ME2018: IDM Mining Ltd.
Last updated 11/1/2018 at 9:35am
IDM Mining Ltd. is focused on developing British Columbia's next underground gold mine at the company's Red Mountain project a few miles east of Stewart. A feasibility study completed in 2017 outlines plans for a 1,000-metric-ton-per-day mill to process high-grade ore from the Red Mountain underground mine that is expected to average roughly 78,000 ounces of gold per year over an initial six-year mine-life.
This operation is based on 1.95 million metric tons of reserves, averaging 7.53 grams per metric ton (473,000 oz) gold and 21.86 g/t (1.37 million oz) silver.
Incorporating 29,312 meters of drilling completed by IDM Mining during 2017, Red Mountain now hosts 2.77 million metric tons of measured and indicated resource averaging 7.91 grams per metric ton (704,600 ounces) gold and 22.75 g/t (2.77 million oz) silver.
In addition, the underground mine project hosts 316,000 metric tons of inferred resource averaging 6.04 g/t (61,400 oz) gold and 7.6 g/t (77,200 oz) silver. This marks a roughly 5 percent decrease in this category, as most of the inferred resources in three planned mining zones – Marc, AV and JW – were upgraded to the higher confidence measured and indicated category. Roughly 82 percent of the current inferred resources are found in new zones – Smit, SF, Bray, Chicka and Cambria Zones – indicating the potential for future expansion at Red Mountain.
The new mineral resource estimate, along with improved geological interpretation and engineering optimization work, is being incorporated into an updated feasibility study.
At the same time, the proposed underground mine at Red Mountain is advancing through the BC Environmental Assessment Act and Canadian Environmental Assessment Act review processes.
The environmental assessment process and feasibility study is expected in the fourth quarter, paving the way for developing a high-grade gold-silver mine at Red Mountain.
"(W)e believe that Red Mountain will be the next underground gold mine in B.C.," said IDM Mining President and CEO Rob McLeod.
While advancing toward this goal, IDM Mining explored Money Rock, a zone at Lost Valley target about 4,000 meters south of the Red Mountain resource.
Trenching completed this year at Money Rock followed up on discovery sampling carried out in 2016.
The most recent results are from 51 panel samples collected on one-meter intervals from the Money Rock structure. These samples averaged 9.81 g/t gold and 101.4 g/t silver over 51 meters of strike, including 2 meters averaging 13.41 g/t gold and 1,531 g/t gold. The highest grade one-meter samples returned 49.43 g/t gold and 2,617 g/t silver.
During 2016, three drill holes from a single drill pad were completed at Money Rock. Hole LV16-01 cut one meter 3 g/t gold and 23.8 g/t silver and LV16-02 intersected 1.2 meters averaging 4.63 g/t gold and 90.90 g/t silver. All three holes intersected a post-mineralization dyke where the zone was projected to occur from surface. IDM plans target areas to the west and east of this dyke with future drilling.
Surface mapping and sampling also was carried out this year at Red Mountain, including targets at Lost Valley.
Editor's Note: IDM Mining was issued the provincial environmental assessment on Oct. 8. For more information read Stewart leaders support Red Mountain Mine published in the Oct. 12 edition of North of 60 Mining News.
IDM Mining Ltd. - TSX.V: IDM
Executive Chairman: Michael McPhie
President and CEO: Rob McLeod
VP, Project Development: Ryan Weymark
Ste. 1800, Two Bentall Centre, 555 Burrard St., Box 220, Vancouver, BC, V7X 1M9