Motherlode - June 1, 2005 - Chamber of Mines of Eastern BC

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MOTHER LODE
CHAMBER OF MINES OF EASTERN BRITISH COLUMBIA
A non-profit bureau of information providing authentic, reliable data to the
general public and the mining industry of Eastern British Columbia
215 Hall Street, Nelson, B.C. V1L 5X4
Phone: (250) 352-5242
[email protected]
NEWSLETTER
Note: The views of contributors to this newsletter do not necessarily reflect the views of the Chamber
June 2005
PRESIDENT’S REPORT by Al Gerun
After our last monthly Director’s meeting, Norman Ringstad, former Director of Mining for Environmental
Assessment for the province of B.C., and consultant to the BC and Yukon Chamber of Mines (BCYCM) and Bob
Cox of the Ministry of Water Land and Air Protection (WLAP) outlined the draft document “Best Management
Practices for Mineral Exploration - Draft”. They are looking for comments/input regarding the document (BMP).
This document is a product of the most recent MX Code review that recommended parts of the Code be removed
and replaced with suggested BMP, as a move towards a results based approach. Bob Cox has been working for the
past 3 years to revise the MX code because it was found to be too prescriptive. In my opinion, “results based” is
the bureaucratic buzz word for a Practical or Hands On concept of getting things done.
The suggested practices outlined in this draft are designed to guide companies and individuals in the planning for,
and implementation of, exploration activities and to ensure compliance with government regulation to protect
worker health & safety and the environment. This draft document is a compilation of the current approaches and
practices developed by industry and presently being practiced, and from a review of practices, guidelines and
approaches from other resource jurisdictions. Combined, they have been scoped to cover the particular activities
associated with mineral exploration and are a synthesis of the current best information available. It should be
noted that this draft BMP covers only Part 9 of the Health & Safety and Reclamation Code and “exploration
activities” are subject to all applicable sections of the Code. The BMP covers up to but does not include Bulk
Sample activities. If you wish a copy, please request by email to our Chamber. The electronic version is available
in PDF format and is about 3.5Mb. I urge everyone who is planning to carry out mineral exploration work this
year to review the document. You will find the content quite useful in many aspects.
Also, the BCYCM is requesting comments and suggestions in order to assist government in finalizing the
recommended practices, based on tried methods and experience of those working in the field. In order to focus the
review, the following questions are suggested to guide your review:
1. Do you agree with the term “Best Management Practices” to describe the activities to be undertaken to meet the
MX Code, or can you suggest a more appropriate term to describe the practices?
2. Do the recommended practices include the most appropriate means by which to ensure worker health and
safety and environmental protection, based on your field experience and practice?
3. If, so do you agree that they are routinely achievable and practicable?
4. Are there practices missing or that you can suggest would compliment or improve those outlined, and which will
still meet the MX Code and other regulations.
5. Do you agree that a scaled down field type manual outlining the key points of each activity would be useful to
give to contractors to carry in the field?
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If you have any comments or require assistance, you can reach Norm directly at (250)213-8086 or by
e-mail at [email protected]. The deadline for is early June with the final recommendations going to Government
no later than June 15, 2005.
Following are some of the comments and concerns regarding the draft BMP that were made during the May 19th
workshop at the Chamber of Mines of Eastern BC in Nelson:
* In response to question no.1, the term “Field Handbook” was thought to be the best choice because the term
Guidelines tends to suggest regulation binding.
* There are several useful checklists and “memory Joggers” included in the BMP document which could help
when completing Notices of Work etc.
* Following the guidelines in the BMP would be due diligence support if things go wrong or if one is questioned
regarding ones activities especially when confronted with liability issues. When things go wrong, rather than being
confronted with a liability threat, you may be asked to simply fix the situation because you have demonstrated that
you have done the best you can and you can point out that you have followed the BMP.
* The permitting regime is changing and hopefully moving toward fewer referrals to other agencies outside of the
Mines Ministry. The BMP techniques would help minimize the referral process.
* The contents of the BMP handbook is intended to be practicable and workable, if it isn’t, then no one will use it.
* There is a commitment to keeping the BMP document current. There are not only changes in practices and
techniques but there are legislation and policy changes that must be accommodated. Therefore, the document may
not be published in hardcopy format, but only in the electronic format with one current version on a website.
* Guidelines for Mineral Exploration is mentioned in the Mining Plan and is part of the Mining Plan.
* There is a move in the first world countries toward excellence in the administration of their Public Lands.
* Balance must be considered when using the term “best” management or should another term such as
“acceptable” or “appropriate” be used. There are certain people within government that may interpret certain
actions within their own personal views and there is no provision for dispute resolution in many cases.
The concept of a BMP document was thought to be very useful by most who attended the workshop. I again urge
everyone to take a look at this document and if you have any concerns or input, please make them known to Norm
Ringstad as soon as possible.
In finishing I would like to commend Steve Wuschke, Fred Hermann, Bob Cox , Norm Ringstad and Ministry Staff
for recognizing the need and importance of the BMP initiative and their contributions towards what I think will be
a very useful document.
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May 05, 2005; Operating Permit Approved by BC Mines Branch for Goldstream Custom
Mineral Processing Plant
Vancouver, Canada – Mr. Ronald Coombes, President of Orphan Boy Resources Inc.
(TSX.V:ORS) (the “Company”) is pleased to report that the British Columbia Ministry of Energy
& Mines has approved the Company’s “Application for the Amendment of Permit M-147 to Facilitate
Operation of the Goldstream Mill as a Custom Mineral Processing Plant at up to 1,360 Metric Dry Tons per
Day”. The Permit allows the Company to process ores from any number of offsite mineral deposits and to store
the residue at the Goldstream Tailings Management Facility. Industry standard reporting and environmental
monitoring procedures continue to form a part of the Permit, and additional reclamation security of
CDN$629,000 will be posted by the Company over a four year period ending December 30, 2008 ($50,000 by
December 30, 2005). http://www.orphanboy.com
May 31, 2005;
SULTAN MINERALS COMMENCES UNDERGROUND DRILL
PROGRAM ON THE JERSEY MOLYBDENUM & TUNGSTEN PROPERTY, B.C.
Sultan Minerals Inc. (TSX-V –
SUL) (“Sultan”) is pleased to
report that a 250-metre diamond
drill contract has been signed with Aggressive
Diamond Drilling Ltd. of Kelowna, B.C. for
the Company’s Jersey-Emerald Molybdenum
Property, located near Salmo in southeastern
British Columbia, Canada.
As noted in prior news releases, mine records
report that during the development of the East
Dodger mine in the 1970s, molybdenum
mineralization was discovered both in
development work and also in diamond drill
core. The best exposure of this mineralization
is in the Dodger 4200 Drift North (Dodger
42DrN). Mapping of this drift revealed molybdenite in a stockwork of east-west and north-south trending
quartz veins for the entire distance that the drift was in intrusive; about 330 metres.
http://www.sultanminerals.com/s/Home.asp
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May 26, 2005;
FJORDLAND COMMENCES 2005
EXPLORATION PROGRAM AT WOODJAM PROJECT
Fjordland Exploration Inc. has commenced the first phase 2005
exploration program on the Woodjam gold-copper project. An extensive
soil sampling and drill program will test multiple zones with prominent soil and induced polarization (IP)
anomalies. Currently a soil sampling program is under way in three zones of previously untested IP anomalies.
In early June, a first-phase 21-hole reconnaissance reverse-circulation (RC) drilling program will begin totalling
approximately 3,700 metres of drilling from four zones. The majority of the drilling will be within the Takom
zone to test a strong, well-defined two-kilometre by one-kilometre copper in-soil anomaly that coincides within
a larger IP anomaly. This highly anomalous zone is defined by copper values ranging from 50 parts per million
to values greater than 10,000 parts per million. http://www.fjordlandex.com/
May 16th, 2005; Skygold and Wildrose Commence Drilling On Spanish
Mountain Project
Skygold Ventures Ltd. (SKV-TSXV) and Wildrose Resources Ltd. (WRS- TSXV) are pleased to announce
the commencement of drilling on the Spanish Mountain gold project located in the Cariboo region of B.C. A
large-diameter high-powered reverse circulation rig has been engaged for a first phase drill program.
Approximately 20 holes are targeted to confirm and expand numerous zones of mineralization with varying
styles of gold deposition.
A detailed compilation and interpretation of previous work including over 130 drill holes and several kilometres
of trenching within a two square km geochemical anomaly has indicated an exciting potential to prove the
continuity of each of the zones of mineralization. To date, the findings have indicated that there are at least five
major interconnected separate zones to the mineralizing system. The current program is designed to confirm,
expand and demonstrate the continuity of these zones each of which remains open in all directions.
HIGH GRADE STRUCTURAL FEEDERS http://www.eastfieldgroup.com/wildrose/nr05-05-16.html
A series of high-grade quartz-vein-filled structures has been intercepted by dozens of holes. These can be highangle or flat-lying structures and have produced bonanza gold grades in both drilling and excavations. Multiple
high angle structures trending NNE and NNW cut across all stratigraphic units and can dip easterly or westerly.
Individual structures have already been identified over several hundred metres of strike length and remain open
in all directions. A sampling of these intercepts is provided in Table 1. At least five holes are planned to confirm
the strike and dip of these important structures.
Hole Number
MR-32
MR-25
MR-24
MR-15
incl
DDH-87-200
R-88-110
R-88-112
MR-7
incl
MR-11
MR-20
MR-35
incl
Interval in Metres
21.0 to 24.0
8.0 to 10.0
40.0 to 44.0
11.0 to 31.0
18.0 to 22.0
43.36 to 47.36
39.0 to 42.0
17.0 to 27.0
23.0 to 50.0
39.0 to 44.0
4.0 to 25.0
45.0 to 58.0
51.0 to 72.0
58.0 to 65.0
Intercept Width (M)
3
2
4
20
4
4
3
10
27
5
21
13
21
7
Gold Grade
60.07 gpt
104.49 gpt
13.11 gpt
2.92 gpt
8.43 gpt
6.39 gpt
9.26 gpt
29.06 gpt
6.30 gpt
14.55 gpt
3.42 gpt
12.32 gpt
4.80 gpt
11.07 gpt
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May 10, 2005; MAX Molybdenum Project: Underground
Infill Drill Program Begins
Roca Mines Inc. ("the Company") announces that, further to
its news release dated March 16, 2005, an underground infill
diamond drill program has now commenced at the MAX
Molybdenum Project.
The Company has conducted portal and underground
rehabilitation work at the site and has installed a new
ventilation system to facilitate entry to the deposit and
working areas. Overall conditions underground are excellent
and a complete 36" gauge rail network and
other facilities underground are in good
working order.
The infill drill program is intended to bring
sampling in the measured resource of 260,000
tonnes grading 1.95% MoS2 (at a 1.00% MoS2 cutoff, see
news release ROK #16-04 dated September 21, 2004) to
approximately 20 metre spacing. The results of the drill
program will provide the basis for the final design of a decline
ramp and stopes for production planning. Composite samples
from a crosscut through the deposit are also being prepared
for metallurgical testing and process optimization.
http://www.rocamines.com/s/Home.asp
May 24, 2005;
MERIT RESUMES DRILLING TO EXPAND THE LEXINGTON GOLD-COPPER
RESOURCE BASE
Merit Mining Corp. has resumed drilling on the Lexington property near Greenwood, B.C., as a follow-up to
the successful expansion of the Grenoble deposit in 2004. The 2005 phase 1 diamond drilling program will be
composed of 3,500 metres aimed at broader step-outs from known mineralization.
In Stockwatch April 19, 2005, the company reported an updated independent resource estimate on the
company's Grenoble deposit, prepared by Snowden Mining Industry Consultants Inc., which included the 2004
diamond drill results (NR 05-07). The new resource estimate showed an increase over the previous resource
estimate of 77 per cent contained gold equivalent ounces in the indicated resource category on the Grenoble
deposit, with a corresponding 116-per-cent gain in tonnage, based on a cut-off of six grams per tonne gold
equivalent. The Snowden technical report was filed on SEDAR on May 16, 2005.
The Grenoble deposit remains open, principally along its length to the southeast. In addition, previous drilling
suggests the presence of up-dip subparallel zones. To help identify broader step-out drill targets, the company
has just completed a 1.5-by-1.2-kilometre ground induced polarization geophysical survey centred over highly
favourable geology that could host more Grenoble-style mineralization. Data are now being compiled and
interpretations are pending. The broader drill pattern is aimed at enhancing the growth of the resource base on
Lexington. http://www.meritminingcorp.com/
MINING: GOOD NEIGHBOUR AND PROVIDER TO THE WORLD
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JSP (TSX-V) May 25, 2005;
JASPER MINING CORPORATION ANNOUNCES COMPLETION OF
AIRBORNE GEOPHYSICAL SURVEY. ADDITIONAL TENURES ACQUIRED AS A RESULT
Jasper Mining Corp. is very encouraged and excited by the preliminary results of its airborne geophysical
survey carried out on its Vowell Creek property.
On approximately May 10, 2005, the airborne geophysical survey contracted to Fugro Airborne Surveys on the
company's Vowell Creek property was completed. The property is located approximately 30 kilometres
southwest of Golden, B.C. The company has previously undertaken field programs designed to evaluate specific
areas on the property, specifically the LCP zone and the area surrounding the former Ruth-Vermont mine (a
past producer). Diamond drilling was completed on these areas on behalf of the company in 1996, 2000, 2003
and 2004. Subsurface results from these programs permit the results of the airborne survey to be evaluated with
regard to known mineralization.
http://www.sedar.com/csfsprod/data57/filings/00788065/00000001/C%3A%5Cdata%5C2005%5Cjspnrm
y2.pdf
May 25, 2005; DRILLING UNDERWAY AT SILVER COIN
Pinnacle Mines Ltd. and Mountain Boy Minerals Ltd. report that the 2005 program of drilling
and trenching on the Companys’ Silver Coin project in Northwest British Columbia is well
underway. The first drill setup was below the Granduc access road, down hill from last year’s
drilling on the Perseverance zone, on a zone identified by a 1982 trench that yielded 12.1 grams/tonne gold, 222
grams/tonne silver, 1.46 % copper, 2.95 % lead and 8.19 % zinc over 11 meters. The zone consists of silicified
trachyte mineralized with coarse pyrite, sphalerite, galena and chalcopyrite. Three attempts at drilling in this
area failed to penetrate this zone due to bad ground. Drilling was from north toward the south. Drilling from the
south toward the north was not possible due to an avalanche danger. This area will be followed up later in the
year when the area is free of snow.
The second setup, DDH 2005-43, tested below DDH 2004-34 in order to determine potential depth, width and
geometry of the mineralized zones outlined in the 2004 drilling. The mineralized zone was encountered at 79
metres and continued to 195 metres. The zone consists of breciated silicified trachyte volcanic tuffs and minor
granodiorite, carrying variable amounts of sphalerite, galena, pyrite, chalcopyrite and in one location, minor
visible gold. Drilling is now continuing with DDH 2005-44, collared 50 metres south of DDH 2005-43 and
within the property boundary of the Kansas claim. The Companies anticipate drilling two holes from this
location followed by drilling on 75 to 100 metre step-outs to the south and later to the north. (see attached map).
http://www.pinnaclemines.com
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May 09, 2005: Eagle Plains Commences Drill Program on Sphinx Molybdenum
Project, South-eastern B.C., Canada - Bulk- Mineable Molybdenum Resource
Targeted
Eagle Plains Resources Ltd. (EPL: TSX-V) has commenced a 10-hole, 2000m diamond drilling program on
its 100% controlled Sphinx property, located 60 km west of Kimberley, BC. The claims consist of a total area of
2500 ha, with 1600 ha acquired by staking by EPL and 900 ha subject to an option to earn 100% interest (less
1% NSR) from arms-length individuals.
Infrastructure
The claims are ideally located with respect to local infrastructure. The property is road-accessible, has been
logged extensively and is situated along a high-voltage hydro-electric line. Rail facilities are located 60km east
of the property.
History
The project area was first identified by Cominco Ltd. in 1978, which carried out surface work and limited
diamond drilling from 1978 to 1984. Cominco completed a soil geochemical survey which resulted in the
delineation of a 1700m x 500m tungsten-moly anomaly. 4-6 drill holes were completed, but no results were
released. In 1997, Barkhor Resources drilled 10 holes into the soil anomaly and encountered significant
mineralization over a 1000m x 300m area. Results from only one hole were ever released (DDH JI97-06), but a
private consultant reported that “typical drill intersections are averaging 0.03-0.038% Mo over core lengths
ranging from 90 to 230m”. At the time of the Barkhor drill program, molybdenum sold for $ 5.00 US per
pound, with the metal currently priced at $34.00 US per pound. http://www.eagleplains.ca
MINING: GOOD NEIGHBOUR AND PROVIDER TO THE WORLD
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May 6, 2005; SUCCESSFUL PROSPECTING PROGRAM
Klondike Gold Corp. wishes to announce the results of sampling of one of their new gold prospects, Char
Creek. In addition to Klondike Gold Corp.’s active development projects – the Klondike Gold Project near
Dawson City, YK, the Slocan Silver Project at Sandon, BC, and the Sullivan Project near Cranbrook, BC Klondike conducts an aggressive Prospecting Program that is yielding encouraging results, including
acquisition of Char Creek.
During the 2003-2004 Prospecting Program, six new gold prospects were acquired, mainly through staking
following grass-roots prospecting. Results of initial sampling of these prospects will be released shortly. One
of these, Char Creek, was staked by M. and S. Kennedy in July, 2004. It is located at the southern end of the
Kootenay Arc structural zone, approximately 33 km west of Creston in southeastern British Columbia. The
Bayonne mine, a past-producing gold-silver deposit, is located 8 km to the north.
Char Creek is northwest-trending mineralized structure that has been traced on the property for 1.2 km.
Mineralization consists of limonite, pyrite, with minor galena, chalcopyrite, arsenopyrite, pyrrhotite and visible
gold. The structure varies in width and character along a strike. At the northern end, it has a width of over 10
m with quartz veins up to 75 cm wide. At the south end it consists of a continuous quartz vein over 1 m wide.
EW trending fractures and quartz veins containing galena and chalcopyrite cut both zones.
http://www.klondikegoldcorp.com/
May 09, 2005; SIGNIFICANT
POLYMETALLIC TARGET
IDENTIFIED AT THE RAIN
PROPERTY
Mr. Ronald A. Coombes, President and CEO of
Orphan Boy Resources Inc., (TSX.V-ORS), is
pleased to report that Integrex Engineering has
identified a significant soil geochemical anomaly on
the Company’s Rain Property. The Rain Property is
located near the Goldstream Custom Processing Plant
in SE British Columbia.
The soil anomaly is comprised of elevated copper,
lead, zinc, gold, silver, molybdenum and tungsten.
The Alfie exposure flanks the geochemical anomaly;
both are located on a moderately sloping hillside. The
previously reported Alfie outcrop (NR-04-30)
returned 15% lead, 7% zinc, 3.5 gpmt gold and 300
gpmt silver over a channel-sampled exposed width of
2.3 metres. The soil survey was conducted over a line
grid with line spacing of 50 metres and samples were
collected from the B-Horizon every 25 metres along
the grid lines. A recent data compilation has revealed
that a dense cluster of anomalous samples fall within
a footprint of about 250 meters by 200 meters.
http://www.orphanboy.com/
MINING: GOOD NEIGHBOUR AND PROVIDER TO THE WORLD
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PARADISE MINE by Barney Ross
In the Summer of 1944 about 6 of us from Sheep Creek Gold Mines went to check out the Paradise Mine up
Tobey Creek out of Invermere. First we had to pump out an inclined shaft. Sitting there by myself for 12 hours
on night shift shile lowering the sump pump. It was a bit spooky after the shaft was pumped out a diamond drill
was set up. As the ground was badly broken up the driller couldn’t obtain any good core. So the company gave
it up and a few years later opened the Mineral King Mine not too far from the Paradise.
ITEMS FOR SALE
Canon FAX-L775 – Laser Fax
Canon FAX B640 – BubbleJet Fax
Panasonic KX-F170
Internal CD Reader Drive
Scanmagic 4800P Flatbed Scanner
Humor -
Paul Gergely
My friend’s husband always teases her about her lack of
interest in household chores. One day he came home with a
gag gift, a refrigerator magnet that read: “Martha Stewart
doesn’t live here.” The next day he came home to find the
magnet holding up a slip of paper. The Note read: “Neither
does Bob Vila.”
CHAMBER REPORT: We are pleased to announce the appointment of MaryAnn Keller to the
position of Office Administrator at our Chamber. MaryAnn is recently engaged and moved to the
Nelson area to be with her fiancé. She comes to Nelson from Vancouver Island. Her enjoys
golfing, computers, boating, gardening, driving a tractor (tractor + creek = bad). She likes flowers,
wine and gemstones (especially diamonds). She is also busy learning Spanish and looks forward to
learning more about the history of the Kootenays. MaryAnn sees the Chamber is a valuable
resource to the community and looks forward to meeting new people and learning about the mining
industry while in this position. If you haven’t been to the Chamber lately, please drop by to meet MaryAnn and welcome
her to our organization. Note that our new office hours are 9 AM to 3 PM - Monday to Friday.
MINING: GOOD NEIGHBOUR AND PROVIDER TO THE WORLD
Page 10 of 10
George G. Addie, P.Eng. F.G.A.C.
“Predictive Geology”
604 – 3rd Street, Nelson, BC V1L 2P9
Phone: (250) 352-2832
FOR HIRE KOBELCO 905 (150)
Excavator, Drill Pads, Trenching
Dennis Beaulieu
Phone (250) 365-0841
MURRAY GEOLOGICAL SERVICES
John Murray
Ph. (250) 352-2569 Fax: (250)352-4641
Email: [email protected]
MINING: GOOD NEIGHBOUR AND PROVIDER TO THE WORLD