Metals Creek drilling on Newmont gold joint venture
Metals Creek Resources Corp. [MEC-TSXV] has commenced drilling at the Ogden gold project in Timmins, Ontario. The Ogden gold project is a 50/50 joint venture with Newmont Corp., [NGT-TSX, NEM-NYSE] with Metals Creek serving as the operator.
The Thomas Ogden zone (TOG) will be the main focus of this drill program, with emphasis on further defining the orientation of high-grade crosscutting veins and mineralization as well as determining the special association of high-grade mineralization associated with crosscutting structures and veins within these fold structures. Assay results will be released as they are received and compiled.
Metals Creek has earned a 50% interest in the Ogden gold property from Newmont, including the past-producing Naybob gold mine, located six kilometres south of Timmins, Ontario. The project covers an eight-kilometre strike length of the prolific Porcupine-Destor fault, which is the key conduit for gold mineralization in the Timmins gold camp.
Since work commence on the property in 2009, Metals Creek says it has completed 137 drill holes, covering 35,830 metres.
There are five known gold zones on the property, with TOG and Naybob South seeing the majority of the work. Drilling in 2012 and 2013 on TOG greatly enhanced the company’s understanding of the geological and structural complexity within TOG and its control on gold mineralization.
Select results from these programs include 210.19 g/t gold over 12.53 metres, including 2732.64 g/t gold over 0.93 metres as well as 49.96 g/t gold over 9.0 metres, including 434.77 g/t gold over 9.00 metres.
In addition, a new discovery [TOG West], located 1.0 kilometre west of TOG resulted in an intercept of 5.20 g/t gold over 2.90 metres.
In addition, Metals Creek has signed a deal with Newmont, allowing the Canadian junior to earn a 100% interest in the past-producing Dona Lake gold project in the Pickle Lake mining district of Ontario.
On Friday, Metals Creek shares were unchanged a 12.5 cents and trade in a 52-week range of 21 cents and $0.05.
Metals Creek recently said it will receive 1.25 million Class 1 Nickel and Technologies Ltd. (NICO) shares in exchange for a 100% interest in 20 claim units covering 500 hectares in the River Valley area of Ontario. Under the deal, Metals Creek will also retain a 2% net smelter returns royalty on the Claims. One half of that amount (1.0%) can be purchased at any time NICO for $1 million.
Metals Creek President and CEO Alexander Stares said the sale of this property allows Metals Creek to remain focused on the Ogden Gold and Dona Lake properties, while giving the company and its shareholders exposure to copper/nickel/platinum group metals exploration.