CZZ tables Mesamax results

Vancouver The latest drill results tallied by Canadian Royalties (CZZ-V) have confirmed the down-dip extension of the high-grade mineralization on the Mesamax zone on the Expo Ungava property in northern Quebec.

Holes 40 through 54 were drilled in between the earlier high-grade intersections (T.N.M., Nov. 18-24, 2002) with four of them showing that the high-grade core maintain a 5 metre thickness down dip over at least a 100 metre strike length.

Collared from the same site and increasing in angle from 58-to-90 degrees, hole 40 returned 42.9 metres grading 2.29% nickel, 3.62% copper, 0.09% cobalt, plus 0.44 gram gold, 0.96 gram platinum and 3.27 grams palladium per tonne; hole 41 cut 7.1 metres grading 3.66% nickel, 3.06% copper, 0.15% cobalt, 0.08 gram gold, 0.79 gram platinum and 3.08 gram palladium; and hole 42 returned a 0.48 metre section running 0.41% nickel, 1% copper, 0.02% coablt, 0.07 gram gold, 0.02 gram platinum and 7.51 grams palladium.

Some 25 metres to the east, hole 50 cut 2.85% nickel, 4.34% copper, 0.11% cobalt, 0.25 grams gold, 1.18 grams platinum and 5.38 grams palladium over 2 4metres.

Moving 39 metres to the north, hole 43 was drilled at a 45 degree angle and returned 21 metres grading 0.94% nickel, 2.16% copper, 0.04% cobalt, 0.13 gram gold, 0.56 gram platinum and 2.43 grams palladium. Hole 44 was drilled at the same site at a 90 degree angle yielding 46 metres grading 1.35% nickel, 1.03% copper, 0.06% cobalt, 0.08 gram gold, 0.65 gram platinum and 3.6 grams palladium.

Drilled from the same site 112 metres further northeast, holes 45 through 47 all cut similar values over 5-to-6 metres with the best results of 3.92% nickel, 3.31% copper, 0.15% cobalt, 0.17 gram gold, 1.18 gram platinum and 1.62 grams palladium over 5.7 metres.

Holes 48, 51, and 52 were drilled to locate the southern limit of the mineralization near surface and cut 8 metres grading 0.44% nickel, 0.91% copper, 0.02% cobalt, 0.06 gram gold, 0.76 gram platinum and 1.69 grams palladium; 14 metres grading 2.03% nickel, 3.63% copper, 0.08% cobalt, 0.98 gram gold, 0.94 gram platinum and 1.24 gram palladium; and 0.6 metre grading 0.4% nickel, 4.6% copper, 0.03% cobalt, 0.06 gram gold, 0.26 gram platinum and 2.81 grams palladium, respectively.

Last year’s geophysical survey over the Mesamax zone, shows a conductive anomaly over a 400 metre stirke length and so far the zone has only been drilled over a 200 metre portion of it. Based on the results received to date, the high-grade pod consists of a broad zone of disseminated, net-textured and massive sulphides comprised of pyrrhotite, pentlandite and chalcopyrite in, or adjacent to, a pyroxenite and has a length of less than 180 metres.The zone remains open down dip and to the east.

Canadian Royalties has the right to earn up to 70% in the property by spending $1.75 million over 4-years (now completed). It can boost its stake to 80% by completing a bankable feasibility study.

The property is 15 km south of Falconbridge‘s (FL-T) Raglan nickel-copper mine and hosts three mineralized structures — Expo, Cominga and Mesamax, all of which were discovered in the 1960s. Resources at Expo-Ungava are pegged at 17 million tonnes grading 0.6% nickel and 0.8% copper. Included is a higher-grade core of some 3 million tonnes grading 1% nickel and 1% copper.

Canadian Royalties, which recently up a financing to $9 million from the planned $8.5 million (T.N.M., Nov. 25-Dec. 1, 2002), aims to complete definition diamond drilling over the Mesamax zone this year. More drill results from the TK area and the areas to the west of the Expo Deposit are expected to be in hand over the next two weeks.