Maple Gold is engaged with Agnico Eagle Mines Ltd. (AEM-TSX, AEM-NYSE) in a 50-50 joint venture that combines Maple Gold’s Douay Project and Agnico’s Joutel Project in a consolidated joint property package.
The Douay and Joutel projects are contiguous properties located in the Abitibi region of Quebec. The Joutel project hosts Agnico’s past-producing Telbel mine.
Agnico holds a 12.8% stake in Maple after complete a $6.2 million strategic investment in the junior by subscribing for 25.8 million units in a non-brokered private placement at 23.9 cents per share.
The Douay Gold Project covers an area of more than 390 square kilometres along the Casa Berardi Deformation Zone within the prolific Abitibi Greenstone Belt.
The Douay deposit is estimated to contain indicated mineral resources of 422,000 ounces or 8.6 million tonnes at an average grade of 1.52 g/t gold. On top of that is an inferred resource of 2.35 million ounces or 71.2 million tonnes at an average grade of 1.03 g/t gold.
Maple Gold said drill crews are currently completing holes D0-21-314 and D0-21-319 at the Nika and 531 zones. One of the two available drill rigs will then be mobilized to commence a planned 4,000-5,000-metre Phase 1 drilling program at the company’s 100%-owned Eagle Mine property, which is located in the Abitibi region of Quebec.
“This is an exciting time for the company as we ramp up our 2022 drilling program with two rigs currently turning at the site while we await assay results from the multiple batches of samples from Fall 2021 drilling at Douay,’’ said Maple Gold President and CEO Matthew Hornor.
“After thoroughly compiling and studying our 3D model at Eagle, we look forward to drill testing new target concepts and completing the first diamond drilling since 2015 along the past-producing, high-grade gold trend.’’
The Eagle property hosts the historical underground Eagle Mine, which formed part of a Agnico’s past producing Eagle-Telbel mining complex that produced 1.1 million ounces of gold between 1974 and 1993.
Maple said Phase 1 drilling at Eagle is designed to extend mineralization beyond the mined-out stopes and along sub-parallel target trends that were never mined nor adequately tested, focusing initially on areas with significant grade and volume potential.
The first phase of drilling will primarily target a proposed satellite mineralization trend or “shoot” to the northwest of the previously mined-out portion of the Eagle Main Shoot.
Given the historical production from the Eagle Main Shoot, drilling success in this area would help validate the potential for near-mine extensions and generate new target concepts, the company said.
On January 14, 2022, Maple Gold shares closed at 32.5 cents and currently trade in a 52-week range of 48.5 cents and 23.5 cents.