Madeleine

Madeleine Mines now has three diamond drills at work on its optioned Lac des Iles platinum-paladium project, and is looking for three more.

Located 40 miles north of Thunder Bay in northwestern Ontario, this is unquestionably the most promising and advanced platinum deposit in the country today.

In the J. P. Sheridan fold, this large patented property is held by The Platinum Group Mines Ltd., a private company owned 90% by Boston Bay Mines and 10% by Mr Sheridan. Boston Bay, in turn is controlled by Belleterre Quebec Mines which holds 675,000 or 39.7% of the issued shares. (Plans are to amalgamate Platinum Group Mines into Madeleine).

Madeleine has just raised $2,750,000 of flow-through financing for its big drill program which is to be pushed, as management wants to obtain the maximum amount of information before selecting the mill site and that of a future shaft.

Previous drilling of two separate zones has outlined 12,000 tons per vertical foot grading 0.185 oz PGM (platinum group metals), 0.22% nickel, 0.22 copper and 0.02 oz gold per ton amenable for open pit mining. By reducing grade to 0.14 oz PGM, an independent estimate places reserves in the two pits at 30,000 tons per vertical foot.

The initial hole in the new drill program intersected 30 ft from 480-510 ft assaying 0.27 oz PGM, the company reported this week.Three more holes are currently going down.

“It will keep us hopping to spend all our flow-through funds by year end,”Mr Sheridan tells The Northern Miner, adding that he sees “no problem whatsoever” in finding the some $25 million that will be required to bring the mine into production at the planned rate of 3,000-3,500 tons daily. He has already received several unsolicited offers from major sources.

Madeleine still owns the original 3,000 ton mill at its closed-down copper mine in Quebec. This is being dismantled and will be moved to the new mine site next spring, with production tentatively scheduled to commence late next year.