Monday 23rd April 2018

Resource Clips


Posts tagged ‘british columbia’

Finnish diamond exploration reveals new kimberlite for Arctic Star

February 20th, 2018

by Greg Klein | February 20, 2018

As work continues on the northern Finland property, Arctic Star Exploration TSXV:ADD announced a new kimberlite discovery from its Timantti diamond project on February 20. Covered only by very thin glacial overburden, the find results from four one-metre-deep pits containing kimberlite. The company has christened the body Grey Wolf, distinguishing it from the property’s other Wolf kimberlites. A rig has already been mobilized to the discovery, while a 150-kilogram sample undergoes assays to test for diamonds and kimberlite indicator minerals, and to assess mineral chemistry.

Finnish diamond exploration reveals new kimberlite for Arctic Star

The news follows an announcement earlier this month that historic drill core confirmed the presence of a new Timantti kimberlite 230 metres west of the project’s diamondiferous Black Wolf kimberlite.

Part of an ambitious winter campaign that began in November, ongoing EM and gravity surveys have identified multiple targets for excavation or drilling. Optimism has been bolstered by “the expression of diamond-favourable indicator minerals in the region, which the Wolf kimberlites cannot explain,” the company stated.

In addition to the Finnish flagship, Arctic Star also holds diamond interests in Nunavut and the Northwest Territories’ Lac de Gras region. The company’s Cap property in British Columbia, meanwhile, hosts an exceptionally rare carbonatite-syenite complex that offers potential for several commodities. Results from sampling and one drill hole released in September showed “highly anomalous” niobium, rare earths and phosphate grades.

The company closed oversubscribed private placements totalling $1.69 million in November.

Read an interview with Arctic Star chairperson Patrick Power.

Richard Truman of Geoscience B.C. discusses how various stakeholders benefit from the organization’s research

February 20th, 2018

…Read more

Earn-in brings Far Resources into 92 Resources’ NWT lithium project

January 23rd, 2018

by Greg Klein | January 23, 2018

High-grade sampling and positive Phase I metallurgy have drawn tangible interest to a Northwest Territories hard rock lithium property. In a deal announced January 23, Far Resources CSE:FAT may earn up to 90% of 92 Resources’ (TSXV:NTY) Hidden Lake project 40 kilometres east of Yellowknife. The full 90% would cost Far $50,000, $1.45 million in shares and $2.3 million in spending. 92 would get the cash and $500,000 of the shares on closing, while Far would put $500,000 into the project during the first year to earn an initial 60%. Far would act as project operator.

Earn-in brings Far Resources into 92 Resources’ NWT lithium project

Grab and channel samples from outcropping
pegmatite reveal Hidden Lake’s high lithium grades.

92 stated it would “benefit from bringing in a financially and technically strong partner to further develop the project and, in the process, will become a substantial shareholder of Far Resources with the ability to share in the project’s success.”

With seven known pegmatites, the 1,849-hectare Hidden Lake property has shown grab sample grades up to 1.86% Li2O. Channel sample results include 1.58% Li2O over 8.78 metres, 2.57% Li2O over 0.75 metres and 233 ppm Ta2O5 over 1 metre.

Phase I metallurgy conducted for 92 used conventional methods to produce a high-grade concentrate of 6% to 6.5% Li2O, with recovery rates between 80% and 85%.

The earn-in leaves 92 free to pursue other projects and acquisitions. Its current portfolio includes the Golden frac sand project in eastern British Columbia, adjacent to Northern Silica’s Moberly silica operation, as well as three recently acquired lithium properties in Quebec. A brief site visit to one of them scored a 7.32% Li2O grab sample.

92 closed an oversubscribed private placement of $1.14 million earlier this month.

Read Isabel Belger’s interview with 92 Resources CEO Adrian Lamoureux.

Resource update precedes PEA for Golden Dawn Minerals’ newest B.C. gold-polymetallic project

January 23rd, 2018

by Greg Klein | January 23, 2018

Update: On February 6, 2018, Golden Dawn Minerals reported that Huakan International Mining, which optioned J&L to Golden Dawn, faced a lawsuit from Armex Mining, which claims it has a valid letter of intent with Huakan concerning J&L. Huakan intends to defend the Armex action, Golden Dawn added.

Calling it one of western Canada’s “largest undeveloped gold mineral resources,” Golden Dawn Minerals TSXV:GOM released a new estimate for J&L, a southern British Columbia project acquired just last month. The company now expects to finish a preliminary economic assessment within five to eight months for a project that will be developed separately from the Greenwood portfolio farther south, where Golden Dawn plans to revive three former mines and a nearby mill.

Totals for four zones at J&L showed:

  • measured and indicated: 5.16 million tonnes averaging 4.59 g/t gold and 55.6 g/t silver for 761,000 ounces gold and 9.23 million ounces silver

  • inferred: 4.8 million tonnes averaging 4.35 g/t gold and 60.6 g/t silver for 672,000 ounces gold and 9.37 million ounces silver
Resource update precedes PEA for Golden Dawn Minerals’ newest B.C. gold-polymetallic project

The highway-accessible property came with a rail siding and loading facility 35 kilometres south in Revelstoke, as well as a 40-person camp, maintenance buildings, workshops and underground mining equipment.

Incorporating lead and zinc grades, the company attributed 1.35 million gold-equivalent ounces to M&I and another 1.07 gold-equivalent ounces to the inferred category.

The four zones comprise Main, Yellowjacket, Hanging Wall and Footwall. Main extends over 1.5 kilometres along strike and 850 metres down dip, remaining open for expansion, the company stated.

Meanwhile the Greenwood revival continues as Golden Dawn prepares to begin trial mining at the Lexington gold-copper past-producer within months. The company’s busy, multi-project activities are summarized here.

Read more about Golden Dawn Minerals.

Golden Dawn Minerals sets B.C. gold-copper trial mining for Q2

January 15th, 2018

by Greg Klein | January 15, 2018

With dewatering now complete, Golden Dawn Minerals TSXV:GOM plans to re-start a southern British Columbia past-producer within months, moving to full production in the latter half of the year. The company pronounced the former Lexington mine’s underground workings, east portal and decline to be in excellent condition, where a previous operator extracted 5,486 ounces of gold, 3,247 ounces of silver and 860,259 pounds of copper between April and December 2008.

Golden Dawn Minerals sets B.C. gold-copper trial mining for Q2

With underground workings in “excellent condition,”
Golden Dawn prepares to restart the Lexington gold-copper mine.

Service buildings have been renovated. Still on the checklist is new timber for the mine’s west portal, a new ladderway for the fresh air raise and installation of compressed air and water, along with electrical and ventilation services.

Lexington’s rehab coincides with that of the Greenwood plant, about 17 kilometres away. A 212-tpd mill that’s expandable to 400-tpd, it’s central to Golden Dawn’s 15,400-hectare portfolio of 31 historic mines, three of which the company hopes to re-start without de-risking at the feasibility level. Lexington’s remaining start-up costs are pegged at about $2 million.

While consultants now have a mine plan in progress, underground mapping and sampling are planned for later this month. The former mine has a 2016 resource with a base case cutoff of 3.5 g/t gold-equivalent:

  • measured: 58,000 tonnes averaging 6.98 g/t gold and 1.1% copper (8.63 g/t gold-equivalent) for 16,100 gold-equivalent ounces

  • indicated: 314,000 tonnes averaging 6.38 g/t gold and 1.04% copper (7.94 g/t gold-equivalent) for 80,200 gold-equivalent ounces

  • inferred: 12,000 tonnes averaging 4.42 g/t gold and 1.03% copper (5.96 g/t gold-equivalent) for 2,300 gold-equivalent ounces

Meanwhile the company awaits 14 holes of assays from the nearby Golden Crown drill program that wrapped up last month. That past-producer also hosts a 2016 resource with a 3.5 g/t gold-equivalent cutoff:

  • indicated: 163,000 tonnes averaging 11.09 g/t gold and 0.56% copper (11.93 g/t gold-equivalent) for 62,500 gold-equivalent ounces

  • inferred: 42,000 tonnes averaging 9.04 g/t gold and 0.43% copper (9.68 g/t gold-equivalent) for 13,100 gold-equivalent ounces

Further drilling is planned northwest, along a three-kilometre mineralized zone onto the JD property, from where the company reported high-grade gold samples last October.

The former May Mac silver-gold mine constitutes a third past-producing priority with another 2017 drill program.

Golden Dawn’s property package sits about 500 kilometres by highway east of Vancouver.

The company also reported a private placement that closed on $337,500 that came entirely from Quorum Capital Inc, wholly owned by Golden Dawn president Wolf Wiese.

Read more about Golden Dawn Minerals.

Lithium-tantalum sampling, new pegmatite discovery position 92 Resources for NWT drill program

January 12th, 2018

by Greg Klein | January 12, 2018

From pilot plant to the field, 92 Resources TSXV:NTY heralded progress on a number of fronts this week. Two days after reporting metallurgical advances for its Hidden Lake lithium project, the company announced high-grade lithium assays, significant tantalum recoveries and the discovery of a seventh pegmatite. The latest news comes from a recently completed eight-day program on the highway-accessible property 40 kilometres east of Yellowknife.

Lithium-tantalum sampling, new pegmatite discovery position 92 Resources for NWT drill program

Last year’s field work added another known pegmatite, as well as
tantalum potential, to 92 Resources’ Hidden Lake lithium project.

Work included channel sampling on two pegmatites discovered in late 2016, HL6 and HL8, near four other known pegmatites on the property. Eight samples from HL6 surpassed 1% Li2O, with values ranging from 1.05% to 2.57%, the latter standing out as the highest 2017 sample grade. Widths extended from 0.75 metres to one metre.

HL8 compensated for lower lithium numbers with some intriguing tantalum results. Of eight samples reported, Li2O values ranged from 0.12% to 0.74%, with Ta2O5 ranging from 114 ppm to 233 ppm. Seven widths came in between 0.74 and 1.33 metres, while a grade of 162 ppm Ta2O5 extended across 5.1 metres.

“Spodumene-bearing pegmatites are often zoned with distinct zones of lithium and tantalum, as well as zones which overlap,” the company explained. “The discovery of tantalum zones in the area is encouraging and bolsters the project’s potential for tantalum, as well as for coupled zones of lithium and tantalum, to be discovered elsewhere on the property.”

Another encouraging sign is a newly discovered pegmatite, bringing Hidden Lake’s known total to seven. An initial sample from HL13 returned 0.48% Li2O.

92 Resources hopes to return early this year, this time with a rig, to begin building a maiden resource.

Earlier this week the company announced another stage of metallurgical studies suggesting Hidden Lake’s pegmatite can produce high-grade concentrate through conventional processing techniques.

Additionally the company holds three lithium properties in Quebec, where sampling from one project brought assays up to 7.32% Li2O and 90 ppm Ta2O5. 92 Resources also plans a 43-101 technical report for its Golden frac sand project in eastern British Columbia.

92 Resources closed a private placement of $1.14 million the previous week and will further fund Hidden Lake with a $140,000 grant from the NWT Mining Incentive Program.

Read Isabel Belger’s interview with 92 Resources CEO Adrian Lamoureux.

Critical Quebec commodities

January 11th, 2018

Saville Resources moves into Commerce Resources’ niobium-tantalum target

by Greg Klein

A rare metal find on a property hosting a rare earths deposit becomes a project of its own under a new agreement between two companies. With a 75% earn-in, Saville Resources TSXV:SRE can now explore the niobium claims on Commerce Resources’ (TSXV:CCE) Eldor property in northern Quebec, where the latter company advances its Ashram rare earths deposit towards pre-feasibility.

Saville Resources moves into Commerce Resources’ niobium-tantalum target

A map illustrates the mineralized boulder
train’s progress, showing its presumed source.

Grab samples collected by Commerce on a boulder train about a kilometre from the deposit brought assays up to 5.9% Nb2O5. “That’s right off the charts,” enthuses Saville president Mike Hodge. “People in the niobium space hope for 1%—5.9% is excellent.”

He’s no newcomer to the space or even to the property. Hodge helped stake Commerce’s tantalum-niobium deposit on southern British Columbia’s Blue River property, which reached PEA in 2011.

“I did a lot of the groundwork for Commerce in the Valemount-Blue River area and I was one of the first guys on the ground at the camp that now supports Ashram,” he points out. “I’ve been involved with these two properties since 1999.” That’s part of a career including field experience on over 25 projects as well as raising money for junior explorers.

Miranna’s grab samples brought tantalum too, with a significant 1,220 ppm Ta2O5. Forty of the 65 samples graded over 0.5% Nb2O5, with 16 of them surpassing 1%.

The company describes the sampling area as a “strongly mineralized boulder train with a distinct geophysical anomaly at its apex.”

The 980-hectare Eldor Niobium claims have also undergone drilling on the Northwest and Southeast zones, where some wide intervals gave up 0.46% Nb2O5 over 46.88 metres and 0.55% over 26.1 metres (including 0.78% over 10.64 metres).

Samples from Miranna and the Southeast zone also show that niobium-tantalum occurs within pyrochlore, described by Saville as the dominant source mineral for niobium and tantalum in global mining. That’s the case, for example, at Quebec’s Niobec mine, one of the world’s three main niobium producers, with 8% to 10% of global production. Moreover, pyrochlore on the Saville project “is commonly visible to the naked eye, thus indicating a relatively course grain size, which is a favourable attribute for metallurgical recovery,” the company added.

Hodge already has a prospective drill target in mind. “I pulled the rig around with a Cat for a lot of the holes on Ashram itself so I’m very familiar with the ground. We’d of course do more prospecting and try to prove up some more numbers while we’re drilling.”

Saville Resources moves into Commerce Resources’ niobium-tantalum target

Should Saville find success, a ready market would be waiting. The company cites niobium demand growth forecasts of 7.66% CAGR from 2017 to 2021. A December U.S. Geological Survey report lists niobium and tantalum among 23 minerals critical to American security and well-being.

The country relies on foreign exports for its entire supply of both minerals, according to an earlier USGS study. From 2012 to 2015, 80% of America’s total niobium imports came from Brazil, where one mine alone produces 85% to 90% of global supply. Looking at tantalum imports during that period, the U.S. relied on China for 37% and Kazakhstan for another 25%. A troubling source of tantalum remains the Democratic Republic of Congo, from where conflict minerals reach Western markets through murky supply chains.

Days after the USGS released its December study, American president Donald Trump ordered a federal strategy “to ensure secure and reliable supplies of critical minerals.” Although he emphasized the need for domestic deposits and supply chains, Trump also called for “options for accessing and developing critical minerals through investment and trade with our allies and partners.”

Meanwhile Saville also sees potential in Covette, the company’s other northern Quebec property. Historic, non-43-101 grab samples reported up to 4.7% molybdenum, with some bismuth, lead, silver and copper. A 1,402-line-kilometre VTEM survey in late 2016 found prospectivity for base and precious metals. “The VTEM and some sampling that we did indicates that drilling could find something valuable,” Hodge says. “Although it is early-stage, the Geotech guys that did the VTEM survey said they hadn’t seen targets like that all year.”

Still, “the niobium claims are my first priority,” Hodge emphasizes. “I’m very excited about this. I believe we can have a winning project here.”

Subject to approvals, a 75% interest in the new property would call for $25,000 on signing, another $225,000 on closing and $5 million in work over five years. Commerce retains a 1% or 2% NSR, depending on the claim, with Saville holding a buyback option.

Last month the company offered private placements totalling up to $500,000, with insiders intending to participate.

Read more about the U.S. critical minerals strategy.

Lithium metallurgy produces high-grade concentrate for 92 Resources’ NWT project

January 10th, 2018

by Greg Klein | January 10, 2018

Showing the advantages of coarse-grained pegmatite, further metallurgical tests on hardrock lithium brought impressive results for 92 Resources’ TSXV:NTY Hidden Lake project in the Northwest Territories. The company processed about 400 kilograms of pegmatite collected last year, putting it through a dense media separation mini-pilot plant. The result brought over 40 kilos of spodumene concentrate averaging a high-grade 6.11% Li2O.

Following last month’s results from heavy liquid separation tests, 92 Resources considers the latest work both highly encouraging and in line with expectations. “The test work continues to support that a final overall concentrate grade of 6% to 6.5% Li2O at high recovery (80% to 85%) is achievable using low-cost and conventional processing techniques,” the company stated.

92 Resources now sees two possible approaches for lithium recovery. The first would use flotation only, which produced the successful results released in December. The second would aim for similar results through a combination of flotation and dense media separation. The dual approach offers lower costs, greater control, shorter start-up time and less risk.

Lithium metallurgy produces high-grade 6.11% concentrate for 92 Resources’ NWT project

This graphic illustrates the Hidden Lake flowsheet’s dual approach, in which +0.85 mm material undergoes dense media separation to produce concentrate, tailings and middlings. The middlings then combine with the -0.85 mm material to undergo flotation, producing more concentrate and tailings.

Still to come from the test work are tantalum assays, which will be studied for better recovery. The road-accessible 1,849-hectare property sits 40 kilometres east of Yellowknife.

Apart from the Hidden Lake flagship, 92 Resources picked up three hardrock lithium projects in Quebec’s James Bay region last September. Surface samples from the Corvette property showed results up to 7.32% Li2O, along with anomalous tantalum of 90 ppm Ta2O5.

The company also has a 43-101 technical report planned for its Golden frac sand project in eastern British Columbia.

Last week 92 Resources closed a private placement of $1.14 million.

Read Isabel Belger’s interview with 92 Resources CEO Adrian Lamoureux.

Mountain Boy Minerals/Decade Resources cut 6.6 g/t gold over 11 metres, 7.05 g/t over 9 metres in NW B.C.

January 9th, 2018

by Greg Klein | January 9, 2018

It’s not just the lure of gold but the high-grade stuff that keeps Mountain Boy Minerals TSXV:MTB and its friends drilling the steep slopes of northwestern British Columbia’s Golden Triangle. A new year batch of assays from the Red Cliff project delivered just that, with several impressive intercepts from the property’s Montrose zone.

Mountain Boy has a 35% stake in the project, with joint venture partner Decade Resources TSXV:DEC holding the remainder. The companies share more complicated ownership of nearby acquisitions.

Mountain Boy Minerals/Decade Resources cut 6.6 g/t gold over 11 metres, 7.05 g/t over 9 metres in NW B.C.

Access roads wind their way to Red Cliff’s lofty heights.

Last year’s work traced a mineralized system over Red Cliff for two kilometres. These results constitute the final assays from Montrose, which underwent 35 holes in 2017. Five more were sunk on the Red Cliff zone and another 11 on Waterpump.

Early assays for Waterpump, where core has revealed visible gold, were released in October. They followed September results from the property’s Red Cliff and Montrose zones. Additional Waterpump assays are pending. Mountain Boy considers the three areas to constitute a single zone that was displaced by faulting.

Some highlights from the final Montrose batch show:

Hole DDH-MON-7

  • 10.2 g/t gold over 1.52 metres, starting at 237.5 metres in downhole depth

  • 5.88 g/t over 5.03 metres, starting at 251.83 metres

  • 10.4 g/t over 1.52 metres, starting at 264.39 metres

DDH-MON-8

  • 14.6 g/t over 2.2 metres, starting at 241.01 metres

DDH-MON-13

  • 5.28 g/t over 2.9 metres, starting at 45.27 metres

DDH-MON-29

  • 2.62 g/t over 8.08 metres, starting at 82.77 metres

  • 7.05 g/t over 9.15 metres, starting at 96.85 metres

  • 2.06 g/t over 9.15 metres, starting at 112.2 metres

DDH-MON-31

  • 5.75 g/t over 3.05 metres, starting at 352.44 metres

  • 6.6 g/t over 11.19 metres, starting at 374.79 metres
  • (which includes 13.9 g/t over 2.04 metres)
  • (and also includes 13.7 g/t over 3.05 metres)

True widths weren’t available.

Recent results will be incorporated with data from 2007 to 2012 to calculate Red Cliff’s maiden resource, expected this year.

In another high-grade Golden Triangle JV, Mountain Boy (20%) and Jayden Resources TSXV:JDN (80%) announced assays last November from a new gold zone northeast of their Silver Coin deposit, following last year’s 14-hole, 2,226-metre campaign.

Mountain Boy’s third 2017 drill program had 500 to 600 metres planned for the 100%-held Surprise Creek property. Forsaking gold this time, the target was barite, a mineral essential to oil and gas exploration. The company also holds the Manuel Creek zeolite project in south-central B.C.’s Okanagan region.

Among new faces joining the company last month, incoming president/CEO/director Mark Brown holds 25 years of financial and mining experience. A chartered accountant, he founded Rare Element Resources and built it into a $500-million company listing on the NYSE Amex exchange. New CFO/corporate secretary Winnie Wong is also a CA with extensive mining company experience.

Joining the BOD is well-known commentator and industry executive Lawrence Roulston. His nearly 40-year career includes executive positions with numerous B.C. exploration companies. He currently acts as managing director of WestBay Capital Advisors.

In October Mountain Boy offered a private placement of up to $300,000.

Read Isabel Belger’s interview with Mountain Boy Minerals chairperson René Bernard.

See an infographic about B.C.’s Golden Triangle.

Wanted: Your input

January 5th, 2018

Geoscience B.C. seeks stakeholders’ advice to help guide its future

by Greg Klein

Often forgotten in the quest for the next big discovery are the wide-ranging advantages of learning more about planet Earth. With a mandate to gather intel for the public domain, Geoscience B.C. has undertaken about 160 projects studying British Columbia’s portion of the planet and what lies beneath its surface. Now the non-profit’s reaching out to the public for guidance on its upcoming five-year strategic plan.

Geoscience B.C. seeks stakeholders’ advice to help guide its future

In addition to smaller-scale and often innovative surveys,
Geoscience B.C.’s regional programs have covered vast swaths
of British Columbia. (Photo: Geoscience B.C.)

Late last month the organization began a three-part program comprising an online survey, focus groups and phone interviews “to get as much feedback as possible on how we’re doing and what sort of work people think we should be doing over the coming years,” says director of external relations Richard Truman. “We want to make sure we’re heading in the right direction and the work we’re doing is answering the right questions for people.

“Most of our funding is public funding and our core funding comes from the province of B.C.,” he adds. “I think it’s important to show we’re delivering good value and therefore we have to demonstrate that we’re answering the questions people have, whether they’re indigenous leaders, someone from a mining company or someone from the oil and gas companies. That’s one of the ways we demonstrate our value as an organization.”

The results will help guide the organization’s next five-year plan expected by April.

The easiest way to take part comes through an online survey that takes about eight minutes to complete. But don’t put this off. The survey closes January 26.

Interested in taking part in a short phone interview? You can submit your name to info@geosciencebc.com to talk with a Geoscience B.C. researcher.

Finally, there’s a series of focus groups tentatively scheduled for seven cities, with registration available through the following links:

The one non-B.C. event heads beyond the Rockies to hear from Calgary-based companies active in the northeastern oil patch.

As for the focus groups, they’re expected to attract governments at three levels, “municipal governments especially because they tend to use our information in their land planning process or to try to bring investment into their areas, especially in the north of B.C.,” Truman explains.

[Native groups are] interested in land planning and, on the oil and gas side, figuring out where water use might be appropriate or not for fracking. Or on the minerals side, where mineral deposits might be so they can decide whether future development might be appropriate and whether they want to be involved.—Richard Truman

Other participants will include native groups. “They’re usually interested for reasons similar to the municipal governments,” he adds. “They’re interested in land planning and, on the oil and gas side, figuring out where water use might be appropriate or not for fracking. Or on the minerals side, where mineral deposits might be so they can decide whether future development might be appropriate and whether they want to be involved.

“There’s academia as well, because we’re funding a lot of the work they do, and they have some good ideas about what we should be doing. And then you have the resource sectors themselves, minerals and mining, oil and gas, and we work on geothermal energy too. Generally speaking, those are the core people who show interest in what we do, so we want to hear from them about whether we’re headed in the right direction.”

Certainly the organization’s 160 projects so far show ambitious, even innovative undertakings. “At any time we’ve got an awful lot going on,” Truman notes. One project that’s just finished is Search Phase III, a helicopter-borne magnetic and radiometric survey that covered 9,600 square kilometres flying at an unusually low 80 metres above ground.

Targeting west-central B.C. regions, the earlier phases flew 24,000 square kilometres and 6,700 square kilometres respectively. Phase III extended the study eastward.

Results will be announced on January 23 at AME Roundup 2018, the Association for Mineral Exploration conference held in Vancouver this year from January 22 to 25. With the data likely complementing this year’s theme of New Generation of Discovery, Geoscience B.C. intends to “present the results with some analysis to give people an idea of what they can actually do with this information.”

Back to the survey, participants have three ways to take part but, Truman emphasizes, the online questionnaire ends January 26.

Read more about Geoscience B.C. and its Search program.

Read more about AME Roundup 2018, to be held at the Vancouver Convention Centre West from January 22 to 25.