Placer, MSV encouraged with underground program

Initial results from an underground program on the Eastmain gold project east of James Bay, are confirming earlier drill results. Partners Placer Development and MSV Resources plan to have the program completed by October. Channel samples from each blast face in the drift assayed an average of 0.57 oz gold per ton across a 7-ft wide zone and along 344.5 ft of strike. The average silver value is 0.65 oz. Using a 0.18 oz cut-off grade, the average grade increases to 0.67 oz gold across 7.5 ft in width and 295 ft of strike.

Reserves, which currently stand at one million tonnes grading 15.3 g gold (0.45 oz), will be recalculated once the underground program is completed, the partners say. Placer, which is the project operator, holds a 100% interest in the property. msv has the right to earn a 49% interest by spending $8 million on exploration.

On the Clearwater project, located in the same general area, msv and partner Westmin Resources have completed a 5,100-ft drilling program. Eastmain Resources holds a 26.7% interest in this ground. The work was designed to follow up a section drilled last winter which assayed 2.92 oz across 10.2 ft. Although no assays from the recent drilling have been received, favorable indicator minerals were visible in several holes, msv says.

On the Westmain project, msv says surface prospecting has exposed several surface showings carrying zinc and copper. Gold values range up to 0.17 oz in grab samples. msv can earn a 30% interest in this project. Eastmain’s interest ranges from 23.3%-34.3% with Westmin holding the balance.