Marshall earmarks $7m. for Timmins projects

In a bid to increase reserves at three of its Timmins area properties, Toronto-based Marshall Minerals has entered a number of agreements which call for some $7 million to be spent on exploration.

In the first of two joint venture agreements, Alberta-listed Gold Vessel can earn an undivided 25% working interest in Marshall’s Sangold property by spending $4 million on exploration.

Located 60 miles west of Timmins, the Sangold property is held jointly by Marshall (55%) and a private company called Gail Resources (45%).

After Gold Vessel has spent an initial $400,000 by the end of February, and the remaining $3.6 million before February, 1989, Gail and Marshall will each reduce their interest to allow Gold Vessel to earn 25%.

In another agreement involving Marshall Minerals and St. Genevieve Resources, the latter company can earn an undivided 30% interest in the contiguous Carshaw-Malga properties by spending $3 million.

Under the agreement Montreal- listed St. Genevieve will earn its interest by spending an initial $500,000 by the end of this month and the remaining $2.5 million by February, 1989.

Marshall acquired surface mining rights to Carshaw and all the Malga property last March. The Toronto company also has rights to a recently completed 500-tpd mill located in the Carshaw property.

According to Marshall President Norman Brewster, recent exploration at the Sangold property encountered widespread gold mineralization. “The Patricia zone, which represents the most significant find so far, contains two mineralized zones — the Vein zone and the Stockwork zone — identified by surface stripping, geological mapping and surface channel sampling,” Brewster says.

The 4×250-ft-long Vein zone contains 95 tons per vertical foot with an average grade of 0.15 oz gold according to Brewster. Surface sampling at the adjacent Stockwork zone with an average width of 50 ft and a length of 114 ft, for 542 per vertical ft, carries an average grade of 0.14 oz. “This zone contains a large stockwork of quartz veins and veinlets within the southern limb of a large fold,” said Brewster.

The extension of the Patricia zone to the northeast was picked up by an induced polarized survey which successfully outlined the continuation of the Patricia zone to the Joburke property boundary, representing a distance of 2,900 ft.

Marshall says it is planning a drill program to test the entire strike length from the Patricia zone to the Joburke property boundary.

At the Carshaw property, previous diamond drilling has indicated the presence of approximately 200,000 tons of ore grading 0.205 oz within an average of 11.8 ft and a depth of 200 ft.

The potential exists for additional exploration along strike in the mineralized zone and at depths below 200 ft., Brewster says.

On the adjacent Malga property, limited sampling indicated values of 0.35 oz over 4.4 ft through a length of 45 ft in an underground drift.

Future plans at Malga and Carshaw include both surface and underground exploration.