Eastmain and Barrick form JV at Lac Elmer

CDN-listed Eastmain Resources has formed a 50-50 joint venture with Barrick Gold (TSE) to develop the Lac Elmer gold project in northwestern Quebec.

Over a 4-year period, Barrick will cover the first $1.5 million of exploration expenses on the property, which lies within the Eastmain River greenstone belt, 300 km north of Matagami.

Previous work traced the Lac Elmer gold horizon for 12 km. The pyritic, gold-bearing unit exists in altered, felsic, volcanic rocks — a setting similar to that of the polymetallic Bousquet mines. Surface assays ranging from 1 to 113 grams gold per tonne have been intersected in the horizon, as have diamond drill assays ranging from 0.5 gram gold across 30 metres to 6.9 grams across 1 metre. Polymetallic sulphide veins outcropping for up to 75 metres within the Lac Elmer horizon have assayed up to 4.6 grams gold and 160 grams silver, as well as 7% copper and 5% zinc. Previous induced-polarization (IP) surveys have confirmed large areas of anomalous rock within this mineralized corridor.

Diamond drill targets will be determined by a surface program of geological mapping, lithogeochemical sampling, and magnetic and IP surveys.

In 1996, Eastmain will explore five of its joint-venture projects in the Eastmain greenstone belt. Over the next four years, Eastmain’s partners will contribute a total of $4.6 million to three of the projects.

A qualifying report has been completed on Eastmain’s wholly owned Reservoir project in the Eastmain belt.

The report, which concludes that the large, copper-gold volcanic porphyry system has the potential for an economic gold deposit, calls for an extensive program of surface exploration, including 5,000 metres of diamond drilling. Eastmain plans to resume exploration after spring breakup. Meanwhile, it has acquired an exploration permit for 6,000 hectares of nearby land.

Exploration is under way on the Clearwater project, 50 km east of the Reservoir property. At the L’Eau Claire deposit, Soquem, the project operator, is completing 130 km of IP surveys along a gold-bearing structure where previous work defined a near-surface reserve of 270,000 tonnes grading 6.1 grams gold per tonne. The deposit is open along strike and downdip.

Soquem will drill at least 2,200 metres in six holes to test the deposit at depth.

Orezone Resources (ME) has optioned Eastmain’s wholly owned Lac Hudson project, also within the Eastmain greenstone belt. Orezone can earn a half interest by spending $600,000 on exploration, including 2,000 metres of diamond drilling, and issuing to Eastmain 225,000 shares over a 3-year period. Previous drilling intersected up to 15.2 grams gold per tonne across 0.6 metre within an iron formation (sulphide facies).

The joint venture has submitted an application to acquire an exploration permit covering 5,600 hectares surrounding the existing land holdings.

Meanwhile, in Ontario, exploration of the Kidd property is being held up by a claims dispute between Eastmain’s partner, Falconbridge (TSE), and a resident of Timmins. And on the Timmins-area Akweska gold project, Eastmain is planning a $300,000 program of surface exploration and drilling for the coming season.

In the Bathurst area of New Brunswick, Eastmain will attempt to define targets for diamond drilling on its Rocky Lake project. In June, the provincial government will release results of an airborne geophysical survey covering the whole Bathurst camp.