NEWS ROUNDUP (March 05, 2000)

Fjordland Minerals (FML-V) is planning a first phase of exploration for its newly optioned Kibler platinum-palladium property, near Pickle Lake in northwestern Ontario.

The junior secured rights to earn 100% of the property, subject to a 2% net smelter return royalty, in return for 200,000 shares, staged cash payments totalling $415,000 and staged work commitments amounting to $1.75 million over four years.

The property covers the Kibler Stock, a 25-sq.-km layered mafic intrusion 5 km from the Thierry mine, which operated from 1977 to 1982. A nickel recovery circuit was activated during 1981-82, resulting in the production of 15,100 oz. platinum, 40,000 oz. palladium, 14,700 oz. gold and significant silver, along with 270,000 lbs. nickel.

The Thierry deposit is hosted by a large gabbroic body 1 km from the Kibler stock. Previous operators recovered anomalous platinum-group-metal and gold values from overburden drill samples on the Kibler stock. It is viewed as being a layered mafic intrusion containing low and high values of iron, titanium and magnesium, indicating that rock composition changes consistent with a differentiated gabbroic magma.

Initial work will consist of induced-polarization and magnetic surveys to detect sulphide zones. Pending positive results, the surveys will be followed by drilling.

Having raised $370,000 in an Australian financing, Tri Origin Exploration (TOE-T) is investigating the possibility of a public offering and listing on the Australian Stock Exchange for its 98%-owned Australian subsidiary.

Tri Origin recently initiated discussions with an Australian brokerage firm that has agreed to raise up to $5.7 million by issuing shares in Tri Origin Australia to the Australian public.

If successful, the subsidiary would have a market capitalization of about $16 million — a substantially higher valuation than the $2-million market capitalization of the parent company on the Toronto Stock Exchange.

Tri Origin has been active in Australia for almost a decade. Initial work was focused on Lewis Ponds, a 4-million-tonne massive sulphide deposit that is still open at depth and along strike.

Since then, the junior has picked up numerous other projects, including the Woodlawn polymetallic property in New South Wales. Late last year, Inmet Mining (toe-t) signed an agreement to earn up to a 60% interest in the project by funding $3.5 million in exploration work. The land package is prospective for precious and base metals and covers several past-producing open-pit and underground mines.

The improved outlook for magnesium has prompted Globex Mining Enterprises (GMX-T) to acquire the Deloro magnesite deposit, 13 km southeast of Timmins, Ont.

The large magnesite-talc altered dunitic komatiite (or highly altered flows) measures roughly 1,800 metres long with a maximum width of about 300 metres. Drilling has confirmed the structure to a depth of 120 metres, delineating about 100 million tonnes of drill-indicated industrial mineral grading more than 50% magnesite, 25-30% talc and 16% quartz. The zone outcrops on surface and is considered minable by open-pit methods, though it remains open to depth.

Globex notes that the material has few significant impurities other than iron oxide and silica. Metallurgical tests are required to refine previously developed treatment procedures. Magnesium’s main application is as an alloying agent for aluminum, followed by use in die-cast products. It is used in automobile manufacturing because of its high strength-to-weight ratios. It is also used in refractories, high-temperature insulation, animal feeds and fertilizers, cements, fireproof boards, paper processing, chemicals and pharmaceuticals.