Redfern expects rise in Tulsequah reserves

A recently completed drilling program at the Tulsequah Chief project in northwestern British Columbia has property owner Redfern Resources (TSE) predicting a significant increase in reserves.

Prior to the recent drilling, preliminary estimates put reserves at about 8.6 million tons grading 1.6% copper, 1.2% lead, 6.5% zinc, 0.08 oz. gold per ton and 3.2 oz. silver.

The reserves are in three stacked U-shaped lenses of volcanic massive sulphide mineralization plunging at about 60. Most of the reserves in the former producer are encompassed in the H lens.

Recently completed holes 92-42 and 92-43 extended the H-lens mineralization about 300 ft. to the northeast of holes 87-1 and 88-7 in the upper portion of the deposit.

Holes 92-42 returned two H-lens intersections: 10.9 ft. grading 1.45% copper, 0.81% lead, 6.32% zinc, 0.01 oz. gold and 1.60 oz. silver; plus 9.3 ft. grading 2.33% copper, 0.42% lead, 3.55% zinc, 0.10 oz. gold and 1.89 oz. silver.

Hole 92-43 intersected the H lens over 22.2 ft. grading 0.81% copper, 0.96% lead, 3.42% zinc, 0.07 oz. gold and 2.45 oz. silver.

Although assay results have not been received, hole 92-46 is reported to have extended both the H and the AB lenses about 350 ft. to the west of hole 88-3 in the upper portion of the deposit.

Visual estimates prompted Redfern to expect both intersections to return higher than average grades.

All the reserves are below the 5400 level in the old Tulsequah Chief mine and the company had hoped to expand reserves on the up-plunge extension of the H lens.

Several holes were drilled to test the upward projection but intersected only low-grade sulphides, thereby defining the upper limits of the lens in the area.

The H lens remains open to expansion to the west as well as to depth. Redfern sees the biggest tonnage potential for the down-plunge projection of the lens. One of the first holes of this year’s drilling extended the H lens about 265 ft. down-plunge with three separate intersections (previously released) including: 60.2 ft. grading 0.80% copper, 1.07% lead, 8.21% zinc, 0.022 oz. gold and 1.95 oz. silver; 13.1 ft. grading 0.38% copper, 0.38% lead, 5.00% zinc, 0.028 oz. gold and 2.25 oz. silver; plus a further 58.7 ft. grading 1.25% copper, 0.85% lead, 6.34% zinc, 0.066 oz. gold and 1.70 oz. silver.

John Greig, president of Redfern, said the Tulsequah probably has sufficient reserves to proceed with development, and as a result, the company plans to complete a prefeasibility study this winter.

Satisfied with the Tulsequah reserves, Greig said the company will focus on exploring a number of excellent massive sulphide targets on the property next year.

Redfern negotiated the acquisition of a 100% interest in the adjacent Big Bull property late last year and concentrated on surface work this year to identify drill targets.

Mined by Cominco in the 1950s, the Big Bull had higher grades than the Tulsequah Chief.

Redfern’s two other targets include an area about 3,000 ft. to the southwest of the Tulsequah and another area about 2.5 miles to the south of Tulsequah, or about half way to the old Big Bull operation.

Greig said Redfern currently has about $1 million in working capital which he said would likely be increased with further financing.

No budget has been set for next season’s program although Greig said he could easily spend $2 million.

Greig said the company will also continue to entertain potential joint venture proposals from major mining companies, a number of which he noted have shown interest in the property.