Darnley Bay Resources Ltd. [DBL-TSXV; DNLYF-OTC] report assay results from the winter program at the Pine Point Project near Hay River, Northwest Territories. The project had past production of 64 million tonnes grading 7.0% zinc and 3.1% lead from 52 deposits, and hosts an additional 60 known deposits. Darnley Bay has initiated a Preliminary Economic Assessment on the project as a first step towards brining Pine Point back into production.
The results again have confirmed high-grade zinc and lead mineralization with good continuity along with high grade gallium and germanium values. The drilling was conducted at the W85 deposit, which was included in the recently-reported Preliminary Economic Assessment (PEA) (see news release dated April 18, 2017), and was completed to obtain metallurgical samples as part of the planned feasibility study.
|Hole #||From (m)||To (m)||Length (m)**||Pb%*||Zn%*||Pb+Zn (%)||Ga (g/t)*||Ge (g/t)*|
|* weighted averages|
|** estimated true thickness due to core angles on vertical holes|
This is the second hole from Darnley Bay’s $5-million exploration program for 2017 at Pine Point. A further 28 holes have been drilled at L65 deposit, which was included in the mine plan in the PEA. The drilling is designed to confirm some of the historical drilling and to expand the size of the deposit. Assays will be released on an ongoing basis. Darnley Bay plans to add a second drill to the program by mid-June.
The Pine Point property consists of a semi-contiguous group of 47 mineral claims and mining leases in the Pine Point District, about 10 km south of Great Slave Lake and accessible from Hay River by all-weather year-round highway which parallels the mining lease block.
Hay River in turn can be reached by 825 km of paved road north from Edmonton, Alberta. Hay River has all major services including an airport with scheduled jet service from Edmonton and Yellowknife, a rail terminal and a port from which all barge traffic proceeds on the Mackenzie River. An airstrip suitable for small aircraft is also present 4 km SSE of the former Pine Point mill site and 2 km east of the former Pine Point town site. The property is subject to a 3% net smelter return royalty.
Darnley Bay has filed the PEA technical report on SEDAR and on the Darnley Bay website (www.darnleybay.com).