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Sector: Mining - Metals and Minerals :

 

News Release - September 22, 2017 04:10 PM ET 

 

 

MacDonald Mines Commences Sonic Drill Program of Oxide Sands at its Wawa-Holdsworth Gold Project

 

NEW YORK, NY, September 22, 2017 /Sector Newswire/ - MacDonald Mines Exploration Ltd. (TSX-V: BMK) (US Listing: MCDMF) (Frankfurt: 3M72) this week announced that it has initiated an approximate 2000 metres sonic drilling program of the Oxide Sands at its Wawa-Holdsworth Gold Project, located 20 km northeast of Wawa, Ontario.  The announced drill program will build off the robust findings of the 2017 Bulk Sampling program which affirmed a high value deposit at its Wawa-Holdsworth Gold-Silver Project; e.g. 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. The gold-bearing oxide sand zones now being quantified offer a potentially quick road to production (e.g. 3.45 g/t gold and 29.99 g/t silver ave. grade from a composite of 23 panels by past operator), current trenching and sampling program returned up to 6.45 g/t gold (TR775-0), up to 52.7g/t silver (TR750-6). An EM Max-Min survey confirmed that the sands extend at least 1.8km along strike and reach depths beyond 8m.

  

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 ~70M shares (post aforementioned PP) 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.

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 September 20, 2017 news release:

 

MacDonald Mines Commences Sonic Drill Program of Oxide Sands at its Wawa-Holdsworth Gold Project

 

TORONTO, ONTARIO--(Marketwired - September 20, 2017) - MacDonald Mines Exploration Ltd. (TSX-V:BMK) ("MacDonald Mines", the "Company", or “BMK”) announces that it has initiated an approximate 2000 metres sonic drilling program of the Oxide Sands at its Wawa-Holdsworth Gold Project.
 

Quentin Yarie, President and Chief Executive Officer of MacDonald Mines stated, "Our exploration program to date has shown that the precious metal content and extent of the Oxide Sands is larger than historically identified. Our on-going trenching program is defining the lateral extent of the Sand. This drilling campaign will enable us to assess the vertical distribution of the precious metals within the Sands as we continue to work towards developing a resource.

 

Sonic drilling, as opposed to conventional diamond drilling, has been optimized for unconsolidated material such as the Oxide Sands. Sonic drilling uses high-frequency mechanical vibration to penetrate the unconsolidated material and recover core samples that are more comprehensive than what is usually possible with this type of material.

Wawa-Holdsworth Project Overview
Neighbouring Richmont's Island Gold Mine, Argonaut's Magino Gold Project and Goldcorp’s Borden project, the 1142 acres Wawa-Holdsworth Gold Project is located 20km northeast of Wawa, Ontario. The land package has all the attributes to host a large gold system with numerous gold showings occurring in a 500m-wide deformation corridor. Historic work by previous operators defined three gold targets on the Wawa-Holdsworth Project: 1) Greenstone-hosted quartz-carbonate vein deposits (Soocana Vein System and Reed-Booth Showing); 2) BIF-hosted gold deposits (gold-bearing pyrite zones in an Algoma-type iron formation); and 3) Gold-bearing Oxide Sands developed from the weathering of the auriferous Pyrite Zones.

 

MacDonald is focusing its near-term exploration program on the Oxide Sands. The soft and relatively unconsolidated material can be extracted like an aggregate and the Company is evaluating its potential extraction.

 

A recent EM Max-Min survey confirmed that the sands extend at least 1.8km along strike and reach depths beyond 8m. MacDonald’s current trenching and sampling program returned up to 6.45 g/t gold (TR775-0), up to 52.7g/t silver (TR750-6) and is also expanding the lateral extents of the “black sands” with the discovery of new precious metals (gold and silver) horizons within the soil profile. This indicates that the gold and silver inventory of the Oxide Sands at the Wawa-Holdsworth Project may be larger than initially anticipated.

 

Preliminary metallurgical test work showed that conventional flotation techniques can be used to concentrate the precious metals in the sands. In the next month, a sonic drill will be mobilized to assess the vertical distribution of the gold and silver within the sands with the ultimate goal of developing a resource.

...click here for full copy from source

 

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Excerpt of MacDonald Mines August 30, 2017 news release:

 

MacDonald Mines Receives Final Precious Metal Assays on Trenching of Oxide Sands, Wawa-Holdsworth Gold Project

 

TORONTO, ONTARIO--(Marketwired - August 30, 2017) - MacDonald Mines Exploration Ltd. (TSX VENTURE:BMK) ("MacDonald Mines", the "Company", or "BMK") announces that it has received gold and silver assays on 6 trenches across the Oxide Sands zone. Trenches 725, 750, 775, and 825 produced positive gold (Au) and silver (Ag) results.

Table 1 highlights the recently received results from the on-going sampling. The spatial relationship between these trenches and the Oxide Sands trend is shown in Figure 1.

Table 1: Highlights from on-going Oxide Sands trenching and sampling

Trench ID Au
(g/t)**
Ag
(g/t)
AuEq
(g/t)*
Sample length
(m)
TR725-0 2.58 14.7 2.78 0.32
TR725-1 1.881 0.8 1.89 0.37
TR725-5 3.44 3.57 3.49 0.22
TR725-7 1.205 3.91 1.26 0.4
TR750-3 1.84 15.1 2.04 0.7
TR750-5 1.778 7.67 1.88 0.3
TR750-6 3.79 52.7 4.49 0.18
TR750-6 5.601 3.03 5.64 0.53
TR750-7 3.47 38.1 3.98 0.16
TR750-8 1.754 8.04 1.86 0.3
TR750-14 3.55 42 4.11 0.25
TR750-15 0.776 29.3 1.17 0.75
TR750-16 4.15 22.5 4.45 0.6
TR775-0 6.45 6.09 6.53 0.28
TR775-1 3.51 6.77 3.60 0.24
TR775-7 5.692 1.36 5.71 0.3
TR775-11 1.04 11.8 1.20 0.26
TR775-12 3.55 3.6 3.60 0.2
TR825-2 2.641 3.56 2.69 0.38
TR825-3 1.21 1.24 1.23 0.27
TR825-8 1.216 6.08 1.30 0.27
TR825-9 2.77 7.26 2.87 0.4
TR825-14 1.93 0.91 1.94 0.21
TR825-15 1.168 1.98 1.19 0.28
TR825-16 1.255 2.06 1.28 0.13
TR825-17 3.55 1.35 3.57 0.27
*AuEq calculated using spot price of 1309.5 US$/oz for gold and 17.425 US$/oz for silver taken at market closure August 28, 2017. AuEq = (Grade Au) + [(Grade Ag)/(Gold Price/Silver Price)] (ratio rounded to 75).
**Gold assays for trenches 725, 750 and 775 were already released without the silver results August 9, 2017.

To view Figure 1, please visit the following link: http://media3.marketwire.com/docs/bmk0830fig1.pdf.

Quentin Yarie, President and Chief Executive Officer of MacDonald Mines stated, "Our exploration program continues to expand the lateral extents of the Oxide Sands. Our trenching has uncovered new gold horizons within the Oxide Sands that expand the width of the precious metal footprint and indicate that the gold and silver inventory of the Oxide Sands at the Wawa-Holdsworth Project may be larger than initially anticipated."

Gold distribution in the "Oxide Sands" formation

The current trenching program is indicating that gold and silver in the soil formation are not solely distributed in the "black sands" layers as they are also found in soils ranging in colour from green-grey to orange and brown. The precious metal enrichments of this soil formation is possibly more widespread than initially anticipated as gold and silver enrichments appear not be restricted to purely the "black sands".

No significant results for precious metals were detected in trenches TR-800 and TR-850. TR-800 crosses a road where only disturbed material (road fill) was encountered. For TR-850, assays are still pending for nine stations along the trench where it encounters the favorable EM anomaly that is associated with the auriferous zones of the Oxide Sands formation.

Oxide Sands Sampling Procedure

The Oxide Sands samples are sampled like a borehole at systematic 1-metre intervals along the trenches. Overburden is not sampled - if the sands are exposed, they are sampled vertically along the wall of the trench in 2 to 3kg bags. Oxide Sands samples are not grab samples (seeSchematic below).

To view the schematic, please visit the following link: http://media3.marketwire.com/docs/bmk0830planview.pdf.

Wawa-Holdsworth Project Highlights

  • Neighbouring 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.

Positive preliminary metallurgical 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 in preparation for their potential extraction...

...click here for full copy from source

 

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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

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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

 

 

 

  

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