Eastmain Resources Inc. (TSX:ER, OTCQX:EANRF), today reported an updated mineral resource estimate for its Eau Claire deposit, hosted on the 100%-owned Clearwater Property in James Bay, Québec. The new mineral resource estimate is based on an improved interpretation and better understanding of the deposit resulting in a significantly higher confidence level in the results. The new interpretation and estimate demonstrates higher grades and continuity of gold mineralization to a depth of 550 m and along strike for 1,100 m, remaining open at depth to the east.
A technical report to be prepared by SGS Geostat (“SGS”) will be posted on www.eastmain.com and the Company’s profile on SEDAR at www.SEDAR.com within 45 days of the date of this news release.
- Significant geological interpretation refinements and improved parameters compared to past estimations
- Inclusion of a minimum mining width to all interpreted veins
- Improved classification and continuity of veins within the deposit, and ability to target structures
- Better constraints on open pit resources using a strip ratio of 11.9:1
- Increased grade in both the open pit and underground portions of the deposit
- Open pit grade: 5.90 g/t Au (Measured and Indicated (“M&I”)) for a 46% increase (as compared to the prior mineral resource estimate at Eau Claire with an effective date of April 27, 2015 (the “2015 Estimate”) – see Note A)
- Underground grade: 6.26 g/t Au (M&I) for a 31% increase (as compared to 2015 Estimate – see Note A)
- Metallurgical recoveries from new testing set at 95%
- Supported by recent results of testing of mineralization and wall rock suites from across the deposit using gravity separation, flotation and direct cyanidation
- Strong growth opportunities
- Significant deposit expansion potential as well as district exploration potential along major regional structure in an infrastructure-rich region
- The new mineral resource justifies moving forward with a Preliminary Economic Assessment (“PEA”)
Using an appropriately constrained WhittleTM pitshell and a stricter underground wireframe model, the updated mineral resource consists of 826,000 ounces of gold (4.2 million tonnes at 6.16 g/t Au) in the Measured and Indicated category, and 465,000 ounces of gold (2.2 million tonnes at 6.49 g/t Au) in the Inferred category. Table 1 summarizes the total mineral resource and Table 2 describes a potential open pit and underground scenario, respectively applying 0.5 g/t and 2.5 g/t Au cut-off grades. Using the information available at this time, the selected pit shell represents Eastmain Management’s view of a robust, realistic and practical approach to a potential mining scenario at Eau Claire.
The new mineral resource estimate reports considerably improved grades but also reduces the contained ounces of gold in the deposit by 15% (126,000 oz) in the combined Measured and Indicated categories and by 36% (168,000 oz) in the Inferred category, compared to the 2015 Estimate (see Note A). These reductions are mainly the result of more conservative drill supported wire-frame interpretation and the application of a smaller search radii for resource classification. Eastmain will continue to seek additional mineral resources at Eau Claire through continued drilling of the deposit laterally and at depth.
Claude Lemasson, Eastmain Resources President and CEO stated, “Today, we achieve a major milestone at the Eau Claire deposit and for Eastmain Resources. This new high-quality mineral resource estimate illustrates true opportunity to develop an open pit and underground deposit in an emerging gold camp, supported by excellent infrastructure. The upgraded estimate is supported by strong grades, more conservative parameters, and a new understanding of the high-grade schist (“HGS”) veins, improved by tighter drill spacing in the core of the deposit. As a result, we commenced preparations for a PEA, anticipated for delivery in H1 2018.
He continued, “In addition to justifying advancing towards pre-development at Eau Claire, Clearwater’s exploration potential remains strong for expansion and growth of the deposit, as well as near the deposit with regional exposure to 40 km of the Clearwater Deformation Zone, within 50 km of Goldcorp’s Eleonore gold mine. Now, with the recent infill program behind us, we look forward to expanding the deposit’s footprint and exploring the district potential.”