Hudbay hits zone below workings at Trout Lake mine

A new high-grade zone of zinc- copper-gold mineralization has been discovered by Hudson Bay Mining and Smelting (TSE) below the current workings of its Trout Lake mine in Manitoba. The mine is a joint venture between HudBay (44%), Granges (TSE) (29%) and government- owned Manitoba Mineral Resources (27%).

Assays from the first three holes drilled from the mine’s 1,840-ft. level have indicated three separate lenses within the new zone.

The first lens has a horizontal width of 18 ft. assaying 22.8% zinc, 8.07% copper, 0.18 oz. gold and 1.72 oz. silver per ton. The second zone is 20 ft. wide and assays 15.7% zinc, 3.36% copper, 0.022 oz. gold and 0.03 oz. silver. A third thin lens has a width of around 10 ft. and assays 4.1% zinc, 4.65% copper, 0.018 oz. gold and 0.03 oz. silver.

The company says the intersections are centred at about the 3,280-ft. level some 984 ft. below the bottom of the shaft. The second of the three recent holes is believed to have passed over the top of the mineralized zone at the 2,854-ft. level. The third hole intersected the first lens at the 3,083-ft. level about 230 ft. up-plunge from the first hole.

Hudbay Chairman John Ellis said while much more drilling is needed to establish a meaningful reserve estimate, the company is “very encouraged by the preliminary results.” The drill program has been suspended pending development of a drift that will provide a better angle for drilling.

As of Jan. 1, 1990, proven and probable reserves at the Trout Lake mine totalled 6.6 million tons grading 5.5% zinc, 1.83% copper, 0.33 oz. silver and 0.043 oz. gold. Hudbay is wholly owned by New York-based Inspiration Resources (TSE).