Temex moves up on resource estimate

Temex Resources (TME-V) got a healthy boost after publishing its first resource estimate for the Upper Hallnor portion of its Whitney gold project in Timmins, Ont.

Its shares moved up 12% to close Sept.7 at 24¢ apiece, near its year high of 29¢.

Prepared by P&E Mining Consultants, the estimate shows Upper Hallnor, which covers the top 550 metres, has an in-pit resource of 11.6 million tonnes grading 2.07 grams gold per tonne for 776,100 oz. in measured and indicated. It has another 4 million tonnes at 1.79 grams gold for 231,900 oz. in inferred. A cut-off grade of 0.30 gram gold was used for the in-pit mineralization which goes to a depth of 480 metres.

Below that pit, Upper Hallnor has some 112,000 tonnes at 3.89 grams gold for 14,100 oz. gold in measured and indicated, and another 91,000 tonnes at 3.09 grams for 9,100 oz. in inferred. A cutoff of 2-grams gold was used underground.

“We are particularly pleased with the high gold grade of the resources, amenable to open pit mining, which exceeds those that have been recently mined directly along strike to the east at lower gold prices,” the company’s president and CEO Ian Campbell said in a statement.

The property hosts three past-producing mines, including Hallnor, Bonetal and Broulan Reef. Hallnor was the highest-grade mine of those that have produced more than 1 million oz. in Timmins camp, with Upper Hallnor churning out 1.2 million oz. gold averaging 0.42 oz. per ton, says Temex.  

Campbell says the company will start diamond drilling several near-surface targets on the property that have shown potential for expanding the current resource. For instance, Temex hit 37.9 grams over 8.8 metres and 3.58 grams gold over 16.7 metres at Broulan Reef while drilling along a 1.5-km strike length to the west.

Temex says it is one of the best-positioned juniors in the Timmins gold camp with its flagship Whitney property situated along a 4-km section of the Porcupine-Destor Fault in a 10-million oz. mine trend.

Temex holds 60% of the property, with Goldcorp (G-T, GG-N) holding the rest.

On the resource news, the stock gained 2.5¢ to close the day at 24¢ apiece, within a 52-week range of 9.5¢-29¢.