Quebec Precious Metals announces a ‘very promising gold discovery’ in James Bay
Given the current very strong gold price —- any gold juniors that can find gold are sure to do well! One of the most exciting gold juniors in Quebec announced a very promising gold discovery at their 100% owned Sakami Project.
That company is Quebec Precious Metals Corporation (TSXV: CJC | OTCBB: CJCFF | FSE: YXEP) (QPM). QPM is an early stage Canadian junior miner exploring for gold in the James Bay region of Quebec, Canada. QPM holds a prospective and large land package of 1,100 km2 located in the new gold mining camp region of James Bay. Their flagship project is the Sakami Project which allows for all year round drilling and is showing excellent exploration potential for gold.
Quebec Precious Metals projects in James Bay Quebec Canada
The Sakami Project
The Sakami Project covers 140 square km and lies about 90 km northwest of Newmont Corporation’s Éléonore Mine. QPM’s strategy for 2020 involves a ‘fully funded’ 25,000 meter drill campaign at Sakami and perhaps nearby deposits, culminating in a late 2020/early 2021 maiden resource estimate for the Sakami Project.
The main focus so far at the Sakami Project has been the La Pointe deposit, Simon deposit, and more recently the La Pointe Extension. Results are shown below and some highlights include a very promising recent drill result at La Pointe Extension (see discussion below).
A summary of drill results so far at the Sakami Project (La Pointe and La Pointe Extension)
The April 21, 2020 announcement by QPM stated:
“La Pointe Extension discovery: 1.15 g/t Au over 80.1 m at Sakami Project, extends deposit 2 km in step-out drilling…….
- Mineralization is identified to a depth of 215 m, and remains open. True widths are estimated to range from 75% to 90% of the down-hole length;
- The La Pointe and La Pointe Extension, located in the central portion of the Project, has potential kilometre-scale strike that remain underexplored extensions; and
- The Simon area with results that include 14.20 g/t Au over 2 m, 5.05 g/t Au over 5.06 m, and 4.66 g/t Au over 3.50 m demonstrates the potential of the Project. It is located 3 km NE and part of a larger 13-kilometre-long mineralized trend.”
A continuous 80.1 meter strike averaging 1.15g/t is very significant due to its length. Furthermore the 2 kilometer extension to the already very promising past discoveries is also highly significant. Furthermore the La Pointe deposit, Simon deposit, and new La Pointe Extension discovery are part of a larger 13-kilometre-long mineralized trend on the Sakami Project. Further drilling will be needed, but if this level of success continues then QPM should be able to announce a very significant maiden gold resource.
CEO of QPM, Normand Champigny, stated:
“The discovery of the La Pointe Extension is the most significant development on the Project since the creation of the Company. We look forward to start drilling again and demonstrate the very significant exploration potential of the Project.”
QPM will be announcing further assay results in the coming weeks. By June additional drilling will begin and then by late 2020/early 2021 QPM plan to announce a maiden resource estimate for their Sakami Project.
For investors it is reassuring to know that Newmont Corporation is a major share holder in QPM, holding 15.6% of the Company’s shares. Clearly Newmont has a sense that the region is very prospective for gold as they have learned from their nearby Éléonore Mine. Quebec Institutional investors hold 12.9%, and insiders hold 5%.
The QPM stock price has responded to the recent good news with the stock rising 50% from C$0.20 to C$0.30, but still has a market cap of only C$20 million. Analyst’s price target is C$0.55 so clearly they significant potential upside from here.