Goldex likes broad widths of GE zone intersections

A $2-million underground exploration drive to determine the size, shape and grade of the Goldex Extension zone near Val d’Or, Que., is now well past the halfway stage. But even though partners Goldex Mines (TSE) and Ormico Exploration (ME) are encouraged by some wide, low-grade intersections reported on the east side of the structure, a decision regarding GE’s economic potential is still a long way off.

One of a number of stacked zones encountered in the region, the GE is being tested from a drift on the 1250 level of Goldex’ adjoining Dubuisson Twp. claims where a pod-like zone containing 857,510 tons of grade 0.073 oz. has already been outlined.

The GE zone is about 2,000 ft. east of the Goldex shaft. At a depth of 1,600 ft., the upper limits of the GE are about 400 ft. below the lower end of the Goldex zone which is regarded as uneconomic at current gold prices (US$370 per oz.).

“Intersections encountered on the GE are much larger than anything we have seen on Goldex (claims),” said the company’s chief geologist David Rigg. Goldex owns 60% of the project while Ormico has 40%.

He was referring to highlights from a 5-hole program managed by Goldex affiliate Agnico-Eagle Mines (TSE). The highlights include a very wide zone of mineralization straddling the property boundary between the Goldex and joint venture property.

Values reported in hole 12-109 were 0.061 oz. gold per ton over 718 ft. including 0.12 oz. over 43 ft. at the boundary and 0.096 oz. over 175 ft. and 0.13 oz. over 22 ft. on the Ormico claims. Those values were intersected 200 ft. below hole 12-108 which yielded 496 ft. of grade 0.10 oz.

Hole 12-116 tested the GE zone, about 100 ft. west of hole 12-109, and intersected 0.096 oz. gold over 553 ft. including separate intersections of 0.16 oz. over 100 ft. and 0.28 over 46 ft.

From drilling completed so far, Rigg believes the GE zone has a vertical height of about 1,300 ft. and a horizontal width of between 300-500 ft. It also appears to be closing off at a depth of about 2,000 ft.

As two holes designed to test for new zones and environments to the north of the new zone intersected broad environments of veining and similar-styled but weaker mineralization to the GE, Rigg believes the potential exists for an en-echelon repeat of the GE zone at depth. “There may be another one down there,” he told The Northern Miner.

With additional work under way, Goldex is planning to look for the eastern limits of the deposit, while attempting to determine just what kind of volumes with which the joint venture is dealing.