Probe Metals drilling pays off at Val d’Or East Project

By Ellsworth Dickson

Not only has the 85,000-metre drill program of Probe Metals Inc. [PRB-TSXV; PROBF-OTCQB] returned good gold values that expand the known New Beliveau deposit resource at its 100%-owned Val d’Or East Project, two new gold discoveries have also been reported. And the company is not even a quarter of way through the drill program.

For example, resource expansion drilling at the North Zone returned 4.1 g/t gold over 15.4 metres within a larger zone grading 2.2 g/t gold over 35 metres at a shallow depth. Other near surface intersections included 5.6 g/t gold over 3.3 metres, 7.3 g/t gold over 6.6 metres and 7 g/t over 5.0 metres at the New Beliveau deposit expansion drilling.

Another near surface intersection 250 metres north of the Highway Zone returned 6.2 g/t gold over 5.6 metres and 1.4 g/t gold over 8.7 metres. The above assays provide encouragement for a potential high-grade open pit operation.

As for the new discoveries, one is located 350 metres north of the Highway Zone and returned 3.9 g/t gold over 4.9 metres within a larger zone grading 2.6 g/t gold over 8.7 metres at an 8-metre depth. The second new discovery is located in the far south of the Pascalis Gold Trend and returned 5.2 g/t gold over 4.4 metres at a shallow depth.

The mining town of Val d’Or, Quebec, a mining-friendly jurisdiction, is one of number of significant mining towns strung out along the Abitibi greenstone belt that includes the major mining centres of Rouyn-Noranda and west across the Ontario border to Timmins and beyond. In total, the belt has produced over 200 million ounces of gold, making it one of the world’s great gold mining districts. Val d’Or alone has produced over 30 million ounces and features road access, electricity, a regional airport, water and a railroad.

Probe Metals is one of the largest mineral land holders in the Val d’Or area having consolidated a land position of over 1,000 km².

At the Val d’Or East Project, the company has already defined open pit-constrained indicated resources of 7,710,000 tonnes grading 2.16 g/t gold (535,900 oz) and underground indicated resources of 1,325,900 tonnes grading 3.44 g/t gold (146,500 oz).

Open pit-constrained inferred resources total 5,259,500 tonnes grading 1.46 g/t (247,400 oz) with underground inferred resources pegged at 4,044,400 tonnes grading 3.65 g/t tonne (474,700 oz).

Probe Metals has reported that there is favourable metallurgy with tests demonstrating good gold recoveries and no acid generation. Being in a mining town, there is a qualified labour pool available, various contractors and service providers.

Company management is not the only ones with confidence in the Val d’Or East Project as Goldcorp Inc. [G-TSX; GG-NYSE] owns approximately 13.7% of Probe Metals.

In June, Probe completed a $9.63 million flow-through private placement financing which brings the company’s treasury to about $39 million.

David Palmer, President and CEO, told Resource World, “Following our 43-101 Updated Resource Estimate announced in February 2018, we are remaining focused on continued resource expansion with 85,000 metres drill program currently underway. Our goal for 2018 is to increase not only size but also confidence in our resource ounces. With this goal in mind, we are already working towards the next updated resource estimate, with six drill rigs turning on the project. The most recent drilling has resulted in two new gold discoveries, up to 350 metres away from the current resource areas, confirming that we are over a significant gold system. Results to date are extremely encouraging and indicate significant potential for continued resource expansion as well as new discoveries.”