Rambler joint venture busy on several fronts

To date, 45,000 ft of diamond drilling has tested several targets on the base metal property, and with 20,000 ft remaining in the $3.8-million program, the current work is expected to reach completion by June.

The joint venture has been busy on several fronts including the evaluation of existing reserves, metallurgical work on gold-bearing tailings, and general exploration of new zones and targets throughout the property.

In fact, the broad scope and many aspects of the current project have led to confusion among investors following the Rambler joint venture.

A surface discovery made last year, known as the Ming West zone, has been drilled to a depth of 800 ft, with recent results indicating a considerable narrowing of the zone at depth. Initial surface trenching and closely spaced drill holes had revealed high grade copper mineralization over significant widths. Drilling between depths of 400 ft and 800 ft on the Ming West zone have hit only thin intersections as follows:

From To Width Copper Hole (ft) (ft) (ft) (%) 29 405.6-406.7 1.1 2.04 35 570.9-573.1 2.2 4.40 37 577.6-578.6 1.0 2.46 60 9.0-612.0 3.0 0.45 38 801.7-805.3 3.6 7.74

The zone has a shallow dip of about 30 degrees and was drilled on widely spaced centres in the recent holes. Rather than continue to test the zone at vertical depths of 1,000-1,200 ft, the partners have elected to drill it at the 1,800 ft horizon. This will test for a possible extension in the vicinity of the northernmost workings of the old Ming Mine.

A drift from the Ming Mine carried out immediately prior to its shut-down in 1982 encountered and mined high grade copper-gold ore at a vertical depth of 1,800 ft down dip from the Ming West zone currently being traced.

A spokesman for Petromet said the discovery of the Ming West zone diverted exploration slightly by focusing attention on one target area. He stressed that the over-all objective of the phase one program remains to test as many targets as possible. He indicated the companies are not attempting to define ore reserves, but rather, are committed to exploring the over-all potential of the property.

Significant assay results from drilling on the Main Mine zone are:

WidthGoldZincCopper Hole (ft)(oz/t)(%)(%) 30 19.2 0.14 0.36 0.11

10.2 0.20 0.01 0.06 32B 16.7 0.07 1.26 0.15

15.3 0.20 0.58 0.15 32C 12.5 0.08 1.50 0.03

22.8 0.11 1.26 0.09

In addition to the Ming West and Main Mine zone on the Rambler property, a tailings deposit is estimated to contain 125,000 oz of gold. A total of 100 holes have been drilled on the tailings to provide material for metallurgical test work. The information obtained will be used to estimate capital and operating costs for reprocessing of the tailings.

The current program operated by Petromet, should be finished this summer, at which time Teck Corp. (TSE) can provide all further funding including a feasibility study and production financing to earn a 50% interest. Final vested interests in the Rambler property would then be Petromet (25%), Newfoundland Exploration (25%) and Teck (50%).

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