May 3 2017
MacDonald Mines Exploration Ltd. announces that it has contracted Golder Associates Ltd. to recommend minimum sample spacing requirements to support the eventual completion of a NI43-101 Inferred Resource estimate of the Oxide Sands at the Wawa-Holdsworth Project.
Quentin Yarie, MacDonald's President and CEO commented: "We've identified the Oxide Sands at our Wawa-Holdsworth Project as a near-term exploitation target. As we prepare to initiate our sampling program, Golder's input will ensure that the results obtained are suitable for the preparation of a 43-101 Inferred Resource estimate."
Golder will use the MacDonald's data, the exploration level NI 43-101 Technical Report completed in December 20161, and sample spacing data from other similar mineral sand-hosted deposits to compile its recommendation. Golder's study is expected to be completed by mid-May.
Metals Investor Forum
MacDonald Mines will be presenting at the upcoming Metals Investor Forum hosted by newsletter editors Eric Coffin (HRA Advisories), Joe Mazumdar (Exploration Insights), Jay Taylor (J. Taylor's Gold, Energy & Tech Stocks), John Kaiser (KaiserResearch.com), Jordan Roy-Byrne (The Daily Gold) and Gwen Preston (Resource Maven). The Forum showcases a vetted and curated list of companies followed by one or more of the newsletter editors that host it. The event takes place in Vancouver May 5-6, 2017. To learn more about the Metals Investor Forum, visit www.metalsinvestorforum.com.
Wawa-Holdsworth Project Highlights
- Approximately 285 hectares, 20 kilometres northeast of the town of Wawa
- 18 fee simple absolute patented claims, includes surface and mining rights
- Neighbouring Argonaut's Magino Gold Project2 & Richmont's Island Gold Mine3
- Numerous gold showings with diversified mineralization styles occurring in a 500 metres-wide deformation corridor
- Year-long road access and easy access to rail, road, electrical power, labour force and suppliers
Overview of the Wawa-Holdsworth Project
Historic work by previous operators defined three gold targets on the Wawa-Holdsworth Project:
- Greenstone-hosted quartz-carbonate vein deposit (Soocana Vein System);
- BIF-hosted gold deposits (gold-bearing pyrite zones in an Algoma-type iron formation);
- Gold-bearing Oxide Sands developed from the weathering of the auriferous Pyrite Zones.
MacDonald Mines has identified the Oxide Sands as a short-term target for gold production. The Oxide Sands are interpreted to be derived from the weathering of an auriferous and pyritized Algoma-type iron formation that, so far, has been traced on the property over a 2 km-long strike length. The mineralized sands appear to reach a depth of at least 8 metres.
In 2002, a detailed and systematic sampling of the Oxide Sands was conducted over a strike length of 332.5 metres. A composite of 23 panels over the 332.5 metres returned an average gold grade of 3.45 g/t and an average silver grade of 29.99 g/t4. Preliminary metallurgical testing conducted by previous operators on composite samples recovered, without crushing, between 69% and 98.7 % gold.
Earlier this year, MacDonald Mines launched a trenching program to map and confirm the Oxide Sands' strike length and thickness. The Company also initiated a bulk sampling program and commenced metallurgical testing of the Oxide Sands to achieve the highest possible gold and silver recovery.
The soft and relatively unconsolidated oxide sands material appears to be amenable to being extracted like an aggregate. The area's shallow overburden, the proximity to labour and equipment and the easy access to the site should result in very inexpensive mining costs should the Company delineate a large enough deposit.
Following spring breakup, the Company will ramp up its sampling program to better define the Oxide Sands and will continue to prepare for their potential extraction. The near-term exploitation of the Oxide Sands will provide the Company with good cash flow to further advance exploration of the other gold targets on the property.
Qualified Person
Quentin Yarie, P Geo. is the qualified person responsible for preparing, supervising and approving the scientific and technical content of this news release.
Source: http://www.macdonaldmines.com/