Two drill holes on the property in 1987 and 1988 show the Annex zone is there; we're not looking for ore, we know where it is. The question here is will there be enough tonnage to be economic.
There was a strong consistency of grade and structure at the Reeves-MacDonald mine right beside us. They mined one stope for 3500 feet that had the same grade at top and bottom.
The REMAC property is a faulted SEDEX deposit. The four SEDEX zones that were mined at Reeves MacDonald have been faulted onto our REMAC property; the core from the old drill holes show that.
This gives Kristian a very high comfort level in saying the ore grade material that was pulled out of those two holes (54 ft of 8% Zn, .88% Pb, 1.6 oz Ag and cadmium in one, 30 ft of 7.53% Zn, .39% Pb and 3.11 oz Ag & cadmium in the other) will continue through the entire zone. Our goal is to prove we can get 1200 feet of ore zone, which would make a 5 million ton deposit. At $175 rock say, that works out to a deposit worth close to $1 billion.
That would make Remac roughly the same size as the Tunisian zinc deposit that Breakwater paid $20 million US for, and which already had an $80 million mill on it.
If we are lucky enough to hit 3500 feet of ore zone, which is what the two fault blocks at Reeves-MacDonald were, then we should have approx. 9 milion tons.
Gerry Klein, who was the chief geologist at Reeves-MacDonald from 1970-1974, is now Redhawk's chief geologist.
Lastly, when we were in Edmonton last week at Pescod's conference, the most FAQ was, if this property is so good, why doesn't Cominco own it, being right in their backyard? (REMAC is only 30 km from their Trail smelter.)
The answer is Kristian is the only guy who had the patience to deal with the several different people who owned small chunks of mineral rights in that area. It took him 4 years to put this property package together so Redhawk owns it 100%. |
