Drilling adds more sparkle to Meadowbank

A winter drilling campaign at the Meadowbank gold project of Cumberland Resources (CBD-T) has connected the Third Portage and North Portage zones, while extending the adjacent Bay zone northwards.

The recently completed 47-hole program is part of an ongoing prefeasibility study on the property, which is situated 70 km north of the ocean-accessible community of Baker Lake, N.W.T.

Eleven holes were drilled beneath a shallow lake that separates Third Portage from North Portage to the north. The holes comprised four fences along 500 metres of strike length. With the exception of holes 98-257 and 249, each hole intersected at least one mineralized interval within 120 metres of the lake bottom.

Gold values ranged from 1.44 to 11.86 grams per tonne, based on a cutoff grade of 2 grams. The mineralized intervals varied in width from 0.4 to 9.1 metres.

Highlights include: hole 173, which yielded 8.73 grams over 2.6 metres (from 115 metres) and 11.82 grams over 1 metre (from 122.8 metres); hole 254, which returned 11.86 grams over 2.7 metres (from 93.5 metres) and 4.65 grams over 2.2 metres (from 102 metres); hole 264, which intersected 5.8 metres (from 33.5 metres) of 7 grams; and hole 247, which hit 9.1 metres (from 44.1 metres) of 4.7 grams.

Mineralization in the Third Portage and North Portage zones has been shown to be continuous over a strike length of 1.5 km. As well, several stepout holes collared up to 300 metres west of the central portion of Third Portage may indicate an extension to the west.

Results from the two best stepout holes were: 9.85 grams gold over 6.3 metres (from 88.5 metres) in hole 261; and 4.14 grams gold over 9.5 metres (from 75.4 metres) in hole 248. The most westerly drilled hole, 219, which was completed in 1997, yielded 3.3 grams over 5.4 metres (from 106.4 metres).

The Bay zone, situated beneath a lake and immediately west of the southern end of Third Portage, was tested by 16 drill holes. Results show a continuous zone of mineralization over a strike length of 420 metres, with mineralization extending to a depth of 200 metres below the lake bottom.

Gold values varied between 1.25 and 20.73 grams over widths of 0.5 to 7.5 metres.

Hole 268 hit three zones: 7.5 metres (from 6.26 metres) grading 7.23 grams, 5.3 metres grading 1.73 grams and 1.97 metres grading 5.02 grams. Hole 270 also hit several zones, the widest of which was 7.2 metres (from 86.9 metres) grading 3.38 grams gold, including 3.5 metres of 4.81 grams. Hole 272 hit several deep zones, one of which averaged 13.56 grams over 2 metres (from 201.4 metres).

Although a resource figure has not yet been attached to it, the Bay zone is expected to add significantly to the near-surface resource at Meadowbank. It may also increase the underground potential, inasmuch as the zone remains open at depth.

Drilling is expected to resume shortly to test for extensions to the Bay and North Portage zones.

Total in situ resources at Meadowbank are pegged at 1.5 million oz. gold. Of this total, 75% is divided between the Third Portage and North Portage deposits, which are potentially minable by open-pit methods, and the remainder is in the deeper Goose Island deposit to the south.

The Third Portage deposit is the largest of the three, containing 4.5 million tonnes grading 7.06 grams gold. Resources at North Portage are tallied at 374,495 tonnes grading 9.72 grams gold, whereas those at Goose Island are estimated at 976,834 tonnes grading 11.46 grams gold.

A preliminary scoping study completed earlier this year envisioned a combined open-pit and underground operation wherein processing of 2,000 tonnes per day would yield 120,000 oz. gold annually. Cash costs over a mine life of 10 years are projected at US$156 per oz. gold, with initial capital costs estimated at $94 million (T.N.M., Feb. 23-March 1/98).