Polymetallic discovery in B.C. fires industry’s imagination

At long last polymetallics are getting some respect — even if the primary metal credit is silver. Indeed, the massive sulphide discovery by Minnova Inc. (N.M.June 8, 1987) on the Adams Lake property of Rea Gold near Kamloops, B.C., has captured the industry’s imagination.

Not since the Estrades discovery in northwestern Quebec has a polymetallic mineral find generated so much attention. And the economics of the situation appear to be highly favorable because it’s close to surface and a large portion of the deposit would be open pittable.

The impact on Rea Gold’s share price has been dramatic. In the past week, the stock has climbed over $4 in Vancouver where at press time it was trading at $6.75. But most of the heavy buying has been coming out of Toronto. Local mining analysts say the Adams Plateau discov ery is anomalous in several respects, including grade, and the fact it’s not located in Toronto’s back yard.

Alex Davidson, Minnova’s exploration manager for western Canada, confirms that drills are still operating on the property but they have moved out of the high grade zone. The 6,000 m drill program started in early May and should last for another few weeks, he predicts. The zone has been drilled to 175 m down dip and he says it “seems to have a finite dip extent,” but he cautions that additional drilling could change this.

The high grade discovery has been traced for approximately 400 m along strike but the favorable horizon with enhanced silver values extends for a few kilometres, he admits. Widths vary from 0.4 to 7.5 m and the primary minerals are galena, tetrahedrite and sphalerite, but no significant amounts of arsenopyrite.

He says the massive sulphide horizon appears to have undergone a lot of remobilization noting it lies at a mafic volcanic, sedimentary contact with quartz veining piercing the contact at an oblique angle.

Rea Gold released additional results from another three holes at press time, two of which extended the zone 100 ft up dip and 120 ft along strike to the north of the high grade mineralization. Mr Davidson says the elevation is getting higher as the drill rigs move up the hill near the discovery zone.

The latest three holes included some of the most spectacular results reported so far including 10.2 ft of 407.2 oz silver per ton and 0.34 oz gold in hole No 108. The base metal values were also impressive and included 19.5% zinc, 9.4% lead and 6.3% copper. Hole No 107 encountered 5.75 ft grading 75.85 oz silver and 0.084 oz gold with 37% zinc, 4% lead and 4% copper. In hole 109, an 8.25 ft intercept returned 71.8 oz silver with 0.074 oz gold and moderate base metal values. A second intercept in that hole averaged 19.8 oz silver, 0.038 oz gold with associated base metal values that were also respectable.

Mr Davidson says that preliminary metallurgical test work has been completed and the results suggest a fine grind will be required and differential flotation. The property is accessible by car from Kamloops and there is good infrastructure in the region which will certainly improve the economics of the property.