Strong flake graphite mineralization has been intersected in each of the 13 diamond drill holes now completed on Stewart Lake Resources’ Kirkam property 25 miles north of Kingston, which it holds under option from Falconbridge. Based on the 10 holes from which assays have been completed, management reports that drill- indicated reserves have now been increased to over 2,000,000 tons grading better than 7% graphitic carbon.
This drilling has been confined to the main zone which has now been traced for a length of 1,300 ft and which remains open on strike in both directions.
Encouraged by these findings, the company has acquired an additional adjoining 29 claims and will broaden its program, K. L. McLay, president, tells The Northern Miner. This will include additional line cutting, geophysical surveys and further detailed mapping. As well, a second diamond drill is to be put to work at once, with consideration being given to adding a third machine.
To finance this enlarged program, the company is negotiating for $1 million of flow-through funding at a price of around $4 per share, Mr McLay says.
Stewart Lake intends to continue drilling until indicated reserves of four million tons are established. Composite samples of the core will then be collected for metallurgical testing.
It is anticipated that this work will confirm the results obtained by Falconbridge in the 1950s when flotation tests produced a concentrate grading up to 95% graphitic carbon, with screen analysis indicating almost half the flake to be plus 50 mesh in size.
“Such a concentrate today commands a price of around $1,200 (US) per ton”, he says.
This company’s shares are listed on the Toronto Stock Exchange.
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