NJ Mining raises funds

A private placement will provide US$229,500 for a drill program at three northern Idaho projects operated by junior New Jersey Mining (NJMC-O).

A 1,500-metre drilling campaign on the New Jersey mine, near Kellogg, will test targets on the Coleman vein, which saw limited gold production at the turn of the century and from a small open pit in the mid-1990s. One of the targets is an induced-polarization anomaly 120 metres north of the existing pit; other holes will test strike extensions of the vein, and one will test the vein 120 metres below the lowest underground workings.

At the Lost Eagle prospect, near Murray, the company will drill a single hole to test gold- and silver-telluride mineralization at depth. A limited program of surface sampling last year returned average grades of 16.3 grams gold and 159 grams silver per tonne.

At the Silver Strand prospect, 20 km northeast of Coeur d’Alene, the company will test downdip from previously known gold and silver mineralization.

Some of the proceeds of the placement will go toward completing the leaching circuit of the on-site mill at the New Jersey mine. Completing the expansion of the carbon-in-pulp mill will require a further US$150,000.