Jascan drifting at Pansilver property

A, 2,000-ft drift being driven by Jascan Resources, is expected to be completed within three months, the company tells The Northern Miner. The underground work has progressed more than 400 ft on the company’s Pansilver property near Cobalt, Ont. The objective is to test a silver-bearing area south of the Pansilver shaft near the boundary with claims held by Silverside Resources. Silverside and International Platinum plan to bring their property into production this summer.

“We’re convinced that the Silverside mineralization will not stop at the boundary,” Will Felderhof, president of Jascan, says. In places, the Silverside underground workings are less than 100 ft from the common claim boundary, Mr Felderhof notes. Jascan has budgeted $2.5 million for the 1987 exploration program. The company has the right to earn an 85% interest in the Pansilver property from Pancontinental Mining, an Australian company.

Drilling is also expected to start in June on Jascan’s 60%-owned Dawson gold project in Colorado. The program, which will also include underground work from a decline ramp, is designed to test the deposit for extensions along strike and at depth. Work completed by U.S. Borax & Chemical, the property vendor, outlined reserves of 720,000 tons grading 0.19 oz gold per ton in a zone averaging 42.5 ft in width. Total mining and milling costs were estimated at $27.33(US) per ton. Cost per oz is estimated at $191.

In another deal with Borax, Jascan is negotiating an agreement which could see Jascan and another company option Borax’s Noxon, Mont., silver-copper deposit. Reserves stand at 71 million tons grading 2.3 oz silver and 0.74% copper per ton. A binding agreement is expected to be completed shortly, Jascan says.