Oracle to finance underground work by Western Quebec

Western Quebec Mines plans to go underground next year on its Joubi property near Val d’Or. The project will be financed by Oracle Exploration Inc., a new company based in Montreal that has taken out an option to earn a 45% interest in the property. Oracle can earn its interest by putting up $6.2 million in stages to July 15, 1988. Oracle has already put up $200,000.

Drilling has outlined 540,000 tonnes of reserves grading 5.8 g per tonne (0.169 oz/ton) to a depth of 700 ft with 15% dilution. Project geologist Mitchell Lavery says the intent of the program is to hopefully bring the property to the stage where a production decision can be made. Western Quebec has a 40% interest in the property at present, and can increase that to 100% by issuing 2.5 million shares to Valmag Inc., a private company.

Western Quebec will be manager of the work program.