CALGARY, June 11 /CNW/ -
Gold Prospects
Exploratory Licence of Occupation
Located on the north western sector of Lake Wanapitei, the Exploratory
Licence of Occupation covers two gold occurrences, known as the Bennett and
Aylmer occurrences. The Bennett occurrence has been little explored by modern
technology, until initial drilling in 1998 by Flag, with the Aylmer occurrence
yet to be explored by modern techniques.
A report by the Ontario Ministry of Northern Development and Mines,
(April 1995), reported that, in the Exploratory Licence ground, "the abundance
of free and visible gold has caused assessment problems due to the "nugget
effect". Assay results in a 1938 examination ranged from no gold, to almost 5
ounces of gold per ton. In 1952, a hand-picked sample assayed 21.58 ounces of
gold per ton."
Further work, on the E.L.O. ground, at an estimated cost of $114,800 has
been recommended.
Wolf Lake Gold-Copper Deposit - Wolf Lake, Mackelcan Township
The Wolf Lake gold and gold-copper zones extend for 875 feet, northeast
from the Number 1 gold zone to the Number 3 gold zone. Of the 171 drill holes
into the Wolf Lake deposit, until the end of 1997, 84 drill holes intersected
significant gold or gold-copper values.
Some of the better drill holes included WL83-28, 48 feet of 3.60% copper,
.043 oz gold per ton, from 148 to 196 feet; WL90-3, 73.5 feet of .519 oz of
gold per ton, from 104 to 177.5 feet; WL96-1, 20 feet of 0.47 oz of gold per
ton, from 165 to 185 feet.
Future proposed development includes step-out drilling from WL96-1, at
the northwestern edge of the Number 3 gold zone, drilling of an I.P. anomaly,
164 feet north of WL96-1. The I.P. Anomaly and the I.P. Anomaly over the
Number 3 gold zone were both designated as "A" anomalies. Future exploration
would also include an I.P. survey over the adjoining large hill, to the west,
which has extensive surface exposures of Sudbury breccia
Jess Lake Gold Deposit - 3900 feet southeast of the Wolf Lake gold
deposit.
Seventy eight drill holes, into the Jess Lake gold deposit, intersected a
number of significant gold intersections, from .06 to 0.736 oz of gold per
ton, to a depth of 600 feet. Consulting Geologist, Frank Tagliamonte
recommended bulk sampling by an open cut, shallow decline or shallow shaft, to
evaluate gold tenor and structure, at Jess Lake.
There are also gold occurrences, at Thomas Lake, Jones Lake, Matagamasi
Lake, North Crystal area, Rathbun Lake Peninsula and the South Boundary, on
Flag's 70,000 acre holdings in the Wanapitei Anomaly, Sudbury, Ontario.
Base Metal Prospects
Cobalt Hill, northeast of Jess Lake, Mackelcan Township.
Recent mineralogical and fluid inclusion studies, by Dr. Eva Schandl
(Geological Consultant, Research Associate, Department of Geology, University
of Toronto) resulted in the discovery of Ni-Cu sulfide inclusions in massive
pyrite (gersdorffite, brovoite, pentlandite - all nickel bearing, pyrrhotite
and chalcopyrite), along with mercury tellurides and gold within quartz veins
that crystallized from super-saline hydrothermal fluids, at Cobalt Hill.
A major exploration program, extending from 2002 to 2003, has been
recommended to test the theory that the source of the localized Ni-Cu-PGE
mineralization found at Cobalt Hill, maybe a relatively shallow (650 to 1000
meters deep), Sudbury type mineralized mafic/ultramafic intrusion.
Exploratory Licence of Occupation
Recent prospecting has found a copper occurrence, a pyritic breccia and a
gold bearing gossan zone, in unexplored areas of the E.L.O., exploratory work
on which has been recommended.
Base metal mineralization, on Flag's holdings also includes Ni-Cu-P.G.E.
mineralization at Cathro Lake, Rathbun Lake, Rathbun Lake Peninsula and the
South Boundary.
Current Activities
To obtain assessment credits, to be applied to keep its mining claims in
good standing, Flag has been drilling in a new area previously unexplored, in
the northeastern sector of Matagamasi Lake, Rathbun Township. Five closely
spaced drill holes, 100 to 150 feet deep, intersected disseminated sulfides,
ranging from thin intersections to a 50 foot intersection. The disseminated
sulfides, found from 12 feet to a depth of 128 feet, are in altered gabbro
rock, consisting of pyrite, with evidence of chalcopyrite and pyrrhotite
mineralization.
Although the disseminated mineralization is not of economic value,
because of the number of intersections, drilling is continuing below 150 feet,
to ascertain whether sulfide content increases at depth, with an increase in
chalcopyrite and pyrrhotite.
However, Flag's prime exploration targets, in 2002 are Cobalt Hill and
the Exploratory Licence of Occupation, with their recommended exploration
work.
Flag's president, Murdo McLeod and Flag's chairman and president of
Cooksville Steel Limited, Sid Miszczuk, are negotiating to reach a settlement
of Flag's indebtedness to Cooksville Steel of six million dollars. Settlement
of the indebtedness would leave Flag with no substantial debts. |
