Claude finds more gold deep at Madsen

Claude Resources (CRJ-T, CGR-N) went deeper at its Madsen Project near Red Lake and found more high grade gold.

The company’s latest results show that both its 8 Zone and its McVeigh Tuff host more gold at deeper levels as the drills intercepted gold 250 metres down plunge of previous drilling at 8 Zone and hit depth extensions to the McVeigh Tuff.

Highlights intercepts included: 15.70 grams gold over 2.00 metres, 6.27 grams gold over 2.00 metres, and 53.70 grams gold over 0.7 metres. Those results came out of three separate holes and were found in the McVeigh Tuff

The company also reported an intercepted of 8.06 grams gold over 2.02 metres from the deepest hole drilled to date at the project, which was done at the 8 Zone. The zone is still open at depth and along strike to the northeast.

Over the course of the year the company drilled 12,700 metres and 9 holes as part of its phase II underground drilling program and has concluded that the system is open down plunge and will see more drilling.

In all, Claude says it will drill 29,000 metres at the project next year, with drilling being divided amongst two underground rigs and one surface rig.

The historic Madsen Gold Mine sits in the town of Madsen roughly 10-km from the town of Red Lake. The mine was the third largest gold producer in the Red Lake camp behind the Campbell and Dickenson Mines with a total of 2.45 million ounces of gold produced over its 38 year mine life.

The property currently hosts indicated resource of 3.2 million tonnes grading 8.93 grams gold for 928,000 ounces and inferred resource of 788,000 tonnes grading 11.74 grams gold for 297,000 oz.

Claude’s main source of revenues comes from its Seabee Gold mine in northern Saskatchewan, which has turned out 962,000 oz. of the yellow metal since 1991.

In Toronto on Dec. 21 the company’s shares were up a penny to $1.47 on 424,000 shares traded.