Wednesday 26th April 2017

Resource Clips


Posts tagged ‘Golden Dawn Minerals Inc (GOM)’

Golden Dawn Minerals expands property, prepares for trial mining at B.C.’s Greenwood camp

April 5th, 2017

by Greg Klein | April 5, 2017

As the company anticipates near-term underground test mining at its nearby Lexington project, a new acquisition expands Golden Dawn Minerals’ (TSXV:GOM) Amigo property and complements the contiguous Boundary Falls turf. Boundary Falls hosts the past-producing May Mac mine—along with Lexington, Golden Crown and the Greenwood mill, one of the focal points of the company’s plan to revive the historic southern British Columbia camp. Subject to approvals, the 487-hectare addition brings Amigo to 656 hectares, costing Golden Dawn 100,000 shares.

May Mac reportedly produced 4,228 tonnes averaging 5.35 g/t gold and 227 g/t silver between 1903 and 1983. The mine also produced lead, zinc and copper.

Golden Dawn Minerals expands property, prepares for trial mining at B.C.’s Greenwood camp

A haul truck remains from the Greenwood
camp’s former mining and milling operations.

Since 2015 Golden Dawn has sunk 904 metres of surface drilling on Amigo, along with 6,155 metres of surface and underground work on May Mac’s Skomac vein system.

More assays are pending following a batch released early last month. Meanwhile the project undergoes permitting for surface drilling, underground drilling, drifting and bulk sampling. Should results for the three historic mines prove fortuitous, May Mac feed would complement that of the Lexington and Golden Crown past-producers. Processing would take place at Golden Dawn’s Greenwood mill, a 200-tpd facility expandable to 400-tpd located 15 kilometres east.

Last month the company released initial metallurgical test results for May Mac showing recoveries of 98% for gold and 97.7% for silver.

Last week Golden Dawn announced a “milestone” in receiving a dewatering permit for Lexington, which allows underground test mining to assess the project’s viability. Dewatering’s expected to begin in late April or early May.

The previous operator shut down Lexington and the Greenwood mill in December 2008 after eight months of operation, apparently because of the financial crisis, start-up problems and debt, Golden Dawn stated. Having bought the assets at a substantial discount, the company declares itself “optimistic that all or most of the start-up issues experienced by the former operator will be avoided.”

Golden Dawn doesn’t plan a feasibility study but has commissioned a technical report to consolidate four properties into one project. Over the last few months the company received US$4 million from RIVI Capital LLC as an advance payment for future gold production from Lexington and Golden Crown.

Proximal to Highway #3, the Greenwood portfolio sits about 500 kilometres east of Vancouver.

Golden Dawn Minerals reports positive gold-silver metallurgy from B.C.’s Greenwood camp

March 15th, 2017

by Greg Klein | March 15, 2017

Initial metallurgical results support Golden Dawn Minerals’ (TSXV:GOM) plan to put a southeastern British Columbia mine and mill back into production. A 16-kilogram composite sample from the May Mac mine underwent gravity and flotation at the company’s Greenwood mill, 15 kilometres away, with 98% recovery for gold and 97.7% for silver. Preliminary results suggest no major modifications to the mill would be necessary to process May Mac feed.

The past producer comprises one of several former mines proximal to the mill that Golden Dawn endeavours to re-open.

Golden Dawn Minerals reports positive gold-silver metallurgy from B.C.’s Greenwood camp

Sitting amidst Golden Dawn’s portfolio of former mines,
the Greenwood mill has a 200-tpd capacity expandable to 400 tpd.

“Flotation cleaning will now be tested in order to make a higher-grade concentrate for sale,” the company stated. “Optionally, cyanide leaching results after 48 hours’ retention indicate approximately half the silver was recovered, and with a gold recovery of 90%.”

Meanwhile underground drilling continues at May Mac, with surface drilling planned for next month. The company has permitting underway to extend the mine’s #7 level for a bulk sample of up to 10,000 tonnes for processing at the Greenwood mill. Plans also call for a maiden resource this year. Earlier this month the company released the last of 19 holes from last winter’s program.

With a de-watering permit now in process for the nearby Lexington project, Golden Dawn hopes to begin trial mining in Q3 or Q4. The past producer has 96,300 gold-equivalent ounces measured and indicated, along with 2,300 ounces inferred at a 3.5 g/t gold-equivalent cutoff.

Included in the 2017 agenda is surface drilling at Golden Crown, which currently hosts 62,500 gold-equivalent ounces indicated and 13,100 ounces inferred, also using a 3.5 g/t gold-equivalent cutoff.

Golden Dawn has a modest program of geophysics in store for the KRR property, an 11,000-hectare package of 29 historic mines and 40 significant showings. The company announced a 43-101 on the recent acquisition in January.

With a final tranche of US$1 million now in hand, the company has collected the full US$4-million advance from a gold purchase agreement with RIVI Capital LLC.

Golden Dawn’s Greenwood camp portfolio lies about 500 kilometres east of Vancouver.

Golden Dawn Minerals reports May Mac assays as underground drilling continues

March 6th, 2017

by Greg Klein | March 6, 2017

Golden Dawn Minerals TSXV:GOM released the last of 19 holes drilled so far this winter at its May Mac mine in southern British Columbia’s historic Greenwood camp. Following assays reported last month, the results show silver-polymetallic mineralization on the Skomac vein system beyond, above and below the former mine’s #7 adit.

Some highlights from hole MU17-10 include:

  • 81.1 g/t silver, 0.06 g/t gold, 2.1% lead and 0.6% zinc over 5.25 metres, starting at 188.82 metres in downhole depth
  • (including 121.4 g/t silver, 0.07 g/t gold, 3.5% lead and 1% zinc over 2.7 metres)

  • 86 g/t silver, 0.01 g/t gold, 5.3% lead and 1.6% zinc over 1 metre, starting at 195.78 metres

  • 174.3 g/t silver, 8.2 g/t gold, 3.7% lead, 2.6% zinc and 0.01% copper over 1.2 metres, starting at 211.6 metres
  • (including 228 g/t silver, 19.65 g/t gold, 8.8% lead, 6.2% zinc and 0.2% copper over 0.5 metres)

  • 98 g/t silver, 0.01 g/t gold, 0.5% lead, 0.9% zinc and 0.1% copper over 1.5 metres, starting at 218.37 metres

  • 18.33 g/t silver, 3.11 g/t gold, 1.2% lead, 3.5% zinc and 0.1% copper over 1.97 metres, starting at 221.89 metres

  • 37.5 g/t silver, 6.76 g/t gold, 1.4% lead, 2.2% zinc and 0.1% copper over 1.32 metres, starting at 226.4 metres
Golden Dawn Minerals reports May Mac assays as underground drilling continues

True widths weren’t available.

The program found veining concentrated in four zones ranging from 1.2 metres to 19.43 metres in extent, with significant mineralization in the first three zones.

Drilling continues at the underground drill station, prior to moving the rig to two other stations. Golden Dawn also has permitting underway to extend the #7 drift for a bulk sample of up to 10,000 tonnes. Samples have already been taken for metallurgical tests at the company’s Greenwood mill, 15 kilometres southeast. Golden Dawn holds an extensive portfolio of former mines proximal to the 200-tpd mill, which the company hopes to restart this year.

Last month the company announced a US$4-million advance on a streaming agreement for its past-producing Lexington and Golden Crown gold mines. Lexington has trial mining anticipated for Q3, while Golden Crown has a permit application for infill drilling. Trial mining at Golden Crown could begin in Q2 2018, following successful permitting, adit refurbishment and underground exploration.

The company also has field work planned for its Phoenix and Tam O’Shanter properties, part of a 11,000-hectare, 29-property acquisition that closed in January.

Golden Dawn’s Greenwood portfolio sits about 500 kilometres east of Vancouver.

Golden Dawn Minerals releases silver-gold-polymetallic assays from historic Greenwood camp

February 24th, 2017

by Greg Klein | February 24, 2017

Underground drilling delivered the highest silver and gold assays so far from the Skomac vein system at the former May Mac mine, Golden Dawn Minerals TSXV:GOM reported February 23. With noteworthy lead and zinc numbers as well, the results come from one of the past-producers the company intends to revive at its Greenwood portfolio in southern British Columbia. The assays reflect nine of this year’s 10 May Mac holes totalling 1,320 metres, while results are pending for the tenth hole. Along with nine holes sunk late last year and released in mid-January, the work currently totals 2,125 metres.

All 19 holes hit the Skomac vein system, showing mineralization continues along the principal vein from the #6 level, passing the #7 level. Parallel veins also revealed mineralization. Some highlights include:

Hole MU17-01

  • 235 g/t silver, 2.07 g/t gold, 0.8% lead, 1.4% zinc and 0.2% copper over 1.56 metres, starting at 32.05 metres in downhole depth

MU17-02

  • 231.2 g/t silver, 0.51 g/t gold, 5.9% lead, 6.4% zinc and 0.3% copper over 1.92 metres, starting at 59.44 metres
Golden Dawn Minerals releases silver-gold-polymetallic assays from historic Greenwood camp

Golden Dawn plans additional underground
drilling and a bulk sample at the former May Mac mine.

MU17-05

  • 177 g/t silver, 7.91 g/t gold, 0.5% lead, 0.4% zinc and 0.1% copper over 1.05 metres, starting at 32.67 metres

MU17-06

  • 35.1 g/t silver, 6.32 g/t gold, 0.3% lead, 0.6% zinc and 0.1% copper over 1.36 metres, starting at 224.82 metres
  • (including 79.5 g/t silver, 14.55 g/t gold, 0.6% lead, 0.3% zinc and 0.1% copper over 0.46 metres)

MU17-07

  • 371 g/t silver, 8.86 g/t gold, 0.7% lead and 0.2% copper over 0.5 metres, starting at 62.7 metres

MU17-08

  • 559.4 g/t silver, 1.27 g/t gold, 0.2% lead, 2.1% zinc and 0.1% copper over 2.06 metres, starting at 52.8 metres
  • (including 1,935 g/t silver, 4.21 g/t gold, 0.7% lead, 7.1% zinc and 0.2% copper over 0.54 metres)

True widths weren’t available.

With more holes scheduled for this drill station, Golden Dawn plans additional underground work at two other drill stations. The company also has permitting underway to extend the #7 drift for drilling and bulk sampling up to 10,000 tonnes. Processing would take place at Golden Dawn’s Greenwood mill, 15 kilometres southeast.

Looking at another of the company’s Greenwood properties, Golden Dawn has applied for a surface drilling permit for its Golden Crown property, which has a 2016 resource estimating 62,500 gold-equivalent ounces indicated and 13,100 ounces inferred.

Other plans include field work on an acquisition of 29 former Greenwood mines that closed last week.

On February 24 the company announced closing of a US$1-million convertible security increase with Lind Asset Management VI. Earlier this month Golden Dawn reported receiving an initial US$3 million of a US$4-million streaming deal from RIVI Capital.

With an extensive portfolio of former mines proximal to its 200-tpd mill, Golden Dawn hopes to revive the historic Greenwood camp, about six hours’ drive east of Vancouver.

Golden Dawn Minerals gets US$4-million advance in Greenwood streaming deal

February 9th, 2017

by Greg Klein | February 9, 2017

With a gold purchase agreement now complete, Golden Dawn Minerals TSXV:GOM has received US$3 million from RIVI Capital LLC, with another US$1 million due the week of February 20. In return the private equity firm would get a share of production from two mines in southern British Columbia’s Greenwood camp that Golden Dawn plans to restart.

Golden Dawn Minerals gets US$4-million advance in Greenwood streaming deal

A miner stands by a chalcopyrite vein at Lexington.

The company will use the money to repay a bridge loan, for working capital and to close the acquisition of Kettle River Resources and its Greenwood-area portfolio. Golden Dawn completed a 43-101 technical report on the Kettle River properties last month.

RIVI would get 13.5% of gold from Golden Dawn’s planned Lexington and Golden Crown mines for $400 an ounce, up to a total of 15,000 ounces. After that, Golden Dawn would supply 6.75% of the mines’ gold production at $650 an ounce.

RIVI managing partner Kevin Puil joins Golden Dawn’s board. A chartered financial analyst with a degree in economics, Puil has held senior positions at firms including the Encompass Fund and Bolder Investment Partners, now Haywood Securities. He also serves as a director and member of the audit committee for three TSX companies.

Golden Dawn has a dewatering permit application in place for Lexington, which has been on care and maintenance since 2008. A 2016 resource estimate showed measured and indicated categories totalling 96,300 gold-equivalent ounces.

The company also has a work application underway to drill its Golden Crown property. Last year’s resource calculated 62,500 gold-equivalent ounces indicated and 13,100 ounces inferred. The past-producers sit within a 15-kilometre radius of Golden Dawn’s 200-tpd mill.

Among other Golden Dawn assets proximal to the mill is the May Mac project, for which the company released assays last month.

The properties are located about 500 kilometres east of Vancouver.

Read more about Golden Dawn Minerals.

Golden Dawn Minerals completes a 43-101 for 29 historic mines in B.C.’s Greenwood camp

January 26th, 2017

by Greg Klein | January 26, 2017

Working to bring new life to an historic region, Golden Dawn Minerals TSXV:GOM announced a 43-101 technical report for a package of 29 small past-producers on January 26. The company plans to acquire the 11,354-hectare Greenwood Area property under a binding letter of intent signed last October. Golden Dawn has already built a substantial portfolio of Greenwood-area assets proximal to the company’s mill.

Golden Dawn Minerals completes a 43-101 for 29 historic mines in B.C.’s Greenwood camp

Golden Dawn’s Greenwood projects sit within
a 15-kilometre radius of the company’s mill.

The new package includes 49 documented mineral showings, with most mineralization classified as copper-gold skarns or skarn-related, according to the report. Previous mining targeted massive sulphide/oxide ores, largely ignoring lower-grade footwall stringer mineralization. As a result, none of the mines exceeds 150 metres in depth, with most stopping before 50 metres.

Golden Dawn sees potential for low- to moderate-grade copper-gold skarn material, as well as iron-rich skarn zones. With other areas of the property underexplored, the company also plans to search for intrusive porphyry deposits that might be sources for the historic showings and mines.

The new assets sit within a 15-kilometre radius of Golden Dawn’s mill, about a six-hour drive east of Vancouver.

Last week the company released assays from underground drilling at Greenwood’s former May Mac mine, which has permitting underway for a bulk sample. Golden Dawn also has permitting in progress to begin trial mining at the nearby Lexington gold-copper mine, which has been on care and maintenance since 2008. Should all go to plan, the company would re-open Greenwood’s Golden Crown mine next year.

Golden Dawn Minerals advances southern B.C.’s Greenwood renaissance

January 18th, 2017

by Greg Klein | January 18, 2017

With a fresh batch of assays from underground drilling, Golden Dawn Minerals TSXV:GOM progresses towards its goal of reviving southern British Columbia’s Greenwood mining camp. Results from nine holes (one released previously) totalling 805 metres show the May Mac project’s Skomac vein mineralization continues past the former mine’s #7 level.

Some highlights show:

Hole MU16-01 (previously released)

  • 131.3 g/t silver, 2.34 g/t gold, 0.6% lead, 0.4% zinc and 0.1% copper over 2.33 metres, starting at 17.45 metres in downhole depth
  • (including 250 g/t silver, 4.96 g/t gold, 1.2% lead, 0.9% zinc and 0.2% copper over 1.1 metres)

MU16-02

  • 132 g/t silver, 0.14 g/t gold, 1.9% lead, 1.6% zinc and 0.5% copper over 0.5 metres, starting at 24.09 metres
Golden Dawn Minerals advances Greenwood renaissance in southern B.C.

Located about 500 kilometres east of Vancouver,
Golden Dawn’s Greenwood assets include a 200-tpd mill.

MU16-03

  • 21.1 g/t silver, 0.55 g/t gold and 0.1% zinc over 0.49 metres, starting at 18.38 metres

MU16-04

  • 57.5 g/t silver, 0.32 g/t gold, 0.7% lead, 1.1% zinc and 0.1% copper over 0.5 metres, starting at 17 metres

MU16-05

  • 176.5 g/t silver, 1.06 g/t gold, 3.2% lead, 1.1% zinc and 0.3% copper over 1.5 metres, starting at 32.92 metres

MU16-06

  • 173 g/t silver, 0.22 g/t gold, 2.7% lead, 2.5% zinc and 0.1% copper over 0.76 metres, starting at 69.28 metres

MU16-07

  • 105 g/t silver, 0.15 g/t gold, 3.7% lead and 0.3% zinc over 0.44 metres, starting at 23.4 metres

MU16-08

  • 84.8 g/t silver, 0.2 g/t gold, 0.6% lead and 0.1% zinc over 0.43 metres, starting at 34.57 metres

MU16-09

  • 151 g/t silver, 2.97 g/t gold, 0.9% lead, 0.7% zinc and 0.1% copper over 0.48 metres, starting at 53.3 metres

  • 152 g/t silver, 0.4 g/t gold, 4.5% lead, 1.7% zinc and 0.1% copper over 0.4 metres, starting at 58.54 metres

True widths weren’t available.

These results follow assays released in December from May Mac as well as the 16,000-hectare Greenwood project’s Amigo, Glory Hole and Sylvester K former mines. But the January 17 announcement revised one December hole, a surface stepout labelled BF16-26. The hole “not only demonstrates the northwest strike extension, but also extends the vein to 13 metres below the #7 adit level,” the company stated. “It indicates that mineralization similar to that historically mined from the upper levels of the mine is present down to the #7 level, and that the mineralization continues along strike and is open to the northwest. Further surface drill testing will test the extent of the mineralized zone.”

Meanwhile May Mac has underground drilling scheduled to resume by January 21. The company also has permitting underway to extend the #7 drift northwest and extract a bulk sample of up to 10,000 tonnes. The material would be processed at Golden Dawn’s Greenwood mill, 15 kilometres southeast of May Mac.

Pending a dewatering permit and the dewatering process, production would resume at Greenwood’s Lexington gold-copper mine, which has been on care and maintenance since 2008. The project has measured and indicated resources calculated last year that total 96,300 gold-equivalent ounces. Golden Dawn has also submitted a work application to drill its Golden Crown property, which has a 2016 resource showing 62,500 gold-equivalent ounces indicated and 13,100 ounces inferred.

The company stands to gain a $5.2-million advance payment from a purchase agreement announced earlier this month for gold that would be produced at Lexington and Golden Crown. The money would be used to repay a bridge loan, for working capital and to complete the acquisition of Kettle River Resources and its 12,000 hectares hosting 30 former mines. Golden Dawn expects to complete a 43-101 technical report on the property this month.

Read more about Golden Dawn Minerals.

Golden Dawn Minerals continues revival of B.C.’s historic Greenwood camp

December 13th, 2016

by Greg Klein | December 13, 2016 | updated with revised assays January 17, 2017

A well-financed company working to bring new life to a cluster of past-producers 500 kilometres east of Vancouver, Golden Dawn Minerals TSXV:GOM released assays from former mines on December 13. The results come from the Amigo, Glory Hole, May Mac and Sylvester K sites, part of the mostly contiguous 16,000 hectares comprising the Greenwood project.

At May Mac, two of three surface holes from the same collar missed the Skomac vein system. But BF16-26, described as a “very significant 100-metre stepout hole along the northwesterly trend” of the vein system, showed these revised assays, which were released January 17:

  • 133.6 g/t silver, 0.54 g/t gold, 3.6% lead and 1.5% zinc over 6.07 metres, starting at 177.47 metres in downhole depth
  • (including 688 g/t silver, 1.18 g/t gold, 19% lead and 7% zinc over 0.96 metres)
Golden Dawn Minerals continues revival of B.C.’s historic Greenwood camp

Golden Dawn hopes to begin bulk
sampling next year at May Mac’s #7 level.

True widths weren’t provided.

The results show that historically mined mineralization continues another 75 metres vertically, remaining open at depth and along strike to the northeast, Golden Dawn stated. The company plans further drilling in that direction early next year.

An underground percussion hole at May Mac’s #7 drift showed these highlights from two consecutive 1.2-metre samples of cutting sludge:

  • 156 g/t silver, 3.04 g/t gold, 2.91% lead, 1.1% zinc and 0.33% copper

  • 135 g/t silver, 7.95 g/t gold, 0.6% lead, 1.3% zinc and 0.08% copper

Cautioning that accuracy might be affected by material loss, Golden Dawn stated the results show substantial mineralization within five metres of the end of the #7 level.

That level also underwent nine diamond drill holes totalling 805 metres, with assays pending for eight. Hole MU16-01 was drilled horizontally from the end of the adit to determine the distance to the vein. One intercept showed:

  • 131.3 g/t silver, 2.34 g/t gold, 0.59% lead and 0.42% zinc over 2.33 metres, starting at 17.45 metres
  • (including 250 g/t silver, 4.96 g/t gold, 1.2% lead and 0.89% zinc over 1.1 metres)

One kilometre south of May Mac, the former Amigo and Glory Hole mines underwent a surface drill program of 16 holes totalling 904 metres to search out extensions of known veins. Highlights include:

  • Hole BF16-10: 3 g/t silver and 1.04 g/t gold over 1.15 metres, starting at 41.31 metres in downhole depth

  • BF16-11: 5.8 g/t silver and 6.12 g/t gold over 0.74 metres, starting at 19.26 metres

  • BF16-15: 28 g/t silver and 0.98 g/t gold over 0.2 metres, starting at 5.5 metres

  • BF16-17: 2.8 g/t silver and 1.3 g/t gold over 1.32 metres, starting at 44.94 metres

  • BF16-18: 0.5 g/t silver and 1.13 g/t gold over 0.5 metres, starting at 14.5 metres

  • BF16-18: 1.8 g/t silver and 1.37 g/t gold over 1.26 metres, starting at 36.57 metres

  • BF16-24: 148 g/t silver over 0.25 metres, starting at 31.35 metres

Due diligence on a proposed property acquisition included seven channel samples at the Sylvester K past-producer, three kilometres from Golden Dawn’s mill. Six in a continuous line averaged 9.92 g/t gold over a true width of 15.2 metres.

Following the Christmas break, a program of 20 to 25 holes begins at the Greenwood project in mid-January. Permitting is in process to extract a 10,000-tonne bulk sample at May Mac adit #7, which would be processed at Golden Dawn’s mill, 15 kilometres from the former mine.

Last month the company closed a $1.18-million private placement, part of $3.97 million in private placements, $2.93 million in exercised warrants and US$2.4 million in long-term debt raised in 2016 that totals about $10.03 million.

Read more about Golden Dawn Minerals.

Golden Dawn Minerals to expand southern B.C. portfolio of past-producers

October 18th, 2016

by Greg Klein | October 18, 2016

Golden Dawn Minerals to expand southern B.C. portfolio of past-producers

Several former mines dot southern B.C.’s Greenwood camp.

 

Another 10,400 hectares with former mines would increase Golden Dawn Minerals’ (TSXV:GOM) presence in southern British Columbia’s historic Greenwood mining camp. Under a binding letter of intent announced October 18, the company would acquire Kettle River Resources, a subsidiary of New Nadina Explorations TSXV:NNA. Golden Dawn already has a portfolio of former mines within a 15-kilometre radius of its 200-tpd Greenwood mill, about 500 kilometres east of Vancouver.

The new acquisition would include the Tam O’Shanter project, the Sylvester K zone, some tailings sites, the former Phoenix mine and the Bluebell/Oro Denoro Eholt properties.

Golden Dawn has previously explored Tam O’Shanter along with a contiguous property, identifying an inferred resource for both.

Phoenix was mined between 1900 and 1978, producing over a million ounces of gold, 18 million ounces of silver and 575 million pounds of copper. Golden Dawn sees potential for new copper-gold finds.

Golden Dawn Minerals to expand southern B.C. portfolio of past-producers

Golden Dawn’s current portfolio includes the Greenwood mill.

The Sylvester K zone has a strike length of about 150 metres, with thickness up to 12 metres. Mining in 1989 extracted a reported 5,090 tonnes of material averaging 5.1 g/t gold.

Three tailings sites are associated with Phoenix. Metallurgical studies suggest re-grinding and cleaner flotation might offer potential for a copper-gold concentrate.

The Bluebell/Oro Denoro Eholt property has undergone exploration and mining since the 1890s, with a number of recent showings. Among the results, trenching at the Minnie Moore area in 2007 found silver grading 414 g/t over 8.5 metres, 1,044 g/t over 6.2 metres and 432 g/t over 5.8 metres. A drill core assay showed 77.3 g/t silver over 5.3 metres.

The properties come with a database representing 120 years of mining and exploration records.

Subject to a 90-day due diligence period and approvals, the package would cost Golden Dawn a non-refundable $80,000 on signing and another $15,000 by November 26. Those deposits would form part of a $1-million payment due on closing. New Nadina would also get $600,000 in Golden Dawn shares and a 1% NSR, half of which may be bought back. The companies expect to consummate by about January 31.

Late last month Golden Dawn issued a progress report on its work to reactivate the former May Mac, Lexington and Golden Crown mines, along with the nearby Greenwood mill. Trial mining could begin at Lexington in Q2 or Q3 next year, the company reported. Golden Crown, another gold-copper past-producer, could re-open in Q2 2018.

Golden Dawn has also been drilling May Mac and the Amigo past-producer about a kilometre south. The company expects to close a metals streaming deal this month.

Golden Dawn Minerals updates program to revive historic B.C. camp

September 28th, 2016

by Greg Klein | September 28, 2016

A September 28 progress report shows Golden Dawn Minerals TSXV:GOM advancing plans to re-open three former mines and a mill in southern British Columbia. The company’s Greenwood precious metals project consists of the May Mac, Lexington and Golden Crown past-producers, all within 15 kilometres of the project’s 200-tpd Greenwood mill. Golden Dawn closed the acquisition of Lexington, Golden Crown and the gravity-flotation plant earlier this month.

Golden Dawn Minerals updates program to revive historic B.C. camp

Golden Dawn hopes to begin trial mining
at the Lexington past-producer next year.

Work has begun on the mill’s transition from eight years of care and maintenance to active service, with plans calling for bulk samples from May Mac, a former silver-gold mine, to be processed early next year. Should all go to schedule, trial mining would begin at Lexington in Q2 or Q3 next year and Golden Crown would re-open in Q2 2018. Both were gold-copper operations.

The company has a permit application pending to de-water Lexington. Rehab has begun on three adits at May Mac, prior to underground drilling. Surface drilling will also test May Mac’s historic Skomac vein system. On completion of surface and underground exploration, May Mac bulk sampling would begin in Q1.

At the company’s Amigo past-producer about a kilometre south of May Mac, drilling has been underway since the beginning of September, with assays pending. Those two mines should undergo around 2,500 metres by year-end.

The company expects to close a gold streaming deal for the Lexington and Golden Crown mines in late October. Under terms announced in a July LOI, the agreement would bring Golden Dawn US$3 million on signing and another US$1 million on reaching a production target.

Two weeks ago the company closed a private placement first tranche of $696,324. Earlier this month Golden Dawn announced a convertible security would net the company $2.4 million to help finance the project acquisition.

The assets are located near the town of Greenwood, about 500 kilometres east of Vancouver.