Timmins Project 81 Taking Shape
I’ve always been a fan of companies that cooperate effectively to create lasting relationships and common value. The diversification of assets and resulting shared interests generally makes for a more productive affair than the lone-wolf-types can manage. Led by Vance White (Dickenson/Red Lake), Noble Mineral Exploration Inc. (TSXV: NOB) (“Noble”) 100% owns a property so large that it has spawned a relatively large number of such agreements.
The extensive property is under-explored and consists of mineral rights totaling approximately 70,641 hectares of land covering 14 townships immediately north of the Kidd Creek Mine Complex near Timmins, Ontario, and, crucially for this area, memorandum of understanding have already been signed with The First Nations. As of last year, Project 81 is Noble’s sole resource asset, but the company holds a range of significant interests.
The company optioned its Wawa-Holdsworth property to MacDonald Mines Exploration Limited last year. Noble received shares and warrants amounting to 19.4% partially diluted ownership, 5,000 oz of gold streaming (payments equal to 10% of production from the oxide sand zone on the property, up to a maximum of 5,000 ounces of gold) plus a 1.5% gold NSR on a highly prospective resource.
MacDonald Mines recently discovered a new gold-bearing oxide sand zone on the Wawa-Holdsworth site (created by long-term weathering of auriferous pyrite), just 250 metres west of the last confirmed sands, increasing strike to 1.5 km. Grades of 5.71 g/t gold equivalent (“AuEq”) over 3.05 m, including 9.31 g/t AuEq over 1.83 m have been shown in the newly discovered zone.
Lucrative partnerships such as this seem to be CEO Vance White’s style; negotiations have concluded for three separate Option/Joint Ventures on specific lands in Carnegie, Crawford and Dargavel townships, and a further two Option/Joint Ventures are in the works. Having such a large resource allows for considerable diversification of holdings and increases the strength of one’s professional network.
The flagship Project 81 certainly remains the focus, however; the company is currently executing an Airborne Gravity Gradiometer Survey (HDAGG) over the entire Project area (App. 10,000 Line Km), but has already completed a Heliborne EM & Mag Survey over the remaining southern 4 Townships that were not surveyed in 2012.
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The final results of both the airborne EM and Mag surveys in January 2012 and July 2017 now cover the entire ~70,000 hectares of Project 81, and have outlined several bedrock conductors and mineralized trends that have been confirmed by historical drill holes dating back to the 1960’s. The surveys have also identified EM and Mag geophysical drill ready targets in a number of the townships included in Project 81.
Work so far has revealed more than 4,000 anomalous responses with 1,822 targets, resulting in 532 unique bedrock targets within 94 anomalous trends. Noble is completing a detailed compilation of all historic and current data on Project 81, but has identified a number of gold and VMS targets to be followed up. Exploration is ongoing, but Noble’s frequent deal-making is already creating value.
Over the last twelve months, Noble shares have roughly tripled in price. The sheer scale of the property combined with management’s proven track record has me convinced that Project 81 will feature prominently in the mining and metals industry for a very long time to come.