Huckleberry drilling detects better grades at deposit’s core

Exploration on the Huckleberry property under option to New Canamin Resources (VSE) indicates that the previously drilled property has a higher-grade core, with drilling returning a number of wide good-grade copper intersections.

New Canamin is earning a 100% interest in the property, about 25 miles east of Kemano, B.C., from Kennecott by spending a total of $1.5 million. Kennecott has the right to back in for a 60% interest at the time of a production decision by paying 150% of New Canamin’s expenditures in excess of the $1.5 million.

The recently completed first-phase, 10,000-ft. drill program will be followed up with a second 10,000 ft. of drilling to start in early October. The two programs are designed to delineate a high-grade core within a larger preliminary reserve.

Previous work on the property in the early 1970s by Grandby Mining put preliminary reserves at about 85.6 million tons grading 0.4% copper with a strip ratio of about 1.1-to-1 at a cutoff grade of 0.3% copper. The old drilling returned a string of higher-grade intersections over a 1,500-ft. north-south extent.

The recent drilling included infill holes along the north-south extent as well as 100-ft. stepouts to the west.

The stepouts to the west include hole 92-3 which intersected 50 ft. from 50 ft. to 100 ft. grading 0.55% copper, followed by 50 ft. grading 0.58% copper, and 50 ft. grading 0.62% copper to a depth of 200 ft.

Hole 92-6 intersected 100 ft. grading 0.81% copper from 50 ft. to 150 ft., followed by 90 ft. grading 0.47% copper, and 50 ft. grading 0.24% copper to a depth of 290 ft. The hole was drilled 100 ft. west of 72-17 which intersected 300 ft. grading 0.82% copper.

Hole 92-7, 100 ft. south of 92-6, encountered 110 ft. from 30 ft. to 140 ft. grading 0.68% copper followed by 30 ft. grading 0.39% copper, 90 ft. grading 0.63% copper and 140 ft. grading 0.44% copper to a depth of 400 ft. Hole 92-11 returned the best grade, intersecting 95 ft. grading 0.81% copper to a depth of 170 ft. plus a further 80 ft. grading 1.32% copper to a depth of 250 ft. A further 120-ft. intersection to a depth of 370 ft. returned a copper grade of 0.38%. The drill hole is 100 ft. west of 72-10 which returned 450 ft. grading 0.73%.

Assays are pending on a further five holes.

Alan Savage, president of New Canamin, is anxious to begin the 10,000 ft. of drilling which will step out 100 ft. to the east of the old drilling. Savage is confident a high-grade core of 20-30 million tons can be outlined at an average grade of 0.6% copper or better.

The company is fully funded for the program and has about four million shares outstanding.