Despite terrain problems, Casa Berardi still humming

One of the most difficult exploration terrains in Canada continues to attract exploration dollars. Stretching for 60 miles from the Ontario border to Joutel, Que., the Casa Berardi area remains staked solid.

Generally shunned by traditional prospectors as a result of the thick blankets of glacial overburden which reduce outcrop exposures to a minimum, the area gained prominence in the mid-1980s.

At that time, a gold discovery made by Inco Ltd. (TSE) and funded by a Vancouver junior, Golden Knight Resources (TSE), sparked a staking rush. Located in Casa Berardi Twp., the Inco/ Golden Knight discovery has blossomed into the Golden Pond deposits hosting reserves of 10 million tons grading 0.22 oz gold per ton.

With production scheduled to begin this September, the $74-million mine will be capable of initially producing 60,000 oz of gold per year, then increasing to 120,000 oz.

A Canadian success story, the Golden Pond discoveries acted as a catalyst for exploration in the area. Funded by flow-through dollars, the exploration boom has resulted in several other successes — but not quite as spectacular as those at Golden Pond.

Just 17 miles to the east, drilling on a weak geophysical conductor, also under a thick blanket of overburden by Teck Corp. (TSE), Golden Hope Resources (VSE) and Golden Group Explorations (VSE), triggered a second wave of staking and dealing. Known as the Estrades polymetallic deposit, the first results were released in December, 1985. Teck, which is the project operator, has outlined a geological reserve of 2.9 million tons grading 0.11 oz gold, 3.73 oz silver, 0.93% copper and 9.16% zinc. A major drill program, designed to increase reserves, is in progress this year. Some of the richer sections cut this spring include 15.2 ft grading 0.4 oz gold, 6.98 oz silver, 0.45% copper and 21.9% zinc. If exploration is successful in outlining additional reserves, a mining operation could be in place by 1990-1991.

The only other notable discovery, where reserves have been outlined, has been made in Vezza Twp., almost 50 miles east of Estrades. Controlled by North American Rare Metals (ME) and Dundee-Palliser Resources (TSE), the partners have outlined a gold deposit hosting two million tons grading 0.18 oz. The encouraging results are sufficient to warrant an underground exploration program, the partners say. Project costs are estimated at $8 million and would include a 1,200-ft shaft.