Sector NewswireTM

Sector: Mining - Metals and Minerals :

 

News Release -  July 14, 2017 05:10 PM ET 

 

 

MacDonald Mines: Favourable Metallurgical Results and Commencement of Excavation at Oxide Sands Au-Ag-Pt-Pd Wawa-Holdsworth Project

 

NEW YORK, NY, July 14, 2017 /Sector Newswire/ - MacDonald Mines Exploration Ltd. (TSX-V: BMK) (US Listing: MCDMF) (Frankfurt: 3M72) this week announced positive metallurgical results of the Oxide Sands its Wawa-Holdsworth Project, located 20 km northeast of Wawa, Ontario, and also announced grab sample results of 3.7 g/t, 4.77 g/t, and 6.0 g/t gold from a newly acquired adjacent section of property. This weeks news falls on the heals of news that the Company has begun exposing the Oxide Sands for sampling at different locations along strike identified by a recent EM survey. Excerpt copy of the last three releases are provided further below.

 

Immediately below (to the right) is a link to an interview from Jay Taylor of Hard Money Advisors Inc. with the CEO of MacDonald Mines, Quentin Yarie, at the recent Metals Investment Forum about the opportunity and developments within the Company. In the interview the CEO discusses the potential of the Oxide Sands it intends to mine; "If our calculations are right, we are looking at the ability to generate north of $100 million in revenue in a very short period of time."  The Company intends on using the proceeds of mining the Oxide Sands to advance the bigger precious metal picture on the property without shareholder dilution. Important to note is that the Company only has ~60M shares outstanding, and does NOT appear to require funds to take the project to large-scale aggregate mining of the Oxide Sands.

 

MacDonald Mines Quick to Cash Flow

 

Fig. 1 (above) Black Oxide Sands of Wawa-Holdsworth Property


 

Potential for an initial >50,000+ oz Gold from oxide sands aggregate open-pit appears to be edging closer to fruition.

 

MacDonald Mines Exploration Ltd. is executing on the strategy articulated in the aforementioned interview. The company is cashed up with well over $1 million in the bank, capitalized to see its flagship Wawa-Holdsworth through to fruition, advancing towards a near-term low-capex mining production scenario. There is the possibility of a 2.2 km strike length of Gold-Platinum-Palladium-Silver laden Oxide Sands Zones over the auriferous iron formation (which acted as a trap for gold circulating in the system). The gold-bearing oxide sand zones now being quantified appear to offer a quick pathway to production; neither aggregate licencing nor bulk sampling permissions will be required for large scale extraction of the Oxide Sands. An initial bulk composite sample of the Oxide Sands composed of 4 different locations returned 0.15 g/t platinum, and 0.36 g/t palladium, in addition to the average grade of 5.45 g/t gold. 2 kg oxide sand samples contain up to 59.8 g/t silver.

running time 7 min.

  

Click to see CEO interview

 

Jay Taylor of Hard Money Advisors and Editor of J. Taylor's Gold, Energy & Tech Stocks, interviews Quentin Yarie, CEO of MacDonald Mines.

- Metals Investment Forum Q2, 2017

 

"If our calculations are right, we are looking at the ability to generate north of $100 million in revenue in a very short period of time."

-- CEO Quentin Yarie

 

Excerpt of MacDonald Mines July 11, 2017 news  release:

 

MacDonald Mines Reports Positive Metallurgical Results of the Oxide Sands at its Wawa-Holdsworth Project, Wawa, Ontario

 

TORONTO, ONTARIO--(Marketwired - July 11, 2017) - MacDonald Mines Exploration Ltd. (TSX VENTURE:BMK) ("MacDonald Mines", the "Company", or "BMK") announces the completion of preliminary metallurgical test work on the Oxide Sands at its Wawa-Holdsworth Project, Wawa, Ontario. MacDonald Mines contracted SGS Minerals Services Laboratory (SGS) in Lakefield, Ontario to conduct metallurgical test work and investigate potential processing methods (see April 5, 2017 News Release). Test work was conducted by SGS Laboratories between April and June, 2017.

Highlights from preliminary test work on the Oxide Sands include:

  • The concentration ratio of gold in rougher flotation averaged 6.0:1
  • The concentration ratio of silver in rougher flotation averaged 5.2:1
  • Reduction of feed volume in rougher flotation by approximately 85-90%
  • The Oxide Sands can be processed by a simple crushing/flotation process
  • No caustic treatments are necessary
  • The processing will require low power requirements
  • The waste material is inert (>70 percent silica/quartz)

Quentin Yarie, MacDonald's President and CEO commented "Preliminary test work on the Oxide Sands at our Wawa-Holdsworth Project are very positive and show that conventional flotation techniques can be used to concentrate the gold, silver and potential platinum/palladium in the sands. These results are in line with our plans to bring the oxide sands into production by producing a concentrate for shipping to an off taker."

Further test work will include:

  • A deportment study to identify the main forms of the gold, silver, platinum and palladium occurrences;
  • Optimization of the grind for rougher flotation and other flotation reagents;
  • Analysis for platinum and palladium; and
  • Conducting cleaner flotation with regrind for both open and closed-circuit tests.

Preliminary Test Work

MacDonald Mines supplied a bulk sample of Oxide Sands from the Wawa-Holdsworth Project to SGS as the master composite for the test work. SGS's test work focused on head characterization of the master composite for head assay and mineralogy, composite grindability and recovery methods for precious metal extractions (gravity separation, magnetic separation and flotation). Alva Kuestermeyer, Metallurgical Engineer at Golder Associates, Lakewood, CO, has reviewed SGS's test program and results, and found them completed to accepted industry standards.

The master composite was blended, homogenized and crushed at SGS to different sizes for the mineralogy and head assay analyses, and as feed material to the respective recovery tests. A sub-sample of the master composite was analyzed for precious metals and sulphur with the assay results of 3.94 grams/ton (g/t) gold, 49.6 g/t silver, 0.15 g/t platinum, 0.35 g/t palladium and 0.14% sulphur. Mineralogy results indicated the presence of quartz (71.5%), micas (22.6%), iron oxides (1.91%) and chlorite (1.08%). Pyrite was the primary sulphide mineral, but accounted for only 0.33% of the total mass. Heavy liquid separation showed that the gold was largely associated with silicates and not sulphides. Grindability testing indicates a relatively soft material with a Bond ball mill work index of 10.6 kilowatt-hour per ton at a grind mesh size of 150 microns.

Positive test results were obtained with flotation in the two conducted tests. Feed materials for two flotation tests were 2-kilogram sub-samples of tailings from the gravity separation tests. Flotation test conditions were done at P80 grind sizes of 114 (test F1) and 72 microns (test F2), natural pH (7.0-7.7) and 40% solids using standard flotation chemicals and reagents of copper sulphate and potassium amyl xanthate (PAX) as activators and collectors, and methyl isobutyl carbinol (MIBC) as a frother. Maxgold was used as a second collector in the F2 test. The flotation results for the rougher concentrate yielded gold recoveries of 72% to 76% for the two tests. The silver recoveries vary significantly from 58% to 73% with the higher recovery at the finer grind.

The flotation results are summarized in the table below:

  P80 Grind Recoveries, % Assays, g/t
Test Microns Gold Silver Gold Silver
F1 114 72.3 57.9 27.6 286
F2 72 76.1 73.2 17.3 223

No assays were done in the flotation tests for platinum or palladium.

The test results indicate that neither gravity nor magnetic separation would be applicable for the recovery of precious metals from the Oxide Sands at the Wawa-Holdsworth Project.

About the Wawa-Holdsworth Project

The project is located near Hawk Junction, approximately 20 km north east of Wawa, Ontario. The Holdsworth property consist of a contiguous block of 18 fee simple absolute patented claims, including surface and mining rights covering approximately 705 acres.

Project Highlights

  • Neighboring Richmont's Island Gold Mine, Argonaut's Magino Gold Project and Goldcorp's Borden Project
  • Numerous gold showings with diversified mineralization styles occurring in a 500 metres-wide deformation corridor
  • Year-long road access and easy access to rail, road, electrical power, labour force and suppliers

Overview of MacDonald's Exploration Program

Historic work by previous operators defined three gold targets on the Wawa-Holdsworth Project:

  • Greenstone-hosted quartz-carbonate vein deposit (Soocana Vein System and Reed-Booth Showing);
  • BIF-hosted gold deposits (gold-bearing pyrite zones in an Algoma-type iron formation);
  • Gold-bearing Oxide Sands developed from the weathering of the auriferous Pyrite Zones.

MacDonald Mines is focusing its near-term exploration program on the Oxide Sands. These appear to extend for more than 2 kilometres on the property as corroborated by MacDonald's recent airborne magnetics results (see June 1, 2017 News Release) and reach a depth of at least 8 metres.

The soft and relatively unconsolidated Oxide Sands material can be extracted like an aggregate. The Company is working to better define the Oxide Sands as it continues to prepare for their potential extraction. ...

...click here for full copy from source

  

------ ------ ------      ------ ------ ------      ------ ------ ------

 

Excerpt of MacDonald Mines July 13, 2017 news  release:

 

Acquisition of Reed Booth Proves Favourable in first samples collected, returning 13.7 g/t Gold from Grab Sample

 

TORONTO, ONTARIO--(Marketwired - July 13, 2017) - MacDonald Mines Exploration Ltd. (TSX VENTURE:BMK) ("MacDonald Mines", the "Company", or "BMK") is pleased to announce assay results from recent ground sampling of the newly acquired Reed Booth Vein (Figure 1).

Results from Sampling Program:

  • Grab sample* containing 13.7 g/t gold collected adjacent to the newly acquired Reed-Booth showing
  • Grab samples* containing 4.77 g/t and 6.0 g/t gold collected from float at the main Reed-Booth showing; considered representative of the main style of mineralization at the showing

*Grab samples are selective and may not represent the true mineralization of the prospect.

Quentin Yarie, MacDonald's President and CEO commented: "Confirmation of the gold-bearing structure associated with the Reed-Booth adds an additional exploration target for the Company. We will continue to prospect the area both for lode gold type targets as well as the extension of the oxide sands which represents MacDonald Mines' goal of being a near term producer."

About the Reed-Booth Prospect:

Excerpt from Booth Barry, Joan M REPORT OF A 1993 WORK PROGRAM OFF THE REED BOOTH PROSPECT McMURRAY TOWNSHIP, ONTARIO

The known gold mineralization on the claim is hosted by quartz veining localized within an altered (chlorite, calcite, sulphide, silica) and sheared intermediate to felsic intrusive rock. A grab sample from the vein system in the main shaft and adit area assayed 0.91 oz/ton, Au Two veins appear to intersect in this area.

Another shaft was located during this program (3 Shaft), 105 metres east- northeast of the main shaft. The vein system at the 3 Shaft is 4.0 feet wide, strikes at 076 and dips -85 towards the north. There is no outcrop in the area between these two shafts.

The 2 Shaft is located approximately 120 metres southeast along the baseline from the main Shaft. There is scattered small quartz veining developed in altered felsic rocks in this area, but no apparent vein in the rock exposed at the shaft collar. Between the Main and 2 Shafts, a 2' to 3' wide quartz has been exposed in an old trench. A grab sample from this vein contained 0. 26 oz/ton, Au. A sample from a vein in this area by earlier workers (Sears, 1986) assayed 0.12 oz/ton, Au.

Grab samples taken by the Ontario Geological Survey in 1981 and 1990 in the waste rock of the vein system also indicated a high gold content in the Vein #1, with individual grab samples containing up to 124.49 g/t gold and 33.86 g/t silver (OFR5798).

About the Holdsworth and Soocana Claims
The project is located near Hawk Junction, ~20 km north east of Wawa, Ontario, and in total, is comprised of 30 claims covering approximately 1142 acres. The Holdsworth claims consist of a contiguous block of 18 fee simple absolute patented claims, including surface and mining rights covering approximately 705 acres. The Soocana claims consist of a contiguous block of 12 claims that cover 437.3 acres. These claims are under a 99-year lease agreement with Josephine Forest Resources Ltd. that expires on July 31, 2039.

Figure 1: http://media3.marketwire.com/docs/BMK713.jpg

Wawa-Holdsworth Project Highlights

  • Neighboring Richmont's Island Gold Mine, Argonaut's Magino Gold Project and Goldcorp's Borden project
  • Numerous gold showings with diversified mineralization styles occurring in a 500 metres-wide deformation corridor
  • Year-long road access and easy access to rail, road, electrical power, labour force and suppliers

Overview of the Wawa-Holdsworth Project

Historic work by previous operators defined three gold targets on the Wawa-Holdsworth Project:

  • Greenstone-hosted quartz-carbonate vein deposit (Soocana Vein System and Reed-Booth Showing);
  • BIF-hosted gold deposits (gold-bearing pyrite zones in an Algoma-type iron formation);
  • Gold-bearing Oxide Sands developed from the weathering of the auriferous Pyrite Zones.

MacDonald Mines is focusing its near-term exploration program on the Oxide Sands. These appear to extend for more than 2 kilometres on the property as corroborated by MacDonald's recent airborne magnetics results (see June 1, 2017 News Release) and reach a depth of at least 8 metres.

Recent preliminary sampling of the Oxide Sands by MacDonald Mines returned an average grade of 5.45 g/t gold (see May 16, 2017 News Release). Positive preliminary metturligal results (see July 11, 2017);

  • The concentration ratio of gold in rougher flotation averaged 6.0:1
  • The concentration ratio of silver in rougher flotation averaged 5.2:1
  • Reduction of feed volume in rougher flotation by approximately 85-90%
  • The Oxide Sands can be processed by a simple crushing/flotation process
  • No caustic treatments are necessary
  • The processing will require low power requirements
  • The waste material is inert (>70 percent silica/quartz)

The soft and relatively unconsolidated Oxide Sands material can be extracted like an aggregate. The Company is working to better define the Oxide Sands as continues to prepare for their potential extraction. ...

...click here for full copy from source

 

------ ------ ------      ------ ------ ------      ------ ------ ------

 

Excerpt of MacDonald Mines July 6, 2017 news  release:

 

MacDonald Mines Begins to Excavate Oxide Sands at its Wawa-Holdsworth Project, Wawa Ontario

 

TORONTO, ONTARIO--(Marketwired - July 6, 2017) - MacDonald Mines Exploration Ltd. (TSX VENTURE:BMK) ("MacDonald Mines", the "Company", or "BMK") announces that it has completed a surface Max-Min EM survey on its Wawa-Holdsworth Project. The survey was conducted to map the extent of the gold-bearing Oxide Sands. The Company has begun exposing the Oxide Sands for sampling at different locations along strike identified by the EM survey.

Quentin Yarie, MacDonald's President and CEO commented: "The EM survey confirms that the Oxide Sands extend at least 1.8 km along strike and supports the historic estimate that the Sands could reach depths beyond 8 metres. We have initiated an expanded trenching program to expose and sample the Sands along strike and we will mobilize a sonic drill in the next 4-6 weeks to begin testing their depth limits."

Max-Min EM Survey Results

Figure 1 presents the Max-Min data collected to date as a colour image, where red to white colours represent conductors approximately 1.8 km in length that are associated with the historic sampling locations of the oxide sands. 3D Modelling of the EM data over the known auriferous sands implies that the auriferous sands could extend well beyond their known depth of >8 metres (Figure 2). Exploration will now focus on confirming the surface and depth distribution of the gold-bearing sands along the 1.8 km trend highlighted by the Max-Min EM survey.

To view Figure 1, please visit the following link: http://media3.marketwire.com/docs/1098710_figure1.jpg

To view Figure 2, please visit the following link: http://media3.marketwire.com/docs/1098710_figure2.jpg

The Company believes that the Oxide Sands are a weathering profile of the Holdsworth Pyrite Zones rather than a depositional sand deposit. The known historic Holdsworth Pyrite Zones dip the same direction as the modeled EM response and would sub-crop at the location of the Oxide Sands. The auriferous pyrite zones are believed to be the source of the Oxide Sands.

The Holdsworth Pyrite Zones underlying the Oxide Sands are also of interest for their gold potential (Table 1). A drill core sample taken by Falconbridge Nickel Mines Ltd. (Band, 1983) was reported to contain 2.26 g/t gold across 2.5 metres. Three of the five holes drilled by Reed Lake Exploration Ltd. were found to contain very anomalous gold values in the massive pyrite: 1.06 g/t gold over a core length of 2.13 metres (Hole R23); 1.23 g/t gold over 6.1 metres (Hole R26) and 1.13 g/t gold over 5.8 metres (Hole R27).

Table 1 - Historic drilling intersections in the Holdsworth Pyrite Zones

Company Hole No From (m) To (m) Length (m)* Grade (g/t gold)
Reed Lake Exploration Ltd. 88-R23 119.2 121.33 2.13 1.06
88-R26 25.9 32 6.1 1.23
88-R26 35 37.1 2.1 1.4
88-R27 42.4 48.2 5.8 1.13
Falconbridge Nickel Mines Ltd OR-5 89.5 92 2.5 2.26

*Drilling intersections presented as core length. As they represent early exploration targets, no true width can be estimated for the Holdsworth Pyrite zones and additional drilling is required to estimate the true width of the mineralized zones.

On-going Exploration Program

The Company has begun the process of sampling and exposing the Oxide Sands with an excavator (see Image 1). Surface sampling of the sands will continue over the next few months. In the next 4-6 weeks, a sonic drill will be mobilized to begin testing the depth limits and vertical distribution of the gold/silver and platinum group elements within the sand column. The following are the Company's latest assay results from the oxide sands (June 29, 2017 News Release):

Table 2 - Assay results from grab samples** in the Oxide Sands taken from location A and BE

Description Gold g/t Silver g/t
Oxide Sands Area A 3.09 38.8
Oxide Sands Area A 2.71 49.7
Oxide Sands Area A 3.05 59.8
Oxide Sands Area BE 6.0 24.1
Oxide Sands Area BE 5.62 30.7

** The reader is cautioned that grab samples are selected samples and may not be representative of the mineralization hosted on the property

To view Image 1, please visit the following link: http://media3.marketwire.com/docs/1098710_image1.jpg

About the Holdsworth and Soocana Claims

The project is located near Hawk Junction, approximately 20 km north east of Wawa, Ontario. The Holdsworth claims consist of a contiguous block of 30 fee simple absolute patented claims, including surface and mining rights covering approximately 1141 acres.

Wawa-Holdsworth Project Highlights

  • Neighboring Richmont's Island Gold Mine, Argonaut's Magino Gold Project and Goldcorp's Borden project
  • Numerous gold showings with diversified mineralization styles occurring in a 500 metres-wide deformation corridor
  • Year-long road access and easy access to rail, road, electrical power, labour force and suppliers

Overview of the Wawa-Holdsworth Project

Historic work by previous operators defined three gold targets on the Wawa-Holdsworth Project:

  • Greenstone-hosted quartz-carbonate vein deposit (Soocana Vein System and Reed-Booth Showing);
  • BIF-hosted gold deposits (gold-bearing pyrite zones in an Algoma-type iron formation);
  • Gold-bearing Oxide Sands developed from the weathering of the auriferous Pyrite Zones.

MacDonald Mines is focusing its near-term exploration program on the Oxide Sands. These appear to extend for more than 2 kilometres on the property as corroborated by MacDonald's recent airborne magnetics results (see June 1, 2017 News Release) and reach a depth of at least 8 metres.

Recent sampling of the Oxide Sands by MacDonald Mines at location BE returned an average grade of 5.45 g/t gold obtained by averaging the two individual grab samples of Oxide Sands taken at that location (see May 16, 2017 News Release and Table 2). Preliminary metallurgical testing conducted by previous operators on composite samples recovered, without crushing, between 69% and 98.7 % gold. Earlier this year, MacDonald Mines initiated in depth metallurgical testing of the Oxide Sands to achieve the highest possible gold and silver recovery. Results are expected this Fall. ...

...click here for full copy from source

 

------ ------ ------      ------ ------ ------      ------ ------ ------

 

The following additional research links have been identified for further DD on MacDonald Mines Exploration Ltd.:
 

MacDonald Mines' corporate website: http://www.macdonaldmines.com

 

SEDAR Filings for MacDonald Mines: http://sedar.com/DisplayProfile.do?lang=EN&issuerType=03&issuerNo=00004560

 

Q2-2017 interview with Analyst Jay Taylor of Hard Money Advisors: https://www.youtube.com/watch?v=J2jrtYe3jzo

 
Q2-2017 Report by Analyst Jay Taylor of Hard Money Advisors: http://www.sectornewswire.com/bmk-JTaylor-20170421.pdf

 
Recent Mining Journal review of MacDonald Mines: http://miningmarketwatch.net/bmk.htm

------ ------ ------      ------ ------ ------      ------ ------ ------

 

  

This release may contain forward-looking statements regarding future events that involve risk and uncertainties. Readers are cautioned that these forward-looking statements are only predictions and may differ materially from actual events or results. Articles, excerpts, commentary and reviews herein are for information purposes and are not solicitations to buy or sell any of the securities mentioned. * indicates not necessarily NI-43-101 compliant.

 

 

SOURCE: Sector Newswire editorial

editorial@SectorNewswire.com

 

 

 

  

Additional Disclaimer and Disclosure I Contact I Terms and Conditions I Copyright I Privacy Policy