further work will establish sufficient grade, continuity, metallurgical characteristics and economic potential to be classed as a category of mineral resource. The potential quantities and grades of drilling targets are conceptual in nature and, there has been insufficient exploration to define a mineral resource, and it is uncertain if further exploration will result in the targets being delineated as mineral resources. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause Bonterra’s actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information. Such factors include but are not limited to: uncertainties related exploration and development; the ability to raise sufficient capital to fund exploration and development; changes in economic conditions or financial markets, environmental and other judicial, regulatory, political and competitive developments; technological or operational difficulties or inability to obtain permits encountered in connection with exploration activities; and labour relations matters. This list is not exhaustive of the factors that may affect our forward-looking information. These and other factors should be considered carefully and readers should not place undue reliance on such forward-looking information.
Eskay drills 11.24 m of 1.23 g/t Au, 210 g/t Ag at TV
Eskay Mining Corp. has encountered precious metal-bearing volcanogenic massive sulphide (VMS) mineralization in its first diamond drilling at the TV target on joint venture ground held with Kirkland Lake Gold Ltd. (80 per cent Eskay/20 per cent Kirkland Lake Gold).
Read MoreHighlights
- Hole TV20-35 encountered volcanogenic massive sulphide mineralization grading 210.0 grams per tonne silver and 1.23 g/t gold (4.11 g/t Au eq) over 11.24 metres beginning at a down hole depth of 193.94 m. Notable sub-intervals include 1.16 m grading 182.0 gpt Ag and 5.46 gpt Au (7.99 gpt Au eq) beginning at 195.78 m and 5.48 m grading 324.5 gpt Ag and 0.70 gpt Au (5.21 gpt Au eq) beginning at 199.70 m including 0.99 m grading 507.0 gpt Ag and 1.32 gpt Au (8.36 gpt Au eq) beginning at 201.20 m. (Au eq = Au + Ag/72). Bedding dips moderately eastward at TV and this hole drills westward at a near orthogonal direction to bedding. Therefore, true widths are believed to be close to drill widths in all reported intervals.
- Additional drill holes completed by Eskay Mining over the past few weeks have encountered further massive sulphide intercepts. Assays are awaited.
- Data from a recent Skytem electromagnetic survey conducted over the area, and overseen by Thomas Weis, geophysicist and director of Eskay Mining, suggest numerous near surface conductive targets are present within a two kilometer long N-S corridor centered on TV and the nearby Jeff target. A much more robust mineralizing system appears present in this area than previously perceived.
- Eskay Mining is highly encouraged by early indications from drilling that suggest the presence of a significant precious metal-bearing VMS system at TV and Jeff. A second drill has been mobilized to increase the planned 2020 drill program.
- Pathfinder elements including arsenic (163-3150 ppm), mercury (15-60 ppm), antimony (239-1115 ppm), thallium (10-144 ppm) and selenium (4-11 ppm) are all highly anomalous indicating this system is genetically similar to the Eskay Creek deposit approximately 13 km north of the TV target.
- This discovery confirms the presence of new Eskay Creek like massive sulphide deposits within the highly propsective Eskay graben, or geologic trough, that extends southward from the Eskay Creek deposit. Approximtely 85% of this belt occurs within Eskay Mining’s tenure.
- At the TV target, massive sulphide occurs associated with mudstone similar to that which hosts multiple mineralized horizons at Skeena Resources Eskay Creek project. At least two mineralized horizons have been identified at TV to date. Assays from the upper mineralized interval encountered in hole TV20-35 have not yet returned.
- No drilling has occurred in the vicinity of the TV and Jeff targets since the mid 1990's, approximately 25 years. Early interpretations of mineralization discovered in this area were not well formulated and lacked a clear sense of appreciation for the VMS nature of the system. Eskay Mining's team, led by Dr. John DeDecker and Dr. Thomas Monecke of the Colorado School of Mines, has extensive experience with VMS systems. Interpretations of data returning from recently completed drill holes and geophysics is providing critical insight into key vectors that are expected to help Eskay Mining hone in on higher grade mineralization within the system.
“We are very encouraged by our early drill holes at the TV target,” commented Dr. Quinton Hennigh, director and technical adviser to Eskay Mining. “Our team has done a fantastic job of taking scant historic data dating to nearly 25 years ago and combining that with recent field observations and 2020 Skytem data and developing drill targets that clearly indicate the presence of a significant VMS system in this area. Mineralization is clearly of the Eskay Creek ilk with significant precious metal values and highly elevated pathfinder elements common to Eskay Creek including arsenic, mercury, antimony, thallium and selenium. Now that we have confirmation of a large, stacked, mudstone-hosted system, we plan to aggressively drill this area to see if we can vector in on the high grade core of the system. Two rigs are now on site. We plan to hit this hard the remainder of the current field season, but also be prepared to return here in 2021 to follow up on what looks to be a discovery in the making.”
QA/QC, methodology statement
Halved HQ drill core samples are submitted to ALS Geochemistry in North Vancouver, British Columbia for preparation and analysis. ALS is accredited to the ISO/IEC 17025 standard for gold assays. All analytical methods include quality control standards inserted at set frequencies. The entire sample interval is crushed and homogenized, 250 g of the homogenized sample is pulped. All samples were analyzed for gold, silver, mercury, and a suite of 48 major and trace elements. Analysis for gold is by fire assay fusion followed by Inductively Coupled Plasma Atomic Emission Spectroscopy (ICP-AES) on 30 g of pulp. Analysis for silver is by fire assay and gravimetric analysis on 30 g of pulp. Mercury is analyzed using the trace Hg Inductively Coupled Plasma Mass Spectroscopy (ICP-MS) method. All other major and trace elements are analyzed by four-acid digestion followed by ICP-MS.
ASSAYS FROM HOLE TV20-35 Drill hole ID From (m) To (m) Core length (m) Au g/t Ag g/t Au Eq g/t TV20-35 193.94 205.18 11.24 1.23 210.0 4.11 Including 193.94 194.31 0.37 1.85 109.0 3.36 And 195.78 196.94 1.16 5.46 182.0 7.99 And 199.70 205.18 5.48 0.70 324.5 5.21 Including 201.2 202.19 0.99 1.32 507.0 8.36 Au equivalent (Au Eq) was calculated using the formula: Au (g/t) plus [Ag (g/t)/72] COORDINATES OF DRILL HOLE TV20-35 Drill Hole ID Location X Location Y Location Z Length Azimuth Dip TV20-35 409515 6265883 775 273 320 -56
Dr. Quinton Hennigh, PGeo, a director of the company and its technical adviser, and a qualified person as defined by National Instrument 43-101, has reviewed and approved the technical contents of this news release.