IDM Mining and Sunvest Minerals have signed a Letter of Intent whereby IDM would provide Sunvest with technical and geological consultation work, as well as logistical and community guidance for their Clone Gold Property.
Image: A mining digger. Photo courtesy of kathi_gott/Freeimages.com
It is located south of IDM’s Red Mountain Property, which is currently well-advanced in the Environmental Assessment review process. Both properties are east of Stewart, in BC’s Golden Triangle.
Sunvest Minerals CEO Mike England said: “This is extremely positive for Sunvest Minerals given the IDM team’s geological expertise and excellent relationships with the Nisga’a Nation and the Community of Stewart, as they advance the Red Mountain Project towards production.
“We look forward to an active field season to begin shortly, with beneficial contributions and exploration efficiencies through this agreement with IDM.”
IDM Mining CEO and president Robert McLeod said: “Our technical understanding of mineralization in this area of the Golden Triangle, particularly with IDM’s recent interpretations of post-mineralization folding will contribute to advancing and further exploring the Clone Project.
“I personally worked on the Clone Project in 1995 as a geologist for Homestake Mining, in joint venture with Teuton Resources, and am a believer in its exploration potential.”
Clone Project
Discovered in 1995, Sunvest’s principal mineralized zone at the Clone Property is located 15 kilometers south of IDM’s Red Mountain Deposit. Permitting is underway for drilling on Clone, subsequent to surface exploration that is proposed to start within the next few weeks. Significant retreat of glaciers over the past decades have exposed new areas of rock outcroppings. Surface exploration work and proposed drilling during the 2018 season would be staged out of IDM’s nearby exploration camp.
High-grade gold mineralization at the Clone project is associated with earliest-Jurassic age volcanic and intrusive rocks, forming during approximately the same metallogenic event as Premier, KSM, Brucejack, Red Mountain, Dolly Varden and other gold-silver deposits in northwestern British Columbia.
All of these mineralizing systems, including Clone, are spatially associated with earliest Jurassic intrusives however often exhibit different mineralization styles and metal associations. Gold mineralization at Clone occurs within quartz-hematite/magnetite structures, with the iron oxides likely remobilized from hematite-rich andesitic volcanics that are common in the Stewart area. Significant drilling, albeit highly localized, has been completed on the property.
In addition to high-grade gold mineralization, significant cobalt bloom has been observed on surface, at a facies transition between hematite and magnetite.
Letter of Intent
Pursuant to the Letter of Intent, the Company and Sunvest will pursue a definitive agreement for IDM to provide Sunvest with certain geological, technical and other general support services, including use of its camp at Red Mountain or facilities in Stewart, BC. Sunvest will be required to pay a monthly retainer fee and the agreed upon fees in connection with each scope of work and services requested. In addition, Sunvest will grant to IDM certain rights of first refusal.
Source: Company Press Release