Claude Resources Provides an Update of the Exploration Potential of its Madsen Property, Red Lake, Ontario
News Desk
Toronto Stock Exchange Trading symbol - CRJ AMEX - CGR
SASKATOON, SK, June 19 /CNW Telbec/ - Claude Resources Inc. (TSX:
CRJ / AMEX: CGR) ("Claude") is pleased to provide an update on its
review of the mineral potential of its Madsen property in the Red Lake
area of northern Ontario, Canada. The Madsen property comprises over
4,000 hectares (10,000 acres) of contiguous claims and contains the
Madsen mine shaft, mill and permitted tailings pond. The Madsen mine
was the third largest gold producer in the Red Lake camp after the
Campbell and Red Lake mines, now owned by Goldcorp.
Claude has received and is compiling results of previous Placer Dome
work on the property. Initial reviews determined the following:
- 20 targets, grassroots to drill-ready, identified from Placer Dome
work;
- six high priority target areas will receive initial attention;
- drilling to commence in two weeks on targets representing possible
extensions of high grade Zone 8 (Russet Ultramafic Zone);
- deep drilling (to 1,500 metres) of potential high grade targets to
commence within 10 weeks;
- additional drilling is anticipated following review of other
targets.
The following six target zones (see attached maps)
(http://files.newswire.ca/357/MAPS.pdf) have been prioritized for
initial
attention as a result of their potential for the discovery of high-
grade gold
and/or polymetallic mineralization:
- Russet Ultramafic Zone, up-plunge extensions of the historic high
grade
Zone 8 lense at Madsen mine, discovered and mined in the 1970's on the
2200 to 2700 levels (1,100 to 1,200 metres depth). This zone is a
lense
of quartz carbonate alteration associated with the main ultramafic
body. Ore taken during historical mining operations possessed the same
geological characteristics as other high grade deposits in the Red
Lake
area, notably the Campbell and Red Lake Mines.
Historically, drill and face samples from this zone reported over
1 ounce per ton. However, it was common sampling practice at Madsen
during this period to remove all visible gold pieces before bagging
for
laboratory analysis; this did not allow for more exact calculations.
In addition, Zone 8 ore was blended with lower grade mill feed, again
blocking any true grade analysis. Structural interpretation of the
zone
indicates it could surface in an area of the main ultramafic body at
the south end of Russet Lake. One 1974 surface drill hole in this area
intersected a silicified zone. At the time, only two small intervals
were chosen for assay returning 76.6 grams per tonne over 0.15 metres
and 10.28 grams per tonne over 0.09 metres.
The potential horizon for high-grade mineralization extends from the
known Zone 8 up to surface, a distance of 1,300 metres. The area of
potential is also considered at this time to be open along the horizon
on both sides and at depth.
This target area is being prepared for immediate testing with drilling
scheduled to begin the next two weeks. A second drill, with the
increased capacity to reach targets 1,500 metres below surface, is
expected onsite at Madsen within ten weeks. This drill will provide
the
ability to test closer to the upper levels of Zone 8. Summer work will
also include a mapping and rock chip sampling program of the
ultramafic
units on the property.
- Fork area of the main ultramafic horizon, south of the Russet
Ultramafic zone. This is a large area that envelops four prospective
targets, WF, AD, BC and NE, each along a different horizon within the
ultramafic body. Specific assay results included 81.9 grams per tonne
over 0.8 metres within the BC zone and 47.0 grams per tonne over
1.3 metres within the AD zone.
All of these zones are similar to Zone 8 as they occur within
deformed,
brecciated mafic volcanic rocks within or adjacent to the main
ultramafic body. Drill tests may eventually show these intersections
to
be part of the same large mineralizing event that emplaced the
Zone 8 ore.
- Starratt Ultramafic area. The potential of the main ultramafic body
at
its southwestern end, near the Starratt and Devilliers-Creek targets
is
being grouped in with the overall exploration of the ultramafic body.
Although there has been no historical exploration of this target,
Placer Dome programs drill-tested the western contact in 2003,
intercepting 1.62 grams per tonne over 5.2 metres (including 5.13
grams
per tonne over 0.9 metres with visible gold).
- Aiken Russet Polymetallic area, west of Russet Lake. Twenty
significant
gold intercepts in 5 drill holes returned from 1.0 to 26.5 grams per
tonne of gold. Results also include 56 samples which returned copper
values ranging from 0.1% to greater than 2%; 66 samples that returned
molybdenum values ranging from 0.03% to 2%; and 24 samples that
returned greater than 0.05% tungsten. The tungsten values are expected
to increase once analysis is switched to the press-pellet X-ray
method,
a more conventional technique to assay scheelite-bearing rocks.
Initial work will involve compilation of the existing data as well as
a
more intensive soil and rock chip sampling program in preparation for
the fall or winter drill tests.
- Aiken Russet Iron Formation area, west of Russet Lake. Although this
is
a well known and drill-tested bedded, sulphide-rich horizon, a large
part of the drilling conducted from 1946 to 1986 was performed using
small core-diameter rigs, resulting in poor core recovery of the
nuggety, gold-bearing rocks. In addition, the sampling methods were
sporadic, with some holes not sampled at all. Visible gold occurrences
returned results up to 529 grams per tonne over 0.61 metres.
- Treasure Box area, north of Russet Lake. During the winter, a
surface
core drill program was carried out by Claude on the Treasure Box zone,
2.4 kilometres north of the Madsen mine complex. This zone was
discovered and drilled in 2002 with 21 out of the 27 exploration-stage
holes returning over 80 intercepts grading from 2.0 to 116.0 grams per
tonne of gold. The Treasure Box zone is characterized by quartz-
tourmaline-calcite-sulphide stringers and veins up to 35 centimetres
wide carrying nuggety visible gold. The veins appear to have been
emplaced as late-stage brittle fracture fillings in mafic metavolcanic
rocks and are considered to represent the uppermost portion of an
Archean gold system.
Preliminary results of this drill program are expected to be released
shortly.
The exploration programs are under the direction of Qualified Person
Judy Stoeterau, P.Geo, Vice President Exploration of Claude. Rigorous
quality assurance and quality control procedures have been implemented
on all Company core drill programs including blank, reference and
duplicate samples. All core samples are analyzed by fire assay with an
atomic absorption and gravimetric finish at the TSL Laboratory in
Saskatoon, Saskatchewan and the SGS Mineral Services Laboratory at Red
Lake, Ontario, both of which are ISO approved facilities.
CAUTION REGARDING FORWARD-LOOKING INFORMATION
This news release contains certain forward-looking statements relating
but not limited to the Company's expectations, intentions, plans and
beliefs. Forward-looking information can often be identified by
forward-looking words such as "anticipate", "believe", "expect",
"goal", "plan", "intent", "estimate", "may" and "will" or similar
words suggesting future outcomes or other expectations, beliefs,
plans, objectives, assumptions, intentions or statements about future
events or performance. Forward-looking information may include reserve
and resource estimates, estimates of future production, unit costs,
costs of capital projects and timing of commencement of operations,
and is based on current expectations that involve a number of business
risks and uncertainties. Factors that could cause actual results to
differ materially from any forward-looking statement include, but are
not limited to, failure to establish estimated resources and reserves,
the grade and recovery of mined ore varying from estimates, capital
and operating costs varying significantly from estimates, delays in
obtaining or failures to obtain required governmental, environmental
or other project approvals, inflation, changes in exchange rates,
fluctuations in commodity prices, delays in the development of
projects and other factors. Forward-looking statements are subject to
risks, uncertainties and other factors that could cause actual results
to differ materially from expected results.
Potential shareholders and prospective investors should be aware that
these statements are subject to known and unknown risks, uncertainties
and other factors that could cause actual results to differ materially
from those suggested by the forward-looking statements. Shareholders
are cautioned not to place undue reliance on forward-looking
information. By its nature, forward-looking information involves
numerous assumptions, inherent risks and uncertainties, both general
and specific, that contribute to the possibility that the predictions,
forecasts, projections and various future events will not occur.
Claude Resources undertakes no obligation to update publicly or
otherwise revise any forward-looking information whether as a result
of new information, future events or other such factors which affect
this information, except as required by law.
For further information
please contact: Neil McMillan, President & Chief Executive Officer,
(306) 668-7505
Judy Stoeterau, Vice President Exploration, (306) 668-7505
Renmark Financial Communications Inc.: Neil Murray-Lyon:
nmurr...@renmarkfinancial.com
Tina Cameron: tcam...@renmarkfinancial.com
(514) 939-3989, Fax: (514) 939-3717, www.renmarkfinancial.com
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Source: CLAUDE RESOURCES INC.
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