Bulk-tonnage deposit sought at Taurus

While it was high-grade veins that initially attracted International Taurus Resources (VSE) to its namesake property near Cassiar, B.C., partner Cyprus Canada is far more interested in outlining a large, bulk-tonnage gold deposit amenable to open-pit mining.

The project initially raised eyebrows because grades are low, averaging 0.029 oz., and few gold projects of this type have been developed in western Canada.

Last fall, in response to questions about the project’s viability, Taurus retained an independent geologist to prepare a report that would shed more light on the project. After reviewing results from work programs, the geologist estimated the size of the deposit to be at least 130 million tons grading 0.029 oz., or about 3.8 million oz. gold. He further noted that the size estimate “is already approaching that of the Fort Knox low-grade deposit in Fairbanks, Alaska.”

Even so, skepticism was expressed over the deposit’s metallurgical characteristics.

Early this year, Taurus released results of Cyprus’ metallurgical study, performed on mineralization from drill holes. The bottle-roll, cyanide-leach tests were performed on two different types of mineralization. Samples from the 88 Hill zone — quartz vein-type mineralization representing the bulk of the known deposit — were found to have an average recovery rate of 75%. The other style — massive, disseminated pyritic mineralization found in a small, geographically distinct area of the deposit — had a recovery rate of less than 30%.

Taurus was encouraged by the results, as they showed that traditional cyanide recovery would result in acceptable recoveries from most of the Taurus project mineralization. The tests also showed that the hardest rock on the property had a lower-than-expected crushing index.

Since then, more information has been released on Cyprus’s 1995 work program. Among the highlights were results from a trial reverse-circulation drill program that paralleled three previous holes and returned an average grade 24% higher than that of the corresponding diamond-drill core holes. Cyprus intends to use this type of drilling as part of its infill program in the 88 Hill area.

Another highlight of the program was the outlining of a potential starter-pit target, with a higher average grade (in the range of 0.042 oz. and 0.056 oz.). This target is believed to have potential for about 10 million tons within the eastern and central part of the 88 Hill area. This potential will be tested this summer by stripping and infill drilling.

Also, drilling is expected to test the Wing’s Canyon area, southeast of 88 Hill, where a 400-metre wide zone of quartz-veined, pyritized basalt with anomalous gold values was found. The zone has an associated induced-polarization anomaly that continues eastward along strike for more than 1,200 metres.

The signature is believed to be similar to that of the 88 Hill-Taurus gold system to the north, and thus represents an exploration target for another Taurus-style gold system. Cyprus plans to drill seven holes in this area.

Finally, the Cyprus report shows that the 88 Hill mineralization remains open to the south, east and north. In addition to detailed drilling and trenching, exploration drilling is planned for all three directions, to begin this summer.

Cyprus intends to start work at the property in early May. The major is exploring the property under agreements with Taurus and Cusac Gold Mines (TSE). It can earn up to a 70% interest by financing the project to commercial production.

Hera Resources (VSE) holds a 21.7% interest in International Taurus.