Update on CIM Conference
Hi Jerry;
The announcement by Copperhill Corp. of the discovery of kimberlitic
dykes in Northern Labrador created quite a stir at the CIM conference on
Friday.During the previous two days the focus and attention by delegates
was on the news of the discovery of significant drill intersections of
VMS mineralization on the Company's PowderHorn property in Central
Newfoundland.As announced in two separate News Releases, Copperhill's
two drill holes, each encountered greater than 80 ft. of polymetallic
base metal sulphides.
>From my observations at the conference,delegates, local geologists,
representatives from major mining companies, and the media showed a lot
of interest in the Copperhill story.After chatting with a good number of
participants,it was clear that many "investors" had placed their bets on
a PowderHorn discovery by buying shares in CUHL during the past several
days.What I kept hearing was that this style of mineralization (VMS) is
"blanket-type" and has been shown elsewhere to have huge tonnage
potential...i.e. Buchan's VMS deposit.
In talking with representatives from Copperhill, I understand that the
core has now been recieved at the assay lab and that we should see some
results within the next several weeks.
With respect to the discovery of kimberlitic dykes in Northern Labrador,
participants appeared to be taken by surprise by Copperhill's
announcement.While we have been hearing about diamond discoveries in
Northern Quebec in the past month by Twin Gold, it is interesting to
note that CopperHill staked their properties in Northern Labrador in
1996, long before Twin Gold entered the picture.....thus, this is not a
closeology agenda by the Company.
>From the press release, we now know that from the petrological and
mineralogical analyses conducted by Kennecott,diamond indicator minerals
have been discovered within two of the kimberlitic dykes, and that the
geotherm for the dykes is permissive for diamond preservation.Diamond
indicator minerals included fosteritic olivine,G9 lherzolite garnet,
eclogitic garnet,megacrystic garnet,clinopyroxene,orthopyroxene,ilmenite
and chromite,a classic kimberlite suite. Because of inadequate sample
size, Kennecott did not do caustic fusion analysis for the presence of
diamonds.Until further sampling is completed and submitted for diamond
analysis, we can only speculate on what the results will be; it would
appear though that the probability of these kimberlitic dykes yielding
diamonds is extremely high.In the presentation given by Dr. Derrick Wilton,Consulting Geologist,the dyke which showed the highest population of indicator minerals looked to behuge.From what I learned at the conference, the prospectivity of both the PowderHorn and the Northern Labrador was ample for many local investors to take an early position in the sharesof CopperHill. |
