Eastmain Resources Inc TSX:ER announced assays from its Clearwater Project in northern Quebec. Results include
49.9 g/t gold and 0.67 g/t tellurium over 2 metres
(including 84.8 g/t gold and 1.08 g/t tellurium over 1 metre)
3.8 g/t gold and 4.8 g/t tellurium over 17 metres
(including 19.5 g/t gold and 23 g/t tellurium over 2.5 metres)
9.25 g/t gold and 10.7 g/t tellurium over 4.3 metres
(including 22.6 g/t gold and 25.9 g/t tellurium over 1.5 metres)
6.77 g/t gold and 0.57 g/t tellurium over 4 metres
(including 52.8 g/t gold and 0.01 g/t tellurium over 0.5 metres)
The project has an April 2011 resource estimate of 3.35 million tonnes grading 5.39 g/t for 582,000 ounces gold measured and indicated, and 5.32 million tonnes grading 5.96 g/t for 1.02 million ounces inferred.
Exploration Manager Catherine Butella tells ResourceClips.com, “We have good grades for both gold and tellurium. Tellurium has been a by-product of the copper-refining process but now with the new leach methods it’s no longer extracted that way. Right now tellurium is sold on base metals spot prices, but it’s perceived to have a lot more worth. There are certain experts who think it’s going to be priced like a precious metal. It’s used in passive solar power, as a coating on windows, the coating on the back of DVDs and CDs, it’s going to be used as the new phase change technology [used in rewritable DVDs and CDs]. It’s got a lot of uses, and there’s very little around. It’s one of the rarest metals out there.
I think it bodes well that we have a very good project with good resources and quality ounces close to surface—Catherine Butella
“The tellurium market is picking up. Right now the price is between $100 and $500 a kilogram, and in the last five years it’s gone there from $40. The last spot price I looked at was around the $400 mark. It’s certainly increasing in value, and I think as technology develops it’s going to become more and more valuable,” she says.
“We’re going to continue drilling and building this resource. We certainly think that the project has a lot of merit. We’ve made a lot of new discoveries this summer and plan on continuing to show that these can add resources to the project. What we’re seeing now is very near surface, so we think it’s amenable to open pit. It’s our plan to continue with the drilling and make this thing as big as we can.
“Going into production isn’t our priority at this point,” she adds. “I won’t say ‘never,’ but our game plan right now would be to sell it to a producing company. But that may change.
“We have excellent infrastructure. We’re five kilometres from power and about two kilometres from roads.
“Clearwater is our flagship. We are also working quite steadily on the Eastmain Mine Property, which has some historic resources. That would probably be the next project in line. Our Eleonore South Project is a joint venture we have with Goldcorp and Azimut, and we are the operator on that. We have a total of 12 projects in the James Bay district.
“We did a little bit of work on a property Radisson last year and the year before, and this year we have joint-ventured it to Honey Badger. We hope to be drilling our Reservoir Project this winter as well. We’re doing things a bit at a time on the others. Some of those properties are available for options. We certainly will continue to focus on our flagship.”
Despite tumbling share prices elsewhere, Eastmain’s stock has risen from $0.98 on September 29 to $1.25 today.
“We’ve had a lot of good news,” Butella says. “We’ve had continued good drilling results from Clearwater. We took a hammering prior to a lot of the other companies, so we’ve managed to hold our own since then. I think it bodes well that we have a very good project with good resources and quality ounces close to surface. We’ve got some good institutional support as well. Goldcorp is our largest shareholder.”
In conclusion she says, “We have certainly seen a lot of encouragement in the core that we’ve just sent to the lab. We have a lot of visible gold, and generally that means we will see some good assay results when they come back.”
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Donald J. Robinson
or Catherine Butella
by Greg Klein