Wesdome Gold Mines (TSXV: WDO) has released drill results from underground definition drilling at its wholly owned Kiena mine complex, 15 km northwest of Val-d’Or and 100 km east of Rouyn-Noranda in Quebec.
The 21-hole, 6,770-metre drill program, conducted between May and August, confirmed the overall continuity of the Kiena Deep A zone’s geometry as well as high-grade gold mineralization. The drill program also identified additional mineralization down plunge of the most recent resource estimate, extending the A zone 880 metres down plunge.
Highlights from the A2 zone include drill hole 6584W1, which intersected 13 metres grading 151.1 grams gold per tonne starting from 245 metres downhole, including 4 metres grading 35.4 grams gold per tonne, and hole 6584W2, which cut 11 metres grading 96.03 grams gold per tonne from 275 metres, including 4 metres grading 25.70 grams gold per tonne.
In the A1 zone, drill hole 6583W1 returned 7 metres grading 55.13 grams gold from 357 metres, including 3 metres grading 31.4 grams gold.
“We are pleased with the ongoing drilling program that continues to focus on definition drilling of the high grade A Zone, in order to convert inferred resources to indicated resources, in advance of an updated resource estimate later in the year and subsequent incorporation into the PFS [prefeasibility study],” Duncan Middlemiss, Wesdome’s president and chief executive, said in a statement.
“The PFS will be used to determine the viability of mining the existing resources in the immediate reach of the Kiena mine to justify a mine restart. Longer-term, our focus will turn to the remaining resources on the Kiena property and the exploration potential.”
The project contains indicated resources of 2.83 million tonnes grading 8.67 grams gold for 788,100 contained oz. gold. Inferred resources add 2.92 million tonnes grading 8.51 grams gold for 798,100 ounces.
Seven drills are operating at the A zone and are primarily focused on definition drilling, with a lesser amount of extension drilling. In addition to the drill program, access development is currently being completed towards the A zone on the 111 level for the collection of a bulk sample.
Bulk sampling of the A zone will allow the company to assess the geological block model and rock quality characteristics and will provide information to complete the prefeasibility study, which is expected to be completed by year-end.
Recent drilling has also indicated that the VC1 zone, which can be accessed from the 67, 79, and 107 levels, has been extended 475 metres down plunge from the 67 level to the 107 level, where development and drilling are being completed. The zone could be an important mineralization source in the early days of any future mine restart, the company said.
Two holes from the latest drilling program, namely hole 6654, which intersected 2 metres grading 63.95 grams gold from 256 metres, and hole 6688, which cut 3 metres grading 5.48 grams gold from 212 metres, indicate the higher grade potential of the VC1 zone at depth, the company said. The zone remains open at depth and will be a focus for ongoing drilling.
“We are excited about advancing the access development towards the upper levels of the A Zone mineralization that will position the company to take a bulk sample, which will validate the geological block model and assess the geomechanical conditions in order to complement the quality of the work being done in the PFS,” Middlemiss said.
Data compiled by the company, combined with recent magnetotellurics and airborne magnetic surveys in the area immediately adjacent to the Kiena mine, have resulted in a new geological interpretation and identified a number of exploration targets.
The company has commenced a 10,000-metre surface drill program to test these targets. The targets are located along the Marbenite Fault, about 1.5 km from the Kiena complex.
At press time in Toronto, Wesdome was trading at $13.19 per share within a 52-week trading range of $5.74 and $15.00. The company has 139 million common shares outstanding for a $1.8-billion market capitalization.