J.A.G., Valmont work Malartic bet

Drilling at its Malartic gold property in northwestern Quebec has intercepted a new horizon, bearing free gold and arsenopyrite, about 260 ft south of the main zone, J.A.G. Mines (ME) reports.

President Pierre Gevry says the similarity between this new zone and a section identified by drilling about 2,500 ft to the west suggests a lateral extension.

J.A.G. and Valmont Mining Exploration (ME) last year entered into an agreement whereby the latter may earn a 50.1% interest in the property by spending $1.5 million on exploration work by June 1,1990, and making a cash payment of $350,000. The partners plan more drilling.

At J.A.G.’s Belleterre gold property, the old Aubelle mine shaft has been dewatered and drifts have been sampled. J.A.G. and Halex Resources (ME) entered into an agreement last year whereby Halex may earn up to a 60% interest in the project through total cash payments of $175,000 and by spending $4 million on exploration work by June 1, 1990.

Meanwhile, a J.A.G.-related company, Orbite Exploration (ME), reports spending $1.2 million during 1987 on exploration work. Orbite holds the mining rights for six northwestern Quebec gold properties, three of which are considered to be at advanced stages of exploration. Orbite says almost 40,000 ft of drilling was undertaken last year on the Privat-Launay, Le Tac and Guercheville properties.