Vancouver — Kenrich-Eskay Mining (KRE-V, KREKF-O) has delivered a modest resource estimate for the Double Ed deposit on its 50%-owned Coastal Copper project, located in the Anyox mining district in northwestern British Columbia.
Based on 2006 drilling of about 9,400 metres in 27 holes, Kenrich-Eskay has tabled an indicated resource of 1.85 million tonnes grading 1.6% copper, 1% zinc and 15.1 grams silver per tonne in the volcanogenic massive sulphide (VMS) deposit.
The drill program defined a massive sulphide zone with dimensions of 200 metres north-south, up to 300 metres downdip and a true thickness ranging from 2 metres to over 15 metres. The deposit is open to the north and south, as well as downdip. This year’s planned exploration program of about $1.5 million will include drilling to test its extension potential.
Mineralization consists of massive to semi-massive chalcopyrite and pyrite-pyrrhotite within altered mafic volcanics. A deeper section of the deposit is interpreted as a folded lens.
The Double Ed deposit, which was first discovered in 1952, is adjacent to the past-producing Hidden Creek and Bonanza copper mines, which operated from 1914-35 and 1929-35, respectively.
The Coastal Copper project is a 50-50 joint venture with a private company.
Kenrich-Eskay is also exploring its Corey project, about 10 km south of Barrick Gold’s (ABX-T, ABX-N) Eskay Creek gold-silver mine, in northwestern B.C. It plans a $6-million program this year on the project, including drilling.
Shares of the company recently traded in the 85-range, giving Kenrich-Eskay a $52-million market capitalization based on its 61.4 million shares outstanding.