Found this in the Voisey Bay Newspaper good reading.
The search for the yellow metal
A history of gold exploration in Central Newfoundland
By David Evans, Department of Mines and Energy
Historically, Newfoundland gold was derived as a by-product from the
copper mines of Notre Dame Bay and the polymetallic base-metal
deposits at Buchans.
Mining of the first of these deposits began in 1860 with the opening of
the Terra Nova copper mine on the Baie Verte Peninsula. Prior to
1890 it was unlikely that gold was either detected or recovered from
these mining operations. However, it is estimated that between the
years 1896 and 1906 approximately 46,736 oz. of gold were
recovered from the Notre Dame Bay copper mines.
Significant concentrations of gold were also recovered from the
Rambler mining camp (1964-1982), but it was the Buchans deposits
which produced the bulk of the Newfoundland gold, approximately
650,000 oz. from five deposits mined between the years 1926 and
1984.
In the late nineteenth and early twentieth century there were isolated
attempts to explore for gold at a number of localities around the island.
Many early attempts at mining or exploration suffered either from
litigation between the property owners or by interference from the
French Navy.
Prior to 1904, the coastal area from Cape St. John to Cape Ray was
known as the French Shore. The 1783, Treaty of Versailles had
provided France with fishing rights in Newfoundland and prohibited
English settlement and/or any development, including mining activity,
within one half mile of the coast. The treaty was abrogated in 1904.
One can only imagine the frustration of the individuals involved in
exploration within the area under French jurisdiction and some of
these encounters must have been quite "colourful" indeed. One such
event was recorded by Captain A.B. Cunningham who was stopped
during the examination of a mining property in the Mings Bight area
(circa 1883) by a party of French marines.
His description of the event is taken from Once Upon A Mine: Story of
Pre-Confederation Mines On The Island of Newfoundland by Wendy
Martin, page 34.
"...I visited the workings in order to report progress and take reliable
samples of the minerals obtained. I was thus occupied when one
morning a French man-o'-war steamed into the Bight, a party of armed
blue-jackets landed, and planted the French flag over the principal
shaft. I very naturally demanded of the lieutenant in command an
explanation of these high-handed doings, and was by him referred to
the admiral, who was on board the man-o'-war.
"I promptly interviewed the latter on his ship and was received with
greatest politeness. A copy of the French Treaty was produced, by
which I found out that work of a permanent character could not be
carried on without one half mile of the foreshore..."
The earliest recorded gold production in Newfoundland occurred in the
late 1890's. Three small shipments of auriferous antimony and arsenic
ore were made from the Cross Cove and Stewart mines at Moreton's
Harbour in eastern Notre Dame Bay. No record of the amount of gold
recovered exists.
In 1902, John and Samuel Billiard discovered gold-bearing quartz
veins, which were exposed along Cing Cerf Brook, on the south coast
of the island. The property was acquired by J.P. Chetwynd, a south
coast merchant, and has come to be known as the Chetwynd Claim.
Three shafts were sunk on the property between 1903 and 1905 and
several tons of ore were shipped to New York for testing. No further
work was undertaken after the results proved uneconomic.
Two unsuccessful gold mining ventures were undertaken at the
Browning Mine near Sops Arm, White Bay and the Goldenville Mine
near Mings Bight on the Baie Verte Peninsula. The Browning Mine
opened in 1902 with the ore being raised, crushed and panned
manually. Crushing and concentrating equipment was installed in
January, 1903, but broke down continuously. A single shipment of 149
oz. of gold valued at $3,000 was made from the site before it closed.
In 1903, gold was discovered at the Goldenville Mine and by 1904, a
tramway was constructed and a trial shaft was sunk, from which 23
tons of ore were raised. The ore was processed at the Brookfield
Mine in Nova Scotia and 10.1/5 oz. of gold were recovered. With the
encouraging bulk sample results the main shaft was deepened to 100
feet and a second inclined shaft was sunk on the mineralized zone. A
third shaft was sunk to the north of the main shaft on a separate zone.
In 1906, a ten stamp gold mill and Wilfley Concentrator were installed
at the Goldenville site. Equipment breakdowns and less than
anticipated gold recoveries permanently halted mining operations in
1906 after 158 oz. of gold had been recovered.
The late 1920's saw a renewed interest in gold with exploration at a
number of the old occurrences including the Chetwynd and Goldenville
areas.
New discoveries of gold-bearing veins were made in 1928 at the
Hand Camp property by the Central Mineral Belt Syndicate and in
1932 at the Hearn prospect by prospector Thomas Armstrong. In the
early 1930's, the Newfoundland Department of Natural Resources
decided to undertake an appraisal of the known gold occurrences.
Field work was undertaken in 1934 by A.K. Snelgrove and C.K.
Howse, and the results of this study, entitled Geology of Gold Deposits
of Newfoundland, Bulletin No. 2, was published in 1935. This report
listed 26 named gold occurrences for the whole of Newfoundland; a
number of other minor gold occurrences were also mentioned.
In 1976, vein-hosted, gold and base-metal sulphide mineralization was
discovered near Cape Ray by prospector George Baily and this was
the first significant new gold find since the 1903 discovery of the
Goldenville Mine. An extensive exploration program was undertaken
by Riocanex Limited from 1977 to 1980 and by New Venture Equities
Limited. Dolphin Explorations Limited conducted detailed exploration
and diamond drilling of the property during the late 1980's. Geological
reserves within three separate zones total 0.886 mt at 7.54 g/t.
By 1980, there were only about two dozen known gold occurrences in
all of central Newfoundland. However, a number of factors were soon
to create a Newfoundland gold rush. High gold prices and a tax credit
offered by flow-through financing provided large quantities of money to
fund mineral exploration. In 1984, B.P. Resources Canada Limited
discovered the Hope Brook Deposit near the old Chetwynd Claim on
the south coast of the province.
Mineral exploration companies encouraged by this discovery began to
recognize geological similarities between Newfoundland and major
gold producing areas worldwide. Exploration activity soon focused on
the Baie Verte Line and the Gander River Ultrabasic Belt (Grub Line);
two structurally complex areas which drew comparisons with the
Californian Mother Lode Belt.
At its peak, gold exploration expenditure on the island amounted to
greater than $40 million. By 1990, exploration had waned, but the rush
had created a legacy of more then 200 new gold discoveries, and the
Hope Brook and Nugget Pond gold mines.
The Hope Brook Mine was opened in 1986 by Hope Brook Gold
Mines Inc., a subsidiary of BP Resources Canada Limited, with ore
reserves totalling 11.2 million tonnes grading 4.54 g/t gold. The
operation closed briefly in 1991 and was reopened by Royal Oak
Mines Inc. in 1992. The mine closed in September, 1997, due to
declining reserves, after producing 752,162 oz. of gold.
The Nugget Pond deposit was discovered in 1988 by Bitech Energy
Resources Limited. The deposit was purchased by Richmont Mines
and in April, 1997 the Nugget Pond gold mine was opened. Published
reserves at that time totalled 488 000 tonnes grading 0.357 oz/t gold,
with a mine life of four years. Gold production for 1997-1998 totalled
78,800 oz. and the mine has proven to be one of the lowest cost gold
producers in Canada.
Recent gold discoveries by local prospectors and junior mining
companies have renewed interest in Newfoundland gold. On the Baie
Verte Peninsula, Noveder Inc. is actively exploring for gold
mineralization in the Betts Cove and Mic Mac Lake areas. Richmont
Mines Inc. is also actively exploring the Nugget Pond property with the
view to increase mine reserves.
In the Kings Point area, Major General Resources has a drill-indicated
resource of approximately 614 400 tonnes grading 18.01 g/t Au
(356,000 oz. of contained gold) in the Hammerdown-Rumbullion
deposit. This mineralization was discovered in 1987 by Noranda
Exploration Company Limited.
In 1998, a group of local prospectors, George Lannon, Steve Courtney
and Gerald Pardy, discovered visible gold mineralization in the
Diversion Lake area, south of Grand Falls. Grab samples from the
Twi-Lite zone assayed up to 201 g/t Au. The property was optioned to
Fort Knox Gold Resources Inc. and the company subsequently entered
into a joint venture arrangement with Northway Explorations Limited.
Fort Knox has conducted geochemical and geophysical surveys over
the property and has identified a number of anomalous areas. In
March, 1999 these anomalous areas were tested by twelve shallow
diamond-drill holes. Results from this drill program were encouraging
with the best intersection assaying 10.9 g/t Au over 2.16 m from a hole
drilled to test the Spring Pit occurrence.
This discovery, coupled with the release of a till geochemistry survey
of the Grand Falls-Mount Peyton area, by the Geological Survey,
Newfoundland Dept. of Mines and Energy, resulted in a staking rush.
Fort Knox is actively exploring the Twi-Lite property and a trenching
and diamond drilling program is currently underway.
In south-central Newfoundland, Mountain Lake Resources Inc. has
optioned the Valentine Lake gold prospect from Noranda Exploration
Company Limited. The prospect, which was discovered by BP
Exploration Canada in 1986, comprises gold-bearing quartz veins
developed along a major northeast-trending shear zone. In 1998,
Mountain Lake completed a seven hole diamond-drill program which
returned assay values up to 10.7 g/t Au over 1.3 m. An extensive
diamond drilling program was undertaken on the Valentine Lake
property in 1999 with encouraging assay results.
Altius Minerals Corporation, a Newfoundland-based junior exploration
company, is focussing on low-sulphidation style epithermal gold
mineralization and alteration in central Newfoundland. The company
has staked an extensive area and has entered into joint-venture
agreements with Teck Corporation and Quebec-based Sulliden
Exploration Inc. Diamond drilling programs have been conducted on
the Mustang, Rolling Pond and Moosehead properties and results
have been encouraging.
Roland and Larry Quinlan, two local prospectors, discovered gold
mineralization associated with quartz veins and altered wall rock at
Wings Point, Gander Bay. Grab samples from the property have
assayed up to 17.5 g/t Au and channel samples up to 5.22 g/t Au over
1.75 m. The property was optioned to Fort Knox Gold Resources and
the company has completed detailed geological mapping,
geochemical and geophysical surveys and tested the mineralization
with four diamond-drill holes. Further exploration work is planned.
One of the most recent discoveries was made in the Glenwood area
by prospectors Allan and Kevin Keats and geologist Peter Dimmell.
The property referred to as the Appleton Linear comprises a series of
quartz veins, which contain spectacular visible gold, developed along
a northeast-trending topographic linear.
The property has been optioned to United Carina Resources Inc. and
the company has undertaken a detailed exploration program.
Numerous occurrences of visible gold have been reported from the
Dome, Road and Base Line zones. The company is currently testing
the property with a diamond-drill program and initial reports indicate
that the drilling has intersected mineralization similar to that observed
on surface.
A successful Newfoundland-based group of junior exploration
companies and an increasing number of trained and highly motivated
prospectors will continue to keep Newfoundland on the exploration
map. Many companies are actively exploring, both in areas with a
significant exploration history, such as the Baie Verte area, and in
"frontier" areas such as Grand Falls-Windsor and Gander Bay. With
new gold discoveries, central Newfoundland will continue to be a focus
for exploration and many new discoveries are anticipated.
Appleton Linear comprises a series of quartz veins, which contain
spectacular visible gold, developed along a northeast-trending
topographic linear.
The property has been optioned to United Carina Resources Inc. and
the company has undertaken a detailed exploration program. |
