Ronrico has $7m. program to reopen Louvicourt mine

Another gold mine in the booming Val d’Or area is to be reopened.

Culminating lengthy negotiations, Ronrico Explorations has come to an agreement under which it can earn up to a 75% interest in the Louvicourt Goldfields property for an expenditure of $7 million, The Northern Miner learns from Donald J. Kemp, Ronrico’s president. This mine, located nine miles east of val d’Or, was in operation between 1947-49 producing 31,915 oz gold when high costs and the fixed $35 gold forced suspension. No serious work has been carried out since 1950.

However, present gold prices, new technolgy in mining methods, coupled with certain unique features of the project, make both its immediate and long-term potential an attractive proposition, Mr Kemp feels.

Previous reports indicate the presence of 1-1.2 million tons of 0.18 gold left in the old workings, but he prefers to reserve judgment on these figures until he has the opportunity of carrying out his own evaluation.

Previous mining operations were carried out on four separate zones varying in width from 6.5-97.5 ft and along strike lengths up to 1,600 ft. This was from a 4-compartment production shaft to a depth of 975 ft on six levels.

Exploratory drilling in 1950 confirmed that all four zones are wide open. At least two are believed to plunge into the former El Sol Mines’ property which lies about 2,000 ft west of the underground workings. That ground is now held by Dominion Explorers Inc.

Economic gold intersections have been reported by El Sol at their common boundary at depths between 800 and 1,200 ft. (Discussions are being held between Ronrico and Dominion that could lead to some sort of deal between these two companies.)

Ronrico’s Louvicourt acquisition was made through Fonteneau Resources, a pri vate company jointly owned by prospector Peter Ferderber and geologist Fenton Scott who originally signed the deal with Louvicourt. Its interest will be earned in three stages. The initial one, firm, calls for an expenditure of $2 million for 25%. Starting immediately, this will include surface diamond drilling and shaft rehabilitation. A headframe and hoist have already been acquired.

The shares of Ronrico are traded actively on the Vancouver Stock Exchange while those of Louvicourt Goldfields, a former tse listing, trade on the Ontario coats system.