TORONTO, April 8, 2014 /CNW/ - Temex Resources Corp. (TSX-V: TME, FWB: TQ1) ("Temex" or "the Company") announces that it has commenced a 3,000 metre diamond drill campaign on the Whitney Gold Project (the "Project" or the "Property") located in Timmins, Ontario. The Project is operated by Temex under a joint venture with Goldcorp Canada Ltd. ("Goldcorp").
This drill campaign is a key component of the 2014 Work Program (the "Work Program" or "Program"), unanimously approved by the management committee of the joint venture in late January. The Work Program was developed as a result of the updated NI 43-101 resource (news release January 14, 2014) on the Upper Whitney which includes the past producing Upper Hallnor and Broulan Reef Mines. The resource study demonstrated that the high grade gold resources are potentially amenable to underground and selective open pit mining methods. The resource on a 100% basis is summarized as follows:
3.0 g/t gold cut-off grade
- Measured + Indicated: 708,600 ounces gold at 6.85 g/t gold contained in 3.2 M tonnes
- Inferred: 170,700 ounces gold at 5.34 g/t gold contained in 1.0 M tonnes
5.0 g/t gold cut-off grade
- Measured + Indicated: 502,200 ounces gold at 10.12 g/t gold contained in 1.5 M tonnes
- Inferred: 88,700 ounces gold at 8.50 g/t gold contained in 0.3 M tonnes
The 2014 Work Program, with a $3.5 M budget, will set the stage for an advanced exploration bulk sample program, planned to begin in 2015 and which management currently believes will be comprised of a small open pit and underground plan. The results of the current Program will be incorporated into a preliminary economic assessment ("PEA") for the Upper Whitney portion of the Project. Additionally, the Work Program will evaluate available data for an initial resource estimate on the lower portion of the Whitney Project (the "Lower Whitney") which includes the Lower Hallnor and Lower Broulan Reef Mines.
Ian Campbell, President and CEO of Temex Resources Corp., commented, "The Whitney Gold Project contains an excellent combination of being in a premier location, having near surface high grade gold resources and anticipated low capital costs. These attributes have given us the confidence to move the project to the permitting stage. Funding is in place and we are focused on carrying out the necessary work to complete a PEA later this year, followed by an advanced exploration program beginning in the first half of 2015. We are also excited by the potential to significantly expand the current resource base on numerous newly discovered targets that have never been exploited."
About the 2014 Work Program
The main components of the 2014 work program are summarized below.
A total of 7,000 metres of drilling is budgeted for resource definition and geotechnical investigation into a proposed future surface and underground exploration development and bulk sample program planned to be accessed by a starter test pit. An initial 3,000 metre campaign is allocated to upgrade the proposed starter pit resource to the Measured resource category. A second campaign of 4,000 metres is allocated to test underground targets identified as suitable for exploration drift and raise development. All drilling is focused on the first level between surface and 70 metres vertical. The drilling will be used to advance engineering work on the advanced exploration mine development program to be conducted subsequent to the drill program.
Environmental Investigations and Permitting
Geotechnical drilling of groundwater monitoring wells and soil investigations has commenced in support of permitting requirements for advanced exploration. Hydrological studies to evaluate the surface water regime are also in progress. Regular meetings are planned with regulatory authorities and Aboriginal communities. An amendment of the existing filed Closure Plan is anticipated as well as new permits for taking water, discharge, air and noise. The ongoing environmental studies and permitting requirements are also designed to support a PEA.
Preliminary Economic Assessment (PEA)
Engineering studies are in progress to evaluate the economics of the current NI 43-101 resource on Upper Whitney. Included in the PEA tasks are detailed metallurgical tests of higher grade resource material, geotechnical drilling and investigation into rock mechanics and quality and engineering design. This work will provide necessary data to evaluate anticipated mining methods and custom milling options. Preliminary metallurgical testwork conducted in 2013 on lower grade material concluded that cyanide leaching on whole ore at various grinds produced excellent gold leach recoveries ranging between 93% and 98%.
Potential for Significant Expansion of Current Resource Base
The project contains excellent upside for expansion of the current resource base identified to a depth from surface to only 500 metres vertical in a camp that has traditionally gone more than 1,500 metres in depth. The identified mineralized zones are open in all directions along the 4 kilometre mine trend. Numerous areas contain high grade drill intersections that are wide open, as are high grade past mine operations which terminated at former property boundaries. These areas include but are not limited to the following:
Upper Whitney Mine Trend
- Upper Hallnor Main Vein extension which yielded 19.77 g/t gold over 13.80 metres including 31.64 g/t gold over 8.30 metres, at the bedrock/overburden interface and within 17 metres from that surface (news release July 11, 2013)
- 238 Zone discovery, a parallel shear vein structure 200 metres north of the main Hallnor structures, which intersected 7.33 g/t gold over 5.75 metres including 60.40 g/t gold over 0.50 metres within 35 metres from surface (news release February 12, 2013)
- Q Zone with intersections of 68.70 g/t gold over 0.50 metres, 17.71 g/t gold over 2.90 metres including 90.35 g/t gold over 0.50 metres, and 29.21 g/t gold over 1.40 metres at Hallnor (news release May 14, 2009) and 122.85 g/t over 0.50 metres (news release February 9, 2012) 800 metres along strike at Hugh Pam, with no drilling between.
Lower Whitney Mine Trend
Compilation of historical data from Lower Whitney below a 500 metre vertical depth is underway. This work builds on the success demonstrated by the compilation work which initially identified the mineralized zones now comprising the Upper Whitney resource. Compilation is focused on the Lower Hallnor Mine which contains multiple mined zones averaging greater than 10 g/t gold but which terminated due to former property boundaries at the time of mining operations. Some of the highlights of the lower Hallnor include:
- 21.10 g/t gold over 6.55 metres drilled by Temex (news release April 2, 2009) extending the down plunge direction of the 19 Vein system (400,000 oz mined gold at 14.4 g/t gold) which terminated at a former property boundary
- 1377 g/t gold over 2.9 metres drilled by previous operators which is wide open
- 221 g/t gold over 2.2 metres drilled by previous operators extending the 12 Vein system down plunge which is wide open.
About the Upper Whitney Resource
The mineral resource statement (news releases January 14 and February 27, 2014) was prepared in accordance with NI 43-101 standards by P&E Mining Consultants Inc., ("P&E") of Brampton, Ontario, with a database incorporating 340 surface diamond drill holes (79,992 metres) drilled by Temex between 2005 and 2013, 10,841 historic drill holes (499,674 metres) drilled by previous operators and 32 surface diamond drill holes (1,470 metres) drilled in 2013 by the joint venture partner for geotechnical purposes. Measured, Indicated and Inferred mineral resources have been delineated within 40 domains on the Upper Whitney covering an area of 3,000 metres long by 250 metres wide by 650 metres deep. The resource, summarized below and shown on 100% basis, is robust at higher cut-off grades as detailed in the grade sensitivity table.
Mineral Resource Upper Whitney at 3.0 g/t Gold Cut-Off Grade
- Measured ("M"): 218,100 ounces contained in 966,000 tonnes at a grade of 7.02 g/t gold
- Indicated ("I"): 490,500 ounces contained in 2,253,000 tonnes at a grade of 6.77 g/t gold
- TOTAL M+I: 708,600 ounces contained in 3,219,000 tonnes at a grade of 6.85 g/t gold
- Inferred: 170,700 ounces contained in 995,000 tonnes at a grade of 5.34 g/t gold
- Grade sensitivity at 5.0 g/t gold cut-off results in Measured and Indicated resource of 502,200 ounces at 10.12 g/t gold in 1,544,000 tonnes and Inferred resource of 88,700 ounces at 8.50 g/t gold in 325,000 tonnes.
Upper Whitney Resource Sensitivity to Gold Cut-Off Grade
|Capped||MEASURED||INDICATED||MEASURED + INDICATED||INFERRED|
The contents of this news release have been reviewed and approved by Qualified Persons R. Kim Tyler, P.Geo., Project Manager for Temex Resources Corp.; Ian Campbell, P.Geo., President and CEO of Temex Resources Corp.; and Karen Rees, P.Geo., Vice President, Exploration of Temex Resources Corp.
About Temex Resources Corp.
Temex is a Canadian based exploration company focusing on its portfolio of precious metals properties in the world class mining district of northeastern Ontario. Temex (60% interest) is advancing the Timmins Whitney Gold Project, in partnership with Goldcorp Canada Ltd. (40% joint venture interest; no back-in rights), and exploring the Juby Gold Project (100% Temex).
The Whitney Property has a NI 43-101 compliant resources on the Upper Whitney of 0.97 million tonnes at a grade of 7.02 g/t gold for 218,100 ounces of gold in the Measured category plus 2.3 million tonnes at a grade of 6.77 g/t gold for 490,500 ounces of gold in the Indicated category and 1.0 million tonnes at a grade of 5.34 g/t gold for 170,700 ounces of gold in the Inferred category at a cut-off grade of 3.0 g/t gold (Note 1).
The Juby Gold Project has NI 43-101 compliant resources of 26.6 million tonnes at a grade of 1.28 g/t gold for 1,090,400 ounces of gold in the Indicated category and 96.2 million tonnes at a grade of 0.94 g/t gold for 2,908,800 ounces of gold in the Inferred category, both at a cut-off grade of 0.40 g/t gold (Note 2).
Temex also has a NI 43-101 compliant resource for tailings material on its Gowganda Silver Project. The tailings piles contain a NI 43-101 compliant resource of 1.94 million tonnes grading 47.5 g/t silver for a contained resource of 2.96 million ounces of silver in the Indicated category (Note 3).
- Information regarding the mineral resource estimate on the Upper Whitney is in the Company's news release dated January 14, 2014 and the technical report filed on SEDAR on February 27, 2014. The Mineral Resource Statement was prepared for Temex by P&E Mining Consultants Inc. of Brampton, Ontario in accordance with NI 43-101 by Richard Sutcliffe, PhD, P.Geo., Eugene Puritch, P.Eng., David Burga, P.Geo., Yungang Wu, P.Geo., Tracy Armstrong, P.Geo., and Antoine Yassa, P.Geo., "independent qualified persons" as defined by NI 43-101.
- Information regarding the mineral resource estimate on the Juby Gold Project is in the Company's news releases dated April 29, 2013 and January 15, 2014 and the technical report filed on SEDAR February 26, 2014. The Mineral Resource Statement was prepared for Temex by GeoVector Management Inc., Ottawa, Ontario in accordance with NI 43-101 by Joe Campbell, BSc, P.Geo., Alan Sexton, MSc, P.Geo., and Duncan Studd, MSc, P.Geo., "independent qualified persons" as defined by NI 43-101.
- Information regarding the mineral resource estimate in the tailings piles located on the Gowganda Silver Project is in the Company's news release dated June 8, 2011 and the technical report filed on SEDAR July 21, 2011. The Mineral Resource Statement was prepared for Temex by GeoVector Management Inc., Ottawa, Ontario in accordance with NI 43-101 by Allan Armitage, PhD, P.Geol., Alan Sexton, MSc, P.Geo., and Joe Campbell, BSc, P.Geo., "independent qualified persons" as defined by NI 43-101.
This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release includes, but is not limited to, mineral resource estimates, timing of an advanced exploration program, preparation of a preliminary economic assessment and the development of its projects as well as the timing related thereto. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, general business and economic uncertainties, future mineral prices, uncertainties in mineral resource estimates and adverse market conditions, as well as those risks set out in the Company's public documents filed on SEDAR. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Temex Resources Corp.
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