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Feature article January 18, 2017:

 

New Carolin Advancing and De-risking Ladner Gold Project, 150km East of Vancouver, BC

  • Proving-up Historic (728,429 oz) Gold Resource  & Multi-Million Ounce High-Grade Mesothermal Bralorn/Motherlode-Type Model Potential

  

New Carolin Gold Corp.

(TSX-V: LAD)  (OTC: LADFF)

 

New Carolin presents exceptional risk/reward characteristics at its Ladner Gold Project, 2 hours East of Vancouver, BC:

 

  • Plan to verify the 2009 estimate of potential quantity; "5 - 5.6 million tonnes grading 4.2 - 4.8 g/t gold at a 2.5 g/t cutoff, or between 0.9 - 1.1 million tonnes grading 8 - 9 g/t gold at 5 g/t cutoff" (source: 2015-Technical report), large database (~700 holes, ~50,000 m) and access to underground past production workings will result in a low-cost/high-impact program (underway now, with results imminent).

  • Tailings deposit grading 1.83 g/t is actively being marketed for sale to generate capital so Company may advance the project without share dilution.

  • Large land package with 5 past producing mines and 30 high-grade workings; similar geology to Bralorne and Motherlode -- multi-million ounce potential. Phase 1 mapping and sampling has outlined gold targets along a 6 Kilometer Corridor.

  • Experienced management, skilled technical leadership, stable mining-friendly jurisdiction, and excellent infrastructure.

click to access

Q4 2016 Report, $.50/share target

New Carolin Gold Corp. Issued Significant Upside Market Valuation In Research Report

 

LAD.V is identified in a newly issued research report by Market Equities Research Group with several potential catalysts that exist near-term with potential to result in $100 million market cap (50 cents/share).

Click to view advisory

  

Mining expert Jay Taylor of Hard Money Advisors updates coverage on New Carolin Gold Corp.

 

"If, as I expect, exploration and drill results attract the attention of major mining professionals, New Carolin could be one of our top “moon shots” during this leg of the secular gold bull market."

- J. Taylor Feb. 19, 2016

 

   

Valuation Commentary: New Carolin Gold Corp.'s (TSX-V: LAD) (OTC: LADFF) Ladner Gold Project is located only 150 km East of Vancouver, BC, Canada, in the Coquihalla Gold Belt.  It hosts 5 past producing mines and a high-grade underground historic (non 43-101) resource* at the Carolin Mine of 728,429 gold ounces (affirmed by past operator Century Mining's 2009 estimate of potential quantity: 5+ million tonnes grading 4.2 - 4.8 g/t gold, or ~1 million tonnes grading 8 - 9 g/t gold) -- the Company currently has resources on the property of ~714,000 ounces gold (although lower grade until confirmation drilling and other related work is performed). LAD.V is currently in the midst of a drill program to test predicted extensions to known mineralized zones, and has a plan to prove-up the larger multi-million oz high-grade mesothermal Bralorn/Motherlode-type model potential. 

 

LAD.V's current market capitalization is ~$11.3 million (162,250,722 shares outstanding X ~7 cents (~185M fully diluted)). New Carolin Gold Corp. presents exceptional risk/reward characteristics; mining analyst Jay Taylor of Hard Money Advisors maintains a 'BUY' rating on LAD.V and believes in the big-picture multi-million ounce potential of the Ladner Gold Project stating, "If, as I expect, exploration and drill results attract the attention of major mining professionals, New Carolin could be one of our top “moon shots” during this leg of the secular gold bull market." [view copy of his last update here] Phase 1 mapping and sampling by New Carolin this 2016 has outlined gold targets along a 6 Kilometer Corridor, and quality channel samples assayed this 2016 have yielded exceptional grades, including results up to 4.08 g/t Au over 9.0 m at the McMaster Zone. Shares of LAD.V are poised for upside revaluation as the inherent value and accomplishments are appreciated by the market, and apt to respond in multiples as additional results materialize, and as gold retrenches and strengthens.

 

On November 17, 2016 The Company announced initial results from the surface drilling program recently completed, including 6.0 metres of 4.97 g/t Au including 2.0 metres of 11.90 g/t Au, and on December 15, 2016 the Company announced additional results including 4.0 M of 4.79 g/t Au and 2.0 M of 6.29 g/t Au and that it was commencing target definition drilling underground as part of a Phase 2 Work Program. The following image and table taken from the Company's geo model found on its website is expected to be a primary area of focus of Phase 2 and expected to bring the values seen in the following table into resource, note the impressive consistent grades and widths (e.g. 60.53 m of 2.79 g/T, 68.9 m of 2.26 /T, 62.3 m of 4.47 g/T):

 

 

Past production, development, and exploration on the Ladner Gold Project

 

The property has been producing gold since 1890, there are numerous high-grade artisan workings along the fault line that runs the length of the 28 km-long property, mostly they were chasing very high-grade surface showings, some up to 120 - 130 oz/tonne. Meaningful exploration and development of the property started in 1975 with a mining company that drilled out the Carolin Ladner Gold Project and put it into production in 1982 -- unfortunately gold prices were uncooperative; when they drilled they were at near-$800/oz gold and when they got the mine into production gold was at $400/oz and heading the wrong way. The project had terrific headgrades (near-5 g/T) but the operators were deficient in their mill set-up and operating skills, attaining only near-30% recoveries for the first ~3/4 of their operation before upgrades yielding ~60% recoveries -- this has serendipitously set-up an opportunity for the current owners of the property as the tailings are richly-laden in gold and readily exploitable. Past operator, Athabaska Gold, explored and developed underground in the mid-90's with the intent of blocking-out a solid mineable grade and released a resource estimate in 1997:

Resources

 Tonnes

Grade g/T

Ounces

Measured:

1,124,040

4.31

155,775

Indicated:

1,393,460

4.28

191,768

Total M& Indicated:

2,517,500

4.29

347,543

Inferred:

2,569,540

4.61

380,886

Total/All Categories:

 

 

728,429

* This resource estimate pre-dates NI43-101 standards

 

Figure 1 (right) - Carolin Mine model derived from current drill hole database; the blue represents mined out areas and the red represents gold assays of minimum 1.0 g/t and higher. 

 

Figure 3. Mineralization/Geological Model - 5 Historical Mines & 30 known gold showings along fault.

Past operator Athabaska Gold spent ~$3.5 million proving up new ounces and defining high-grade areas they could mine, but by the time they were looking to raise money to put the Carolin back into production gold was down in the $300 range heading toward $250. Tamerlane and its sister company Century Mining picked-up the property to take the Carolin Mine to production but it got financially spread thin and bogged down elsewhere. LAD.V stepped in late in the game just prior to the receiver getting involved and got its foot in the door -- LAD.V now (as of early 2016) owns 100%!

 

Figure 2. (above) large potential resource growth between McMaster and Carolin Mine

 

Ability to add significant ounces: The Carolin Mine mineralized zone is open in all directions, the underground workings are dry, and fully accessible. A mine development map from 1981 shows level 800 being extended north for 1.2 km to the McMaster Zone, this was never performed, however this area between is highly prospective for additional ounces. Most of the drilling to date on the project has been to expand existing mining that originated from surface showings (chasing the known mineralized structure), the project has received next to nothing (only been drilled sporadically & nominally) for exploration and remains largely untested even in obvious areas where confidence is high something major geologically has occurred. The McMaster zone has a heavily discounted current resource of ~79,540 oz with over half the existing resource at ~2+ g/t and near surface, but the bigger story is in what the confirmation drilling on Carolin & McMaster and other new targets will yield; it is theorized the McMaster has the potential to rival and surpass the historical Carolin figures in size and grades. All drill holes on the project to date have been relatively short (nothing more than ~200 m) and all have intersected gold.

 

Serious potential for a new gold district at Ladner Gold Project

The geological model and local structures at Ladner Creek are comparable to Bralorne (4M oz) & Motherlode (7 million oz producer) mining camps:

 

 

The Hozameen fault runs along the length of the Ladner Gold Project: All the mineralized gold zones on New Carolin's Ladner Gold Project appear to be like streams coming from the fault to surface; 30 degree-angled down-dipping stacked zones. High priority target areas LAD.V has identified are expected to affirm Ladner Gold Project has similar geological makeup to a high-grade shale-based mesothermal Bralorn/Motherlode-type model. The theory is there is a brand new zone running between 1.5 - 3 km that needs to be drilled. Confirming a new major gold zone will demonstrate multi-million ounce large-scale exploration potential of the model -- if so, there could be potential for 10 - 20 million ounces on the property.

 

Recoveries of up to 94.5% possible: Metallurgical test work of core taken from the McMaster Zone (DDH 32-09; 3.96 g/t gold over 27.6 m from 32.4 to 60.0 meters) indicates overall gold recoveries of up to 94.5% possible. Pressure-oxidation and carbon-in-leach has shown recoveries of 96.3% on floatation concentrate. Using floatation, pressure oxidation and cyanidation of the floatation tailings returned overall recoveries of 94.5%.

 

Tailings resource to be sold/leveraged:

Figure 5. Carolin Mine in production, 1984

Figure 6. Tailings impoundment facility, drain ~12 feet off and you could drive a truck onto it.

Figure 7. Gold-laden tailings sample

 

The tailings impoundment host a homogenous resource that is readily accessible and is actively being marketed for sale to generate capital so Company may advance the Ladner Gold Project without share dilution. 69 holes were drilled into 60% of the tailings establishing a resource of 404,000 tonnes Indicated grading 1.83 g/t (~24,000 contained oz gold) and 84,400 tonnes Inferred grading 1.85 g/t (~5,000 oz gold). Naturally we can logically deduce there is probably ~40,000 ounces since only 60% was drilled. Also we note historical production records show the mine put through ~85,000 ounces of gold material yet only ever sold ~44,000, so that leaves 41,000. LAD.V has several options, however the preferred is to sell the tailings outright to a the 3rd party that will process it, at current gold prices we estimate this should net in excess of $10 million (after capex & opex) over a 4 year timeframe -- a discounted sale price now has the potential to generate between $2 - $3 million to New Carolin Gold Corp.

Figure 8. Gold bar from past production at Carolin Mine, close to half the gold contained in material processed at the time still remains in the tailings awaiting reprocessing.

    

Potential near-term quick-start mining scenario: In September 2014 New Carolin Gold Corp. completed its mandated inspection and report on the tailings impoundment located on its property -- the Company is fully permitted and up to date. The remaining tailings capacity is 1,327,723 metric tonnes -- this would accommodate New Carolin Gold Corp. restarting production at 600 TPD for 6 - 8 years. For a starter mining operation, New Carolin Gold Corp. could possibly target the ~1 million tonnes of ~9 g/t discussed in the May 29, 2015 Technical Report, and there would be enough room in the existing already permitted tailings pond to accommodate the operation -- back of the envelope calculations (assuming US$1,180/oz Gold (= ~CDN$1,500/oz Gold), and ~CDN$910/oz (US$700) cash-costs, ~90% recoveries) such an operation has potential to generate CDN~$150,000,000 NET (before offsetting capex and development to get there), and that's just the starter (Note: there is no PEA or plans, as we said 'back of the envelope' by this Journal). Such a scenario is not in the current plans of LAD.V, however this analysis underscores the appeal of the project, and chances are a major will step in and take this project to much higher scale and level when the multi-million ounce potential is demonstrated -- as is the plan.

 

Exploration update:

 

Summary of recentThe Company has effectively revealed the geological formation and events that created the gold system, setting the stage for pinpoint targeting of high-grade in the hinges of the folds going forward
Prior to now past operators had not figured that they were dealing with a fold system. There has been a lot of work performed at the property over the years, drilling and mining, particularly at the past producing Carolin Mine. A lot of professionals that have worked on the property have strived to understand the structural controls (geological events and formations) that caused the gold to be distributed where it is now sitting. What the Company has discovered through the systematic geological work to date, via drilling, sampling, and structural surveys topside and underground, for a 6 km length along the fault (from the Carolin Mine up to the pipe-stem), it has demonstrated that the geology is the same along the entire distance of the fault -- now understood the be a fold system, containing multiple folds. So far LAD.V had definitively encountered two folds, including the Carolin Mine. The geology, rock type, and structure has been traced for 6 km and the confidence level is high that there are multiple folds along the trend that can now be targeted with a high degree of accuracy. The Company has moved the thesis on the property containing multiple folds from theory to reality.  
Technical people and professionals are in agreement that LAD.V is now highly prospective for major high-grade discovery.
The sporadic nature of the high-grade gold found to date is now understood to be so because the gold has been accumulated in the hinges of the folds and LAD.V geologists will now be able to focus future drilling in a pin-point fashion. Now that LAD.V knows for certain they are dealing with a fold system, the latest model will allow geologist to target the gold in the hinges. The property is understood to be a massive system. Important to note in the Company’s December 15, 2016 drill results is that the last drill holes were performed for structural purposes, they were NOT done for the purpose of targeting more high-grade intersections at the Carolin Mine, the Company drilled around it, and beside it, to the east, west, and the north, to understand the geological controls. The results were exactly what one would want to see, encountering disseminated gold shoots where the Company intersected in some cases through the hinges on the fold, demonstrating that there are resources beyond the historic gold estimate calculation of past operator Athabasca Gold and Century Mining.

 

 

New Carolin completes Phase 1 Mapping and Sampling at Carolin Outlining Gold Targets Along a 6 Kilometer Corridor

 

On September 29, 2016 New Carolin announced that it has completed a Phase I surface mapping and sampling program. The results of the program outline a consistently mineralized geological environment extending for at least 6 kilometres, including the Carolin mine which is one of several strongly gold-mineralized targets.
 

Highlights of this work program include:

  • Channel sample results up to 4.08 g/t Au over 9.0 m including 7.45 g/t Au over 4.5 m at the McMaster Zone and 1.69 g/t over 4.5 m including 2.46 g/t Au over 1.5 m at the Pipestem Mine Zone.

  • Structural and geological continuity across at least 6 kilometres of the mapped area. Gold mineralization is associated with shallow northwest plunging folds within coarse grained sediments (siltstone, sandstone and wacke).

  • Gold mineralization is located proximal to a regional scale serpentinite sequence which extends for the entire length of the property (27+ kilometres;

The mapping program was initiated to follow-up on historical work programs which identified structures, folding and gold mineralization in several areas across the property. While historical work did not provide a geological link between the zones, the new mapping program indicates a clear relationship between the various zones and will provide targets for future drill programs.
 

In total, New Carolin has identified numerous areas where gold mineralization of greater than 1 g/t is present over more than a metre in drill core or trench assays. A summary of significant new and historical results matching these criteria are presented below in Table 1.

 

Area

Result Type

Gold Value (g/t)

Interval

Historic Mining

Best reported assay (g/t)

Collected by

Underground Carolin

Channel Sample

4.501

25.5m

yes

10.2

New Carolin

Underground Carolin

Drill hole

10.852

21.4m

yes

57.282 g/t

Historic

McMaster

channel

7.45

4.5M

No

14.2

New Carolin

Pipestem

channel

2.46

1.5m

Yes

2.46

New Carolin

Pipestem

Drill hole

34.463

2.1m

Yes

37.753

Historic

Table 1: Highlighted gold results from various targets across 6 kilometres of the property

1 Metallic screen assay from 2016 exploration.

2 Historical Drilling – results were included in the current 43-101 compliant resource but have not been verified by New Carolin Gold

3  Historical drilling – result have not been verified by New Carolin Gold

 

2016 Drill Program Update:

 
Highlights from the surface drilling program recently completed include:

 

-Hole CM-005 intersected 3.0m of 3.08 g/t Au
-Hole CM-007 intersected16.0m of 1.12 g/t Au including 2.0m of 4.57 g/t Au and including 1.0m of 6.73 g/t Au.
-Hole CM-008 intersected 23.0m of 1.18 g/t Au including 2.0m of 6.29 g/t Au
-Hole CM-009 intersected 35.0m of 1.07 g/t Au including 7.0m of 3.19 g/t Au and including 1.0m of 5.90 g/t Au
-Hole CM-010 intersected 7.5m of 2.43 g/t Au including 1.5m of 5.51 g/t Au
-Hole CM-012 intersected 4.0m of 4.79 g.t Au including 2.0m of 5.91 g/t Au.- Hole CM-004 intersected 6.0 m of 4.87 g/t Au including 2.0 m of 11.90 g/t Au
-Hole CM-001 intersected 3.0 m of 1.83 g/t Au including 1.5 m of 2.6 g/t Au

 

Initially holes were drilled along the margins of a fold nose interpreted to control gold mineralization at the Carolin mine and in surrounding areas. Drilling was designed to intersect the on-strike continuity of gold mineralization originally targeted during historical underground mining. Holes 1, 2, and 4 all successfully intersected gold mineralization that had been predicted through recent geological modeling. Hole 3 intersected weakly anomalous gold mineralization and was drilled as an exploration hole west of the Carolin Mine zone.

 

The current interpretation developed from underground and surface geological mapping this past summer suggests that higher grade gold mineralization (as intersected in hole CM-004) occurs in fold hinges. Wider zones of gold mineralization intersected in holes CM-001 and CM-001 (CM-001 intersected 41.5 m of 0.43 g/t gold and CM-002 intersected 28.4 m of 0.62 g/t gold) occur above and near fold hinges and provide a useful vector to define the higher-grade corridors.

 

The Cross Section Diagram shows a section of drill hole CM-004. The interpretation suggests that the folded gold zone continues beyond the existing underground workings and has a high-grade core. These folds have been mapped across approximately 6 kilometres of the property and have documented high grade gold occurring along the hinges. The Company will continue to develop and refine the geological model in order to predict and delineate these higher-grade zones.

 

 

The Company has affirmed the geological formation and events that created the gold system, setting the stage for pinpoint targeting of high-grade in the hinges of the folds going forward: (See the drill results announced December 15, 2016 "Drilling Intersects 4.0 M of 4.79 g/t Au and 2.0 M of 6.29 g/t Au at Carolin - Company Begins Target Definition Underground".)

 

Prior to now past operators had not figured that they were dealing with a fold system. There has been a lot of work performed at the property over the years, drilling and mining, particularly at the past producing Carolin Mine. A lot of professionals that have worked on the property have strived to understand the structural controls (geological events and formations) that caused the gold to be distributed where it is now sitting. What the Company has discovered through the systematic geological work to date, via drilling, sampling, and structural surveys topside and underground, for a 6 km length along the fault (from the Carolin Mine up to the pipe-stem), it has demonstrated that the geology is the same along the entire distance of the fault -- now understood the be a fold system, containing multiple folds. So far LAD.V had definitively encountered two folds, including the Carolin Mine. The geology, rock type, and structure has been traced for 6 km and the confidence level is high that there are multiple folds along the trend that can now be targeted with a high degree of accuracy. The Company has moved the thesis on the property containing multiple folds from theory to reality.

 
Technical people and professionals are in agreement that LAD.V is now highly prospective for major high-grade discovery:

 
The sporadic nature of the high-grade gold found to date is now understood to be so because the gold has been accumulated in the hinges of the folds and LAD.V geologists will now be able to focus future drilling in a pin-point fashion. Now that LAD.V knows for certain they are dealing with a fold system, the latest model will allow geologist to target the gold in the hinges. Important to note in the Company’s December 15, 2016 drill results is that the last drill holes were performed for structural purposes, they were NOT done for the purpose of targeting more high-grade intersections at the Carolin Mine, the Company drilled around the historic Carolin Mine, beside it to the east, west, and the north, to understand the geological controls. The results were exactly what one would want to see. LAD.V encountered disseminated gold shoots where the Company intersected through the hinges on the fold, demonstrating that there are resources beyond the historic gold estimate calculation of past operator Athabasca Gold and Century Mining.

 

------ ------ ------ ------ ------ ------

 

Below is expanded insight on New Carolin Gold Corp. and its flagship Ladner Gold Project.

 

     Content found herein is not investment advice see Terms of Use, Disclosure & Disclaimer

  

Location, Region, and Infrastructure

 

New Carolin's Ladner Gold Project is located in a stable mining-friendly jurisdiction, has excellent infrastructure, and has a local population workforce within short driving distance.

 

click to view

 

May 29, 2015 Technical Report

on Ladner Gold Project

[PDF]

 

see page 78 under "Recommendations" for Century Mining's 2009 'estimate of potential quantity' (non 43-101);

 

"5 - 5.6 million tonnes grading 4.2 - 4.8 g/t gold at a 2.5 g/t cutoff, or

between 0.9 - 1.1 million tonnes grading 8 - 9 g/t gold at 5 g/t cutoff"

 

 

Figure 9. Location Map & Claims Boundaries - British Columbia, Canada is a stable, mining friendly region and is ranked as a top-tier jurisdiction by the Fraser Institute. Being in Canada, New Carolin Gold Corp. is also protected to the downside by forex gains from US to CDN, if pouring gold today it would receive ~$350/oz price differential for gold in Canadian dollars over US dollars.

 

The Ladner Gold Project is ~144 Square Km, LAD.V owns 100% of the southern portion of the claims, and it currently owns 40% of the coveted northern claims with an agreement to acquire the remaining 60% from the receiver for Century Mines (see related February 3, 2016 news release).

 

Recent salient Company news releases regarding accomplishments and developments:

  

• January 8, 2017 "New Carolin Gold Provides Financing Update"

 

• December 28, 2016 "New Carolin Gold Closes Second Tranche of Flow Through Placement and Arranges Additional Funding for Working Capital"

 

• December 21, 2016 "New Carolin Gold Re-Prices Second Tranche of Flow Through Placement and Re-Prices Non-Flow Through Warrants"

 

• December 15, 2016 "Drilling Intersects 4.0 M of 4.79 g/t Au and 2.0 M of 6.29 g/t Au at Carolin"

 

• November 29, 2016 "New Carolin Begins Phase 2 Underground Work Program"

 

• November 16, 2016 "DRILLING INTERSECTS 6.0 metres of 4.97 g/t Au including 2.0 metres of 11.90 g/t Au at Carolin"

 

• November 15, 2016 "New Carolin Gold Closes First Tranche of Flow-Through Financing and Announces $500,000 Non-Flow Through Placement"

 

• November 4, 2016 "New Carolin Gold Arranges Financing For Phase 2 Work Program"

 

• September 29, 2016 "New Carolin Completes Phase I Mapping and Sampling at Carolin Outlines Gold Targets Along a 6 kilometre Corridor"

 

• August 23, 2016 "New Carolin Begins Drill Program at Carolin Mine"

 

• August 17, 2016 "New Carolin Samples 25.50 Metres of 4.50 Grams Per Tonne Gold Underground at Carolin Mine"

 

• June 15, 2016 "New Carolin Announces New Advisory Board"

 

• June 6, 2016 "Exploration Underway At The Ladner Gold Project"

 

• May 30, 2016 "New Carolin Announces Addition to Board of Directors"

    

Priority target areas on the Ladner Gold Project

 

 

Figure 10. (above) Priority targets areas on Ladner Gold Project - Carolin and mcMaster.

 

1. Carolin Resource Area

 

 

Figure 11. (above) Ladner Gold Project Carolin mine area – this shows 1 g/T +, you can see the directional drill holes right into the fault, the same thing was done at the top end of the Carolin and you can see that there are a couple ~200m drill holes there with all sort of grade going right towards the fault, that thing has never been drilled in between, nor above, nor below. Also note 4 holes at the bottom, only two were ever assayed because they couldn’t go after it, one of those has 100 m of ~2 g/t of all kinds of intersection in it, but there are some real high-grades. There were grades on every single drill hole into that fault, but no drill holes have been drilled between the top and the bottom part; that’s about 1 km, and there has been no drill holes above towards the McMaster or anywhere following that fault.

 

 

Figure 12. (above) Selected Carolin Intercepts – Note the terrific intercepts.

 

 

Figure 13. (above) Ladner Gold Project Carolin Mine Zone & cross-section, 5+ g/t gold material in pink. Note some of the stellar intersections on the right hand cross-section.

 

 

Figure 14. (above) Ladner Gold Project Carolin Mine Zone & cross-section, 5+ g/t gold material in pink.

 

 

Figure 15. (above) Ladner Gold Project Carolin Mine, idealized logitudinal projection of ore zones looking East and inset images of portals at various levels, the grey blocks are the mined out sections from the 80's.

 

 

Figure 16. (above) Ladner Gold Project Carolin Mine Zone - The green is the overburden.

 

2. McMaster Zone

 

   • Early stage resource calculation, zone is open along strike and at depth.
   • Similar geology to Carolin Mine Zone
   • Zone comes to surface
   • 41 drill holes to date
 

 
Work program will include geological / structural mapping
   • Diamond drilling to test geological model, below zone and along strike
 

  

Figure 17. (above) McMaster Zone.

 

3. Hozameen Fault

 

   • Multiple targets along the fault zone.
   • Follow-up historical drilling to the northwest.
   • Infill drilling west of Carolin.

 

The Hozameen Fault zone present a new target at Carolin as there is strong evidence that is formed a fluid conduit for the mineralization at the past producing mines and current known zones of mineralization. Gold mineralization has been intersected in historical drill holes spaced 2.5 km with no drilling in between.

 

Figure 18. Primary targets

Target # 1
 

Drilled from underground in holes 11050-60 and 11000-71.
(these holes were not used in the resource calculation)

 

Holes 11050-60 and 11000-71 are approximately 139m away from each other.

 

Target # 2
 

4 Holes drilled from the upper part of the Carolin zone intersected the Hozameen fault and show anomalous gold values. Not all core was analyzed.

 

Hole L-3 intersects 2.02 g/t gold over 1.09m

 

Target # 3
 

Historical data indicate 3 holes were drilled in this area. All three holes intersected the Hozameen fault and encountered gold mineralization.

 

Hole collars were located, however assay data are not available*

 

4. Other Targets

 

Pipestem Mine

 
The Pipestem Mine produced 272 ounces of gold from 1498 tones of material between 1935 and 1937 (5.6 g/t Au). Geology is described as being similar to the Caroline Mine Zone. No modern exploration has been completed at Pipestem.

 

Montana Showing

 
Gold bearing quartz veins discovered in 1925, two tonnes of high grade was mined out producing 37.1 ounces of gold (575.5 g/t Au). No modern exploration has been completed around this showing. The zone is approximately 350m above Carolin and separated by the Richardson Fault.

 

Aurum Mine

 
Historic high grade production of 530 oz from 494 tons in 1930 with no modern day exploration. This zone is approx. 200 meters from the Carolin Mine.

 

Exploration program goals

 

   • Complete a detailed structural / Geological model to assist with resource modeling and targeting.
 

   • Survey the underground and re-habilitate the underground for exploration.

 
   • Drill to expand the Carolin Resource.
 

   • Drill to expand and identify additional resources at McMaster.
 

   • Drill test the Hozameen fault zone in the three target areas.
 

   • Drill test, Montana, Pipestem and Aurum targets.
  
Photos from the Ladner Gold Project

 

 

Figure 19. Carolin Mill in Winter 2010

 

 

Figure 20. Mineralization underground at Carolin Mine

 

 

Figure 21. Satellite View

 

Quantifying the Gold at Ladner Gold Project:

 

New Carolin Gold Corp. has significant data from past drilling on the property with which to bring the historic numbers compliant, and it is in the process of attaining more. Below are three relevant views of what is contained; 1) the historic Athabasca Gold resource estimate, 2) Century Mining's 2009 estimate of potential quantity, 3) New Carolin Gold Corp.'s current 2012 resource estimate (albeit heavily discounted without having twinned holes yet):

 

1) Athabasca Gold resource estimate:

 

Resources

 Tonnes

Grade g/T

Ounces

Measured:

1,124,040

4.31

155,775

Indicated:

1,393,460

4.28

191,768

Total M& Indicated:

2,517,500

4.29

347,543

Inferred:

2,569,540

4.61

380,886

Total/All Categories:

 

 

728,429

* This resource estimate pre-dates NI43-101 standards

 

2) Century Mining's 2009 estimate of potential quantity - Source: Page 78 of May-2015 Technical Report [click here to view]:

 

An internal report, completed in April 2009, has provided an estimate of the potential quantity and grade of gold mineralization for the Carolin zone. This exercise used all available property data to build a computerized block model of this zone, and reported on the exploration potential therein. This potential may be reported within a range of 5.0 to 5.6 million tonnes, grading between 4.2 to 4.8 gpt gold at a 2.5 gpt gold grade cutoff, or between 0.9 to 1.1 million tonnes grading between 8.0 to 9.0 gpt gold, at a 5.0 gpt gold grade cutoff. This potential quantity and grade of mineralization is conceptual in nature and there has been insufficient exploration work done to define this potential as a mineral resource and it is uncertain if further exploration will result in this potential quantity and grade being realized, in whole or in part, as a mineral resource. The range of tonnage and grade noted above has been outlined using all available property mining and exploration data for the Carolin zone. This data was built into a geological model and extrapolated in a reasonable manner to provide an exploration target for the work here recommended. The principal work requirement for advancing this property is a comprehensive program of strategic underground diamond drilling. This work is fundamental to confirming and quantifying the extent of gold mineralization within Carolin zone, such that a comprehensive and updated geological block model can be constructed for on-going mineral resource calculations."

 

3) New Carolin Gold Corp.'s current 2012 resource estimate:

(albeit heavily discounted without having twinned key holes to bring historic data compliant):

 

  • The current Carolin Mine Inferred Mineral Resource is reported, at a 2.0 gpt gold cutoff grade, as 2,589,000 tonnes grading 3.34 gpt gold (estimating a total gold resource of 278,000 oz). A second Inferred Mineral Resource was estimated as well, at a 0.5 gpt gold cut-off grade, to reflect open pit mining potential. This estimate was 12,132,000 tonnes grading 1.53 gpt gold and containing a total gold resource of 607,000 oz.

  • The current McMaster Zone Inferred Mineral Resource is reported at a 0.5 gpt gold cut-off grade to acknowledge itʼs open pit potential. This estimate was 3,575,000 tonnes grading 0.69 gpt gold and containing a total gold resource of 79,540 oz.

  • The current Tailings deposit Indicated Mineral Resource estimate is reported, at a 1.0 gpt gold cut-off, as 445,000 tons grading 0.053 oz/ton gold and containing 24,000 oz. gold. The current Inferred Mineral Resource for this deposit, at the same 1.0 gpt gold cut-off, is 93,000 tons grading 0.053 oz/ton and containing 5,000 oz. gold.

  

 


New Carolin Gold Corp.'s Key Technical Leadership and Management  Skip to top

The current management team and board of directors has a well rounded combination of people that each contribute expertise in disciplines necessary for a successful mining entity:

 

Bob Thast, CEO, President, Director

Mr. Robert Thast (Bob) has acted as Chairman, Chief Executive Officer, Senior Executive and director of a number of publicly traded companies over the past 29 years. Mr. Thast has extensive knowledge of capital markets and financing activities, investor / media / public relations, public company management and has a track record of raising and attracting venture, early stage and operating capital, having personally raised over $200M for companies he directed and managed, or consulted for. In the course of building and managing the companies noted, Mr. Thast has also developed knowledge and expertise in the areas of business and strategic planning, business development, finance and contract negotiations and all aspects of legal, accounting, corporate governance and regulatory requirements related to public companies.

 

J. Graham Eacott, B.Sc., M.Sc., P.Eng., Chairman, Director

Graham Eacott is a director and chairman of New Carolin Gold Corp. and is chairman of the audit committee. Mr. Eacott is an independent financial and corporate advisor to the minerals industry. He brings a perspective to the Company that has been built on a solid foundation of over 40 years of diversified international experience in the mining and financial industries. This includes company management and business development; private placement financings; financial analysis; investor relations; corporate governance and compliance; copper mining operations in Zambia; and consulting engineering. Prior to retiring in 2007, Mr. Eacott was Vice President of Investor Relations for several junior and mid-tier gold and base metals companies including Century Mining Corporation, Tamerlane Ventures Inc., and Royal Oak Mines Inc. Mr. Eacott spent four years in the investment industry as a highly ranked base metals analyst with Scotia Capital, Merrill Lynch and Maison Placements in Toronto. Graham Eacott graduated with a B.Sc. in Metallurgy from Manchester University in 1962 and a M.Sc. in Industrial Metallurgy and Management Techniques from the University of Aston in Birmingham in 1970. He is a registered P.Eng. in Ontario and a Graduate of the Canadian Securities Course. Mr. Eacott is also a director of GGL Resources Corp. and chairman of the audit committee.
 

Ken Holmes, LL.B., Director Operations, Corporate Secretary, Director

For the past twenty-two years Mr. Holmes has acted as corporate counsel and in senior management roles for public and private companies, in a broad range of businesses and transactions, including several involved in the natural resources (mining, oil and gas) sectors. Mr. Holmes began his legal career in 1982 and previously spent ten years in a predominantly corporate and securities practice, which included a full complement of commercial, real estate, tax, technology and intellectual property matters and often had international issues and elements.

 

Richard T. Gillard, Director

Mr. Richard Gillard, over the past 11 years, helped organize and was instrumental in the development of Norsemont Mining Inc. during its early stages as well as various other public mining companies. He brings strong leadership, mediation and negotiation skills to the New Carolin Gold Corp. Board of Directors.

 

Chris Taylor, Director

Mr. Taylor is a professional geologist with over 15 years of experience, including tenures with both mid-tier producer and exploration stage mining companies. Mr. Taylor has a bachelor's degree in Earth Sciences and a master's degree in Structural Geology from Carleton University. Mr. Taylor currently serves as a director of a number of publicly traded companies, and is a director, President and CEO of Great Bear Resources Ltd. and Dunnedin Ventures Corp. Mr. Taylor is a published author on gold deposits and his work as a structural geologist has focused on resource expansion in near-term development and brown field stage mining projects.

------ ------ ------

Other key personnel and Advisory:

 

Bob Singh P. Geo, Exploration Manager / QP

Bob received his B. Sc. In Economic Geology at the University of British Columbia in 1991 and has worked in the mineral exploration industry for over 24 years. Bob is a registered Professional Geologist and provides exploration services for mining companies working primarily on North America. Bob continues to work as an Exploration Geologist in the field and has developed and implemented new technologies for recording geological data. Bob is proficient with computer software and programming, and uses these skills to interpret and model a wide range of geological exploration data. Bob will act as the company's QP (Qualified Person) for the new exploration.

 

Ed Beswick B.Sc. P.Eng., Environmental Manager and First Nations Consultant

Mr Ed Beswick is a registered professional mining engineer. Most recently, Ed has been responsible for field operations and exploration projects, including leading environmental and safety programs. Ed was the former north central BC Regional Ministry of Mines Manager based in Prince George, and was previously an Inspector of Mines and Resident Engineer in southern British Columbia. Most recently, Ed was Director of Environment and Permitting for Hillsborough Resources Limited in Vancouver, and worked with Hard Creek Nickel Corporation managing environmental, safety, and First Nations programs. Ed continues as an advisor for several coal, base and precious metal exploration companies with operations in Canada. Ed was a founding director of the British Columbia Aboriginal Mine Training Association and is a former district vice president of the Canadian Institute of Mining and Metallurgy.

 

D. Barry Lee, B.A., Chief Financial Officer

Barry Lee has extensive experience in resource sector senior management, and has provided strategic planning, corporate governance, and M&A expertise for both public and private companies for the past twenty years. His former engagements include: co-founder and former Co-Chairman of Canadian Phoenix Resources Corp., co-founder and former Chief Operating Officer of Choice Resources Corp., now part of Twin Butte Energy; and a co-founder and the former president and CEO of Watch Resources Ltd. He is currently a director and/or officer of the TSX Venture Exchange-listed companies Athabasca Uranium Inc., El Condor Minerals Inc., Velocity Minerals Ltd, and Argentum Silver Corp.

 

Ray Mullaney, M.SW. - Institutional Advisor
Ray Mullaney is best known as the founder and driving force behind Boston Mining www.BostonMining.com, a company that has assisted numerous VSE and TSX.V companies over the past 30 years with research coverage, financial consulting and institutional visibility in the US and elsewhere. Ray was a board member of 8 publicly listed mining companies during this time. Ray is an accomplished analyst and writer who has been published in various newspapers including the NY Times. He is also a regular speaker with numerous TV and radio show credits over the years.

 

Ed Beswick B.Sc. P. Eng - Environmental Manager and Consultant
Ed Beswick is a registered professional mining engineer whose experience includes management of field operations and exploration projects and developing and leading environmental and safety programs for mining projects. Ed was the former north central BC Regional Ministry of Mines Manager based in Prince George and former Inspector of Mines and Resident Engineer in southern British Columbia for the MEM. Most recently Ed was Director of Environment and Permitting for Hillsborough Resources Limited in Vancouver and worked with Hard Creek Nickel Corporation managing environmental, safety and First Nations programs. Ed continues as an advisor for several coal, base metal and precious metal exploration companies with operations in Canada. He was a founding director of the British Columbia Aboriginal Mine Training Association and is a former district Vice President of the Canadian Institute of Mining and Metallurgy.

 

D. Bruce Letvak, B.Sc., M.Sc. P. Eng - Hydrology Consultant
Bruce Letvak is a licensed professional engineer with over 35 years of experience in resource management centered on water quantity (hydrology). This included monitoring program planning and management, operations standards, hydrology studies, and major project reviews. Reviews of proposed major mine developments covered all aspects connected with water quantity, water supply, operations water budgeting, discharge of surplus water, tailings impoundment water management, environmental considerations, etc. His work included liaison with all levels of government and the private sector.

 

Doug Warkentin, B.Sc., P. Eng - Metallurgical and Process Development Consultant
Doug Warkentin is a Metallurgist with over 25 years of experience in the mining industry. He graduated from UBC with a degree in Mining and Mineral Process Engineering, and has been a member of the Association of Professional Engineers and Geoscientists of BC since 1992. He is an author of numerous technical papers and has patents for mine water treatment and process technologies. He has been a principal in several companies providing process development services and environmental technologies to the mining industry. He is currently Senior Metallurgist for Kemetco Research Inc. in Vancouver (formerly BC Research Inc.) and a former director of Duncastle Gold Corp.

 

J. Graham Eacott, B.Sc., M.Sc., Consultant
Graham Eacott is the past chairman of New Carolin Gold Corp. and a former director of the Company since 2007. Graham brings a perspective to the Company that has been built on a solid foundation of over 40 years of diversified international experience in the mining and financial industries. This includes company management and business development, private placement financings, financial analysis, investor relations, corporate governance and compliance, and consulting engineering. Prior to retiring in 2007, Mr. Eacott was Vice President of Investor Relations for Century Mining Corporation, Tamerlane Ventures Inc., and Royal Oak Mines Inc. Mr. Eacott spent four years in the investment industry as a highly ranked base metals analyst with Scotia Capital, Merrill Lynch and Maisson Placements in Toronto and is a graduate of the Canadian Securities Course.

 

Drago Adam - Media and Marketing Consultant
After a professional hockey career with the New York Rangers, Drago Adam founded his own marketing company, The Adam Ad Group, www.AdamAdGroup.com. Over the past 20 years Drago has been involved in all aspects of The Adam Ad Group's clients marketing plans, which include, planning, media buying, creative, video and web production, search engine optimization and marketing, and Google pay per click campaigns. Drago has also created an online newsletter called The Monday Morning Motivator which has a growing base of over 148,000 subscribers.

 

 

Note: This article is not intended to be a complete overview of New Carolin Gold Corp. or a complete listing of New Carolin's projects. Mining MarketWatch urges the reader to contact the subject company and has identified the following sources for information:

 

For more information contact New Carolin Gold Corp.'s head office at: Ph (604).542.9458

 

Company's web site: www.newcarolingold.com  SEDAR Filings: URL

     

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Content found herein is not investment advice see Terms of Use, Disclosure & Disclaimer. This is a journalistic article and the author is not a registered securities advisor, and opinions expressed should not be considered as investment advice to buy or sell securities, but rather journalistic opinion only. Technical mining terms used by the writer may be used/expressed in simplified layman terms and should not be relied upon as appropriate for making investment decisions unless the reader contacts the company directly for independent verification.

 

     

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