Saturday 25th March 2017

Resource Clips


Posts tagged ‘ontario’

Pistol Bay expands Confederation Lake package, adding gold to base metals potential

March 22nd, 2017

by Greg Klein | March 22, 2017

The largest portfolio in western Ontario’s Confederation Lake greenstone belt just got larger as Pistol Bay Mining TSXV:PST increased its holdings to about 9,450 hectares. Two claim groups, Lucky 7 and Moth, cover “a 53-kilometre length of favourable volcanic geology,” the company stated.

Pistol Bay expands Confederation Lake package, adding gold to base metals potential

Neighbouring Pistol Bay’s Garnet Lake and Garnet East properties, the 640-hectare Lucky 7 hosts a copper-gold sulphide zone that was drilled in 1980 and 2002. A zone of massive to disseminated sulphides, the Hilltop copper-gold zone, was trenched but apparently never drilled. One of two Hilltop grab samples taken last year assayed 13.84 g/t gold and 3.21% copper.

Five kilometres from Lucky 7, the 1,360-hectare Moth claims underwent at least 14 holes between 1970 and the mid-1990s, revealing widespread hydrothermal alteration and numerous cases of zinc and/or copper mineralization, Pistol Bay stated. One interval graded 2.86 g/t gold over 0.3 metres. Located two kilometres from the former South Bay zinc-copper-silver mine, Moth sits near the Confederation belt’s most accessible area.

[Assays] suggest that we might be getting into an area with a potential for gold as well as base metals. This is something that hasn’t been widely recognized before in the Confederation Lake belt.—Charles Desjardins,
CEO of Pistol Bay Mining

Assays from both properties “suggest that we might be getting into an area with a potential for gold as well as base metals,” said CEO Charles Desjardins. “This is something that hasn’t been widely recognized before in the Confederation Lake belt.”

Together, the two properties will cost $72,000 and 2.3 million shares over three years. Pistol Bay may buy half of the 1.5% NSR for $400,000.

Last month the company acquired an historic data set for its recently optioned Joy North copper-zinc project. Mostly consisting of drill logs and ground geophysics maps, the info will go into a digital database including drill information, geology, assays, rock chemistry, petrology and geophysics. Now under consideration is an airborne EM and mag survey to penetrate deeper than earlier systems and better discriminate bedrock from overburden conductivity.

Pistol Bay’s overall strategy is to apply modern methods and a regional approach to properties that had previously been explored individually by different companies using earlier techniques.

The company also holds the C4, C5 and C6 uranium properties in Saskatchewan’s Athabasca Basin, where a Rio Tinto NYSE:RIO subsidiary advances towards a 100% interest.

On March 20 Pistol Bay closed a private placement totalling $548,436.

Read more about Pistol Bay Mining.

Update: BonTerra Resources’ high gold grades bring big money and Kinross to Urban Barry

March 21st, 2017

by Greg Klein | March 22, 2017

Update: On March 22 BonTerra Resources TSXV:BTR announced a $5.2-million private placement by Kinross Gold TSX:K, giving the global miner around 9.5% of BonTerra’s issued and outstanding shares. The parties expect to close by March 24. The news follows $15 million of BonTerra financings raised in February and March with strong participation from Sprott Capital Partners.

Kinross’ “entry into the Urban Barry gold camp further validates our ongoing progress and success at the Gladiator deposit and surrounding properties,” said BonTerra president/CEO Nav Dhaliwal. “The depth of technical expertise that Kinross offers will be of great value to BonTerra’s development going forward.”

The previous day BonTerra released assays up to 41 g/t gold over 6 metres, showing further progress as the company works to bring continuity to a 1.2-kilometre potential strike. Part of an effort to bridge the gap between the Gladiator deposit and the Rivage zone to the east, hole BA-17-05 encountered five zones, two of them new, as well as a western extension of the project’s Footwall zone. Highlights show:

  • 1.1 g/t gold over 12 metres, starting at 19 metres in downhole depth
BonTerra Resources’ Quebec Gladiator hits 41 g/t gold over 6 metres

Backed by over $20 million in recent financings,
BonTerra has three rigs busy at Gladiator.

  • 23.6 g/t over 5 metres, starting at 45 metres

  • 41 g/t over 6 metres, starting at 72 metres
  • (including 147.9 g/t over 1.6 metres)

  • 36.6 g/t over 1 metre, starting at 152 metres

  • 2.2 g/t over 6.8 metres, starting at 527 metres

True widths weren’t available.

Last year’s final assays came from the project’s East Side, with highlights showing:

BA-16-41

  • 5.5 g/t over 1.5 metres, starting at 786.5 metres

  • 2.3 g/t over 3 metres, starting at 831 metres

  • 6.8 g/t over 2.4 metres, starting at 944.6 metres

[Kinross’] entry into the Urban Barry gold camp further validates our ongoing progress and success at the Gladiator deposit and surrounding properties. The depth of technical expertise that Kinross offers will be of great value to BonTerra’s development going forward.—Nav Dhaliwal, president/CEO
of BonTerra Resources

BA-16-43

  • 1 g/t over 13.3 metres, starting at 726 metres

  • 2 g/t over 3 metres, starting at 816 metres

BA-16-49

  • 4.8 g/t over 3 metres, starting at 855 metres

Again, true widths weren’t available.

While additional assays are pending, three rigs focus on the Deep East zone, the Rivage Gap western side and Rivage Gap infill. The company has a fourth rig under consideration to explore the on-trend Coliseum property.

Last week BonTerra announced property acquisitions in the Urban Barry area play that’s home to Gladiator, as well as new turf near the company’s Larder Lake project in Ontario’s Cadillac-Larder Lake Break camp.

Read more about BonTerra Resources.

Coal mine could produce green, renewable electricity

March 17th, 2017

by Greg Klein | March 17, 2017

Should all go to plan, the transformation from dirty to clean energy might come to be symbolized by this German coal producer. A longstanding idea to convert mine shafts to hydro chutes got further encouragement in a March 14 speech reported by Bloomberg. North-Rhine Westphalia state governor Hannelore Kraft has declared her support for a project that would convert the Prosper Haniel coal mine into a pumped storage facility.

Coal mine could produce green, renewable electricity

Dirty old Prosper Haniel could get a new, clean lease on life.

Referred to as a type of battery, it would use excess wind or solar energy to pump water from a reservoir at the depths of the mine to another reservoir above the shafts. When wind or solar fails to meet demand, the water would be released, plunging something like 1,300 metres to electricity-generating turbines.

A 2014 article on Grist.org said the mine could store up to about 990,000 cubic metres of H2O, “roughly the volume of the Empire State Building.” That could produce a 200 megawatt capacity, enough to power more than 400,000 homes, Bloomberg reported.

Prosper Haniel’s mining days are expected to end in 2018, when federal subsidies for the industry expire. Other mines could follow this reincarnation as the coal mining region of North-Rhine Westphalia intends to double its production of renewable energy to 30% by 2025, Bloomberg stated.

According to the National Energy Board, Canada’s only pumped storage facility is the 174 MW Sir Adam Beck station operated by Ontario Power Generation, which diverts water from the Niagara River to a 300-hectare reservoir. The transition from turbine to pumping sequence takes just minutes and occurs several times a day, the utility states.

The NEB attributes over 30 pumped storage facilities to the U.S., producing about 23,000 gigawatt hours a year but using about 29,000 GWh to do so. “Despite this net loss of energy, the grid reliability provided by PSH facilities and the ability to generate when demand is strong is highly beneficial and will become increasingly important as Canada and the U.S. integrate more renewable power into their grids.”

BonTerra Resources expands its land in Urban Barry and Larder Lake

March 16th, 2017

by Greg Klein | March 16, 2017

Growing an already major position in the Windfall Lake-inspired Urban Barry area play, BonTerra Resources TSXV:BTR announced additional property acquisitions March 15. Among them is Thubiere, northwest of the company’s Arena property and surrounded by Osisko Mining TSX:OSK turf.

BonTerra Resources expands its land in Urban Barry and Larder Lake

BonTerra’s Gladiator project consists of the
West Arena, East Arena and Coliseum properties.

One day previously BonTerra closed a $1-million private placement, bringing the March total to about $15 million. Obviously well-funded, the company has three rigs working a program of up to 40,000 metres at its nearby Gladiator gold project. Recent results have graded up to 16.8 g/t gold over 3.8 metres and 15.7 g/t over 8.5 metres as the company endeavours to connect zones across a 1.2-kilometre potential strike.

BonTerra describes the 338-hectare Thubiere property as poorly explored, despite historic, non-43-101 assays grading 13.7 g/t gold over 1.2 metres, 10.98 g/t over 1.83 metres and 74.8 g/t over 0.61 metres.

The historic work “strongly supports a pattern of future exploration along the main fault and specifically in areas where porphyritic felsic intrusives are recorded to exist,” BonTerra stated. “This gold-fault-felsic intrusive association is beginning to emerge as a useful gold pathfinder [in the] Urban Barry greenstone belt of Quebec, based on recent discoveries.”

The company staked four new claims north of its Gladiator project’s Lacroix Lake block and intends to buy another 226 contiguous hectares.

In Ontario, BonTerra signed a purchase agreement for another 56-hectare claim proximal to the company’s Larder Lake gold project, currently active with 25,000 metres of resource development and exploration.

Subject to approvals, Thubiere’s price tag comes to $5,000 and 150,000 shares. The 226 hectares north of Lacroix would cost $10,000 and 150,000 shares. The Larder Lake addition calls for 100,000 shares and a 2% NSR, half of which may be subject to a $750,000 buy-back.

Due for updates are the Gladiator and Larder Lake resources. Gladiator’s 2012 estimate used a 4 g/t cutoff to show 905,000 tonnes averaging 9.37 g/t for 273,000 gold ounces inferred.

Historic, non-43-101 estimates at Larder Lake give the Bear Lake deposit 683,000 gold ounces inferred, and the Cheminis deposit 43,800 gold ounces indicated and 233,400 ounces inferred.

Read more about BonTerra Resources.

BonTerra Resources closes $14-million bought deal to fund Windfall Lake-area drilling

March 2nd, 2017

by Greg Klein | March 2, 2017

Clearly Osisko Mining’s (TSX:OSK) not the only company attracting money to the region. BonTerra Resources’ (TSXV:BTR) private placement began with a $6-million offer early last month that was raised three times to close March 2 at $13.97 million. That’s not including a non-brokered $1.02 million expected to close mid-month.

BonTerra Resources closes $14-million bought deal to fund Windfall-area drilling

A fresh financing supports BonTerra’s quest for high-grade gold.

The news follows $82 million in financings that Osisko closed on February 28. BonTerra’s Gladiator project sits about six kilometres south of Windfall Lake, where Osisko’s high-grade gold has attracted a busy area play to the Abitibi’s Urban Barry greenstone belt. Among other companies in the area, Beaufield Resources TSXV:BFD closed a $6-million bought deal a week earlier.

Acting as lead underwriter for BonTerra was Sprott Capital Partners, a division of Sprott Private Wealth LP. Eric Sprott invested $3.89 million, raising his stake in BonTerra from 0.3% to about 10.3%.

Assays reported last month from Gladiator reached as high as 16.8 g/t gold over 3.8 metres, which followed a standout of 15.7 g/t over 8.5 metres released two days earlier. The company hopes to connect zones across a 1.2-kilometre potential strike and update the resource. The 2012 inferred category came to 905,000 tonnes averaging 9.37 g/t for 273,000 gold ounces at a 4 g/t cutoff. The deposit remains open in all directions.

BonTerra’s Larder Lake project in Ontario features two historic, non-43-101 resources: Bear Lake with 683,000 gold ounces inferred, and Cheminis with 43,800 gold ounces indicated and 233,400 ounces inferred. Larder Lake has a 43-101 underway, incorporating another 25,000 metres of drilling.

Read more about BonTerra Resources.

Saskatchewan and Manitoba first and second globally as mining jurisdictions

March 1st, 2017

by Greg Klein | March 1, 2017

Saskatchewan edged one notch upwards to take first place worldwide while Manitoba soared from 19th to second in this year’s Fraser Institute survey of mining and exploration jurisdictions. Those two provinces pushed last year’s top performer, Western Australia, down to third place. Canada’s other top 10 spot went to Quebec, rising to sixth from eighth the year before. All continents but Antarctica came under scrutiny but Canadian, American, Australian and European locales monopolized the top 10.

Farther down the list, the strongest Canadian improvements were Newfoundland and Labrador, climbing to 16th from 25th, and the Northwest Territories, now 21st, previously 35th. Most disappointing were British Columbia (falling to 27th from 18th), Nunavut (31st from 23rd) and Alberta (47th from 34th).

Those findings come from the survey’s Investment Attractiveness Index, which combines two other indices—Policy Perception, a “report card” on government attitudes, and Best Practices Mineral Potential, concerning geological appeal. Representatives of 104 companies responded with their 2016 experiences in mind, giving a numerical rating to questions in several categories regarding their likelihood of investing in a particular jurisdiction. The previous year 109 companies responded.

Here’s the top 10 globally for overall investment attractiveness, with last year’s standings in parentheses:

1 Saskatchewan (2)

2 Manitoba (19)

3 Western Australia (1)

4 Nevada (3)

5 Finland (5)

6 Quebec (8)

7 Arizona (17)

8 Sweden (13)

9 Ireland (4)

10 Queensland (16)

Here are the Canadian runners-up:

15 Yukon (12)

16 Newfoundland and Labrador (25)

18 Ontario (15)

21 Northwest Territories (35)

27 British Columbia (18)

31 Nunavut (23)

40 New Brunswick (45)

47 Alberta (34)

52 Nova Scotia (59)

At least those provinces and territories steered far clear of the bottom 10, where Argentina figures prominently:

95 Mozambique (84)

96 Zimbabwe (98)

97 India (73)

98 Mendoza province, Argentina (101)

99 La Rioja province, Argentina (109)

100 Afghanistan (not available)

101 Chubut province, Argentina (104)

102 Venezuela (108)

103 Neuquen province, Argentina (93)

104 Jujuy province, Argentina (86)

“We believe that the survey captures, at least in broad strokes, the perceptions of those involved in both mining and the regulation of mining in the jurisdictions included in the survey,” stated authors Taylor Jackson and Kenneth P. Green.

Download the Fraser Institute Annual Survey of Mining Companies 2016.

Pistol Bay Mining adds new property to Confederation Lake portfolio

February 16th, 2017

by Greg Klein | February 16, 2017

Pistol Bay Mining TSXV:PST hopes to unlock one of the puzzles of western Ontario’s Confederation Lake greenstone belt with its 100% option on the Joy North property. The 64-hectare claim lies contiguous with the company’s previously acquired Joy group of claims, which include five mineralized VMS zones. Pistol Bay’s Dixie zone is located about 11 kilometres east of Joy North.

Pistol Bay Mining adds new property to Confederation Lake portfolio

The new property covers a 1,000-metre-long conductive zone where a geochem survey found anomalous zinc, copper and gold. The conductor’s stronger areas also showed stronger magnetic responses.

In 1970 a single 48-metre hole found metavolcanic rocks with the intense alteration associated with volcanogenic massive sulphide deposits. The hole also revealed calc-silicate rocks “suggesting the property may lie at the same stratigraphic horizon as the Dixie zone,” Pistol Bay stated.

The previously acquired Joy group includes the Diamond Willow zone, with an historic, non-43-101 estimate of 270,000 tonnes averaging 4% zinc.

Past drilling highlights from the other four zones have included:

  • Joy Zone: 3.1% copper and 0.2% zinc over 5.7 metres
  • 4.01% copper and 0.17% zinc over 3.35 metres

  • Creek Zone: 2.33% copper and 0.27% zinc over 0.95 metres

  • South Zone: 0.28% copper and 17.17% zinc over 0.6 metres
  • 0.17% copper and 8.36% zinc over 0.25 metres

  • Caravelle Zone: 0.13% copper and 21.6% zinc over 0.25 metres
  • 0.22% copper and 4.44% zinc over 1.1 metres

The new acquisition “includes one of the very few electromagnetic anomalies in the prolifically mineralized Confederation Lake greenstone belt that has not been satisfactorily explained by diamond drilling,” commented CEO Charles Desjardins. The geochemical anomalies also “make it a prime exploration target,” he added.

Subject to approvals, Joy North’s price tag comes to a total of one million shares and $40,500 over four years. A 2% NSR applies, half of which may be bought back for $500,000 and the other half for $1.5 million. Pistol Bay must also drill at least two holes totalling 600 metres. The company intends to drill the project this year.

Last month Pistol Bay updated plans for a regional, multi-disciplinary approach to its Confederation Lake portfolio, which hosts properties that were previously explored by different companies in an inconsistent manner.

In Saskatchewan’s Athabasca Basin, Pistol Bay also holds the C4, C5 and C6 uranium properties, currently being drilled by a Rio Tinto NYSE:RIO subsidiary earning a 100% interest.

Two days before the Joy North announcement, the company appointed geologist Jody Dahrouge to its advisory board.

Read more about Pistol Bay Mining.

Pistol Bay Mining appoints Jody Dahrouge to advisory board

February 14th, 2017

by Greg Klein | February 14, 2017

Geologist Jody Dahrouge has joined Pistol Bay Mining TSXV:PST as an adviser, the company announced February 14. With a CV spanning over a quarter of a century in Canada and abroad, he brings a successful background in base metals, industrial minerals, rare metals and uranium exploration.

Pistol Bay Mining appoints Jody Dahrouge to advisory board

Jody Dahrouge

As president of Dahrouge Geological Consulting, he and his staff have worked with a broad range of exploration and mining companies. Until 2007, Dahrouge served as president/COO of Fission Energy, a predecessor of Fission Uranium TSX:FCU. While there he played a key role in the acquisition of Waterbury Lake and Patterson Lake South, both of which yielded significant discoveries. Dahrouge has also served as a director and VP of exploration for Commerce Resources TSXV:CCE since 2000.

“We are excited to be able to benefit from the knowledge and expertise of Mr. Dahrouge and look forward to working with him,” said Pistol Bay CEO Charles Desjardins.

Last month the company outlined plans for a regional and multi-disciplinary exploration approach to its Confederation Lake portfolio, the largest land package in the western Ontario greenstone belt. Pistol Bay expects to file a 43-101 technical report on Confederation Lake’s Arrow zone by mid-March.

In Saskatchewan’s Athabasca Basin, the company holds the C4, C5 and C6 uranium properties, now being drilled by a Rio Tinto NYSE:RIO subsidiary as it advances towards its 100% option.

Read more about Pistol Bay Mining.

Update: BonTerra Resources increases financings—again—to nearly $15 million

February 13th, 2017

by Greg Klein | February 13, 2017

What started as a $6-million bought deal for BonTerra Resources TSXV:BTR has been raised three times—twice in one day—for gross proceeds of $13.97 million, in addition to a non-brokered $1.02 million.

The company first announced the bought deal at $6 million on February 6. Just one day later the amount increased to $9.39 million. The morning of February 13, the bought deal hit $12.9 million as BonTerra also announced the non-brokered private placement. Hours later the $12.9 million got a “final” increase to $13.97 million. Gross proceeds of both offers come to $14,999,600.

Acting as lead underwriter will be Sprott Capital Partners, a division of Sprott Private Wealth LP, along with underwriter INFOR Financial Inc. The news comes as BonTerra readies a third rig for its Gladiator drill campaign in Quebec’s Abitibi region.

BonTerra Resources increases bought deal to $12.9 million, adds non-brokered $1 million

Additional financing will back BonTerra’s ambitious drill program.

The bought deal consists of 11 million flow-through shares at $0.35 and 36.16 million shares at $0.28. The non-brokered placement offers 3.66 million shares at $0.28. The parties anticipate closing by March 2.

On February 2 BonTerra released results from two holes drilled last year on Gladiator, which currently has two rigs busy and a third waiting to join in. Hole BA-16-47 intersected the project’s Main zone as well as a new zone south of the deposit, with highlights showing:

  • 5.6 g/t gold over 1 metre, starting at 254 metres in downhole depth (Main zone)

  • 2 g/t over 3 metres, starting at 376 metres (New zone)

BA-16-48 delivered these results:

  • 14.9 g/t gold over 1 metre, starting at 358 metres (Footwall zone)

  • 16.8 g/t over 3.8 metres, starting at 394 metres (Main zone)

True widths weren’t available.

Two days earlier the company released three intervals from this year’s first hole, with assays as high as 15.7 g/t over 8.5 metres. As the 25,000-metre program continues, BonTerra hopes to connect zones across a 1.2-kilometre potential strike.

A 2012 resource estimate used a 4 g/t cutoff to show an inferred 905,000 tonnes averaging 9.37 g/t for 273,000 ounces. An update could be completed this spring or summer.

BonTerra also holds the Larder Lake project in Ontario, which hosts two historic, non-43-101 deposits. The Bear Lake estimate came to 683,000 gold ounces inferred, while the Cheminis estimate showed 43,800 gold ounces indicated and 233,400 ounces inferred. With an additional 25,000 metres drilled by Gold Fields NYSE:GFI to consider, BonTerra has a new 43-101 in preparation.

Read more about BonTerra Resources.

Pistol Bay Mining CEO Charles Desjardins discusses the largest portfolio in Ontario’s Confederation Lake greenstone belt

February 10th, 2017

…Read more