Engineering & Mining Journal

JUN 2019

Engineering and Mining Journal - Whether the market is copper, gold, nickel, iron ore, lead/zinc, PGM, diamonds or other commodities, E&MJ takes the lead in projecting trends, following development and reporting on the most efficient operating pr

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REGIONAL NEWS - EXPLORATION ROUNDUP 36 E&MJ • JUNE 2019 www.e-mj.com Osisko Drilling Canada's Longest Diamond Drill Hole Osisko Mining has initiated what is planned to be Canada's longest diamond drill hole, "Deep Discovery 1," at its 100% owned Windfall Lake gold project in the Abitibi greenstone belt of Quebec. The hole is designed to test Osisko's in- trusion-associated geological model for the Windfall deposit, following on the success of previous deep drill holes. Deep Discovery 1 will investigate po- tential depth extensions of known miner- alized zones on its path to the principal exploration target, the interpreted outer shell and center of a possible porphyry in- trusion at depths of approximately 3,000 meters (m) to 3,500 m from surface. Major Drilling Group International is drill- ing the hole using its EF-100 deep drill rig. The company anticipates that the hole will take approximately six months to complete. Osisko is also conducting preliminary work on the potential use of high-defini- tion seismic techniques to identify deep gold-bearing structures and potentially di- rectly detect certain styles of mineraliza- tion in and around the Windfall and Lynx deposits. HiSeis Pty of Perth, Australia, has been contracted by Osisko to evaluate the applicability of their data acquisition equipment and innovative data-process- ing algorithms to the Windfall system. Osisko President and CEO John Burzynski said, "We are very excited to continue ground-breaking exploration in and around Windfall. Deep Discovery 1 presents an opportunity to test the deep porphyry intrusion model that we believe is the driver of the Windfall system. "The potential application of seismic techniques would be an innovative addi- tion to the successful recent definition of new targets we achieved through the use of downhole geophysics. We remain con- vinced that as we continue deep explora- tion, Windfall will grow to join the ranks of world-class, high-grade, long-life under- ground mines in the Canadian Archean." (www.siskomining.com) Exploration Briefs Newcrest Operations Ltd. has begun drilling at Greatland Gold's Havieron gold-copper project in the Paterson region of Western Australia. The initial program is planned at about 10,000 meters (m) of drilling to define the extent of mineral- ization along strike and at depth, testing the system to a depth of 1,000 m below surface. All drilling is being carried out at Newcrest's expense. Newcrest has the right to acquire up to a 70% interest in a 12-block area that covers the Havieron target by spending up to US$65 million on project exploration and development. The Havieron prospect is located 45 kilometers (km) east of Newcrest's Telfer gold mine and 500 km east of rail and port infrastructure at Port Hedland. The farm-in agreement reflects the intention of both companies that, subject to a pos- itive feasibility study, ore from Havieron will be toll processed at Telfer. "It is an exciting moment for Greatland as Newcrest embarks on its first drill pro- gram at our cornerstone Havieron gold-cop- per project," Greatland Gold CEO Gervaise Heddle said. "The initial 10,000-m pro- gram is the most extensive at Havieron to date, and we anticipate that Newcrest's technical expertise and understanding of the local geology will build upon our highly successful 2018 program." (greatlandgold.com) has reported new high- grade drill intercepts from underground exploration drilling within the South Mine Complex (SMC) at its Macassa mine in Kirkland Lake, Ontario. The new results are drawn from 73 drill holes totaling 29,643 m of underground drilling from the east and west exploration drifts on the mine's 5300-ft level, as well as from ramp development on the 5700-ft level. The recent underground exploration drilling at Macassa has utilized three drill rigs to focus on four main target areas: SMC East, SMC West, Lower SMC and the Amalgamated Break. Numerous inter- cepts are reported at grades of more than 100/grams (g) mt, including a 2-m (core- length) intercept grading a spectacular 4,772.2 g/mt. Underground development on the 5300 level will be ongoing throughout 2019 and is scheduled to include 350 m of advance to the east and 429 m of advance to the west, including all track development and the excavation of diamond drill bays. This development is part of an ongoing effort to expand the SMC in all directions and to test for and define new target areas. Kirkland Lake President and CEO Tony Makuch said, "Today's results highlight what we have often said, that while Macas- sa is a historic mine, it is a modern opera- tion, with high-grade, low-cost production and substantial exploration potential that will support mining well into the future." (www.klgold.com) Prodigy Gold has signed a binding explora- tion farm-in and joint-venture agreement with Newmont Exploration to advance exploration at Prodigy's Tobruk gold proj- ect in Australia's Northern Territory. The project covers prospective Tanami group rocks, which also host Newmont Gold- corp's Tanami mine and several smaller deposits. The project's potential for dis- covery of a significant new gold deposit is further enhanced by having an analogous structural setting to known Tanami depos- its, including tightly folded stratigraphy, TransTanami parallel faults, and drill-de- fined anomalous geochemistry positioned on the margins of magnetic features. Newmont Goldcorp can earn a 51% interest in the project by spending A$6 million on exploration over a period of four years. Newmont Goldcorp will be manager of the project. Under Phase 2 of the agreement, Newmont Goldcorp may increase its in- terest to 70% by spending an additional A$6 million on exploration within three years from electing to begin Phase 2 or defining a JORC-compliant resource of more than 500,000 oz. Permitting of heritage clearances is under way. Geochemistry and detailed geophysics are planned to begin soon, with diamond drilling scheduled to begin later in 2019. (www.prodigygold.com.au)

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