Tandem, Noranda plan Val d’Or work

Despite severe difficulties facing junior mining companies today, Tandem Resources (ME) is one that is really trying.

Under the thumb of mining engineer S.G. Hawkins, there are no less than five active projects within its fold.

As reported at this company’s annual meting, an agreement has just been entered with Noranda Exploration for further exploration of a 1,600-acre base metal property north of Val

d’ Or, Que., which it holds jointly with North American Rare Metals (ME). (Tandem also owns more than five million shares of North American.) The agreement calls for a $1-million expenditure by Noranda over four years and then a cash payment of $140,000 to earn a 70% interest.

It was also reported that Agnico-Eagle Mines (TSE) will sink a production shaft on the Vezza gold project in northwestern Quebec which it holds under option from North American and Dundee-Palliser Resources (TSE). Agnico will truck this ore to its hungry 1,800-ton Joutel mill. Under that deal, Agnico must spend $7.4 million for a 51% interest.

As recently reported (T.N.M., June 15/92), Central Crude (TSE) is planning to carry out further deep drilling on the big low-grade Moss Lake gold deposit in northwestern Ontario held jointly by Tandem and Storimin Exploration (ASE). Tandem now holds a 49% controlling interest in Ayrex Resources (ASE), a junior oil and gas company of which Hawkins is now president. It earned a 6 cents per share net profit last year and expects to see a revenue of $350,000 this year. It is currently bidding on several new oil and gas projects in Alberta.

Tandem also holds a 29% interest in Matt Berry Mines (CDN) which has a 68-claim gold prospect in Duplessis Twp. in northwestern Quebec. This company will be reorganized on a 1-for-2 basis to pave the way for new financing. Tandem will also maintain prospecting crews in the field this season, the meeting was told.