Mining News: Northern Neighbors

Copper North Mining Corp. Jan. 21 said recent testing demonstrates that an agitated tank leach is the optimal recovery process for copper, gold and silver from oxide mineral resources at the Carmacks Copper Project in central Yukon Territory. A new process plan consists of three-stage crushing and rod mill grinding prior to placing ore in an agitated tank for leaching of copper oxides with weak sulfuric acid. Testing indicates 84 percent copper recovery with leach times of 16 to 18 hours. Utilizing waste heat from the sulfuric acid plant may further reduce the leach times. Following copper leaching, the solids are rinsed and pumped into a second set of agitated tanks for the addition of lime and cyanide for gold and silver extraction. Testing indicates a recovery of 80 percent for gold and 78 percent for silver over 48 hours at ambient temperatures. Higher leach temperatures provide potential for a significant reduction in leach time and further increases in recovery, and is under investigation. Residues from the cyanide circuit undergo cyanide destruction prior to deposition in a dry stacked waste facility, eliminating the need for a tailings pond. Beijing General Research Institute Mining and Metallurgy has begun design work for the new process plan as part of a prefeasibility study to be completed in mid-2015, before completing the feasibility study at year’s end. Copper North said improved recoveries and bringing forward revenues from operations, as compared to a July 2014 preliminary economic assessment, shows an important improvement in project economics.

Kaminak Gold Corp. Jan. 20 reported assay results from drilling at Double Double, the highest grade of four gold deposits being evaluated at the Coffee gold project about 130 kilometers (80 miles) south of Dawson City, Yukon Territory, as part of an ongoing feasibility study. The objective of 6,850 meters of infill drilling in 47 holes at Double Double was to verify and upgrade the open-pit resources defined in a 2014 preliminary economic assessment from inferred to the indicated category. In addition to confirming the existing geological interpretation, Kaminak said drilling completed in 2013 and 2014 has delineated a previously unknown parallel mineralized structure – Double Double North – culminating in a 2014 intercept of 32.8 grams per metric ton gold over 6.1 meters from 39.6 meters depth. This high-grade intercept is located just outside the PEA pit shell, underscoring the potential for resource expansion. Additional highlights from 2014 drilling at Double Double include five meters grading 37.6 g/t gold in CFD093 and 33.53 meters of 5.07 g/t gold in CFR0713. Drilling is scheduled to resume at Coffee in February.

Colorado Resources Ltd. Jan. 19 reported the acquisition of 661 hectares (1,633 acres) of property internal to the KSP gold-copper property in northwestern British Columbia. Colorado has an option to earn up to 80 percent interest in KSP from SnipGold Corp. The additional ground includes the Snip 2 claim acquired from Teck Resources Ltd.; and the Snow Minfile and Lake Minfile occurrences from private vendors. Colorado said it met 2014 payment and work commitments for KSP and roughly 75 percent of its 2015 work commitments for the property. With no other property obligations, the company said its treasury is in good shape to weather difficult financial times.

Pretium Resources Inc. Jan. 16 reported closing a C$80.87 million private placement with Zijin Mining Group Co. Ltd. of 12.84 million Pretium common shares at C$6.30 each. Pretium intends to use the proceeds to fund capital expenditures at its Brucejack gold project in northwestern British Columbia, including procurement of long-lead items and camp infrastructure. Shaoyang Shen of Zijin will be appointed to Pretium’s board of directors

Chieftain Metals Corp. Jan. 15 said British Columbia Minister of Environment Mary Polak has determined that the Tulsequah Chief Mine project near the Alaska border in western British Columbia has been substantially started. As a result, the environmental assessment certificate remains in effect for the life of the project, and the company can continue building the mine. Chieftain said it will proceed with the project in accordance with a November 2014 feasibility study.

Skeena Resources Ltd. Jan. 14 reported results from the final four 2014 holes drilled at its Spectrum property in northwestern British Columbia. Highlights include: 43.8 grams per metric ton gold over two meters in hole 14-SP-006; 9.5 g/t gold over two meters in hole 14-SP-007; 4.6 g/t gold over nine meters in hole 14-SP-008; and 13.7 g/t gold over four meters and 254.5 g/t over two meters in hole 14-SP-09. This last intercept (from 285 meters) represents the deepest intersection of significant mineralization obtained to date from an apparent down-plunge extension of the 500 Colour Zone. Skeena said its 2015 exploration program will target expansion of the 500 Colour and Central zones, while other targets will be upgraded to the drill stage.

Klondike Gold Corp. Jan. 14 reported assay results for 212 prospecting samples from the 2014 field program at its Lone Star property near Dawson City, Yukon Territory. The company says samples from a newly found quartz vein at Boulder Lode, a prospect related to the historical Lone Star Mine, returned assays of 1,766 grams per metric ton gold, 1,007 g/t gold, and 831 g/t gold, all with corresponding high-grade silver. Prospecting samples of bedrock quartz veins from the Nugget to Buckland prospect areas assayed between 1.0 g/t gold and 19.4 g/t gold, including six samples with visible gold identified in outcrop. All told, 2014 prospecting identified 19 geographically diverse and previously undocumented sites of visible gold in outcropping bedrock quartz veins., Klondike Gold also reported results from 89 prospecting samples collected from Dominion, a claim group about 2,000 meters east of Lone Star. Samples collected from old trenches at the Hunker Dome prospect returned between 1 g/t and 37.1 g/t gold and 8 g/t to 930 g/t silver. The assays also included results from Dominion Adit and Golden Rod, two other prospects on the property.

- Compiled by Shane Lasley