CHALICE MINING LIMITED ABN 47 116 648 956
-
Re-logging of 771 diamond drill holes (102,000m of drilling) completed across the existing Cameron deposit at Chalice's 100%-owned Cameron Gold Project in Ontario, Canada with an additional 30,000 samples to be added to a new resource model.
-
New geology model (lithology, alteration and shearing) under construction with an updated mineral resource estimate on track to be finalised in Q4 2015.
-
Rock chip litho-geochemistry completed across entire land holding at Cameron, with 12 near-mine targets trenched, mapped and sampled.
-
Maiden mineral resource estimate nearing completion for the Croteau Est prospect, part of the joint venture with Northern Superior Resources following infill and exploration drilling during the Quarter.
-
Chalice continues to target additional high-potential opportunities in the region and elsewhere.
- Chalice's balance sheet remains strong with cash of ~A$40.6M at 30 September 2015 with a further US$2M deferred consideration becoming due and receivable from the sale of the Zara Project in ~late 2015.
Chalice Gold Mines Limited (ASX: CHN, TSX: CXN - 'Chalice' or 'the Company') is pleased to report on an active period during the September Quarter, during which it carried out work on a number of fronts to progress and de-risk it's 100%- owned Cameron Gold Project in Ontario, Canada ('Cameron').
A key focus of activity was to re-log 771 surface and underground diamond drill holes (102,000m) which have been completed historically at the Cameron deposit, as well as to assay an additional 30,000 samples from within and immediately adjacent to the existing mineralisation. This work paves the way for an updated mineral resource estimate in Q4 2015. The progression of a Preliminary Economic Assessment will be subject to the results of the updated mineral resource for the Project.
The Company also ramped up near-mine exploration activity at Cameron during the Quarter which included an initial testing of 12 near-mine targets and completion of a significant regional geochemical sampling exercise. Assay results are pending.
First-pass exploration and resource definition drilling was also completed at the Croteau Est prospect, part of a joint venture with Northern Superior Resources in Quebec, with an initial mineral resource estimate and geological model currently being finalized on the CBSZ prospect and also due for release in the December 2015 Quarter.
Chalice's strategy is to pursue opportunities to advance the Cameron Gold Project - positioning it to take advantage of the strengthening Canadian Dollar gold price - while at the same time seeking opportunities both in the region and further afield in targeted jurisdictions to acquire advanced resource assets.
The Cameron Gold Project is an advanced resource project located in the highly mineralised southern part of western Ontario in Canada, approximately 80km south-east of the town of Kenora. The Project has a number of attractive attributes, including good grades, low political risk in a mature mining jurisdiction with low costs, conventional metallurgy, and a mid-sized gold project that is well within Chalice's funding and development capability.
During the Quarter, the Company's geological team re-logged approximately 102,000m of historical surface and underground diamond drill core (771 holes) for the Cameron deposit, from immediately south of the existing resource, through the resource itself, and extending to approximately 200m north of the deposit.
A new geological model has been constructed for lithology, alteration, structure and mineralisation. In addition to the re-logging exercise, approximately 30,000 new samples were collected from within or immediately adjacent to the known mineralisation and have been added to the mineralisation model. The new model will form the basis of the updated mineral resource, which will be published in Q4 2015.
As the results of this program are currently being compiled and a new mineral resource estimate is currently in progress, the impact on the previously disclosed mineral resources (refer Appendix 1) cannot be determined until this revised mineral resource estimate is complete.
2
Exploration ActivitiesThe exploration field season at Cameron commenced during the Quarter following a disciplined target generation and ranking exercise. A total of 12 high priority near-mine targets with co-incidental geochemical (MMI, rock chips, till), aeromagnetic and previous drill anomalism were stripped, mapped and channel sampled (Figure 2). Final assays are awaited. Several quartz-carbonate altered shear zones were identified in the trenches.
The near-mine targets have the potential to increase open pittable ounces within economic haulage distance of the Cameron mine.
3
Regional rock chip sampling was completed on an approximate 400m x 400m grid for multi-element litho-geochemical analysis (Figure 3). The results are being compiled over existing and newly acquired tenure. In addition, three detailed MMI soil grids were also completed (Figure 4). Again results are being compiled.
The litho-geochemistry and MMI samples are expected to form the basis for follow-up trenching and/or drilling during the 2016 field season.
4
|
distributed by
|
