Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Genesis Metals (TSXV: GIS) announced this week a new resource estimate for the Chevrier gold project near Chibougamau, Quebec.
In a press release, the miner said the resource estimate is for both the main Zone and east Zone at Chevrier, which are 10 kilometres apart. Geological data indicate that both zones are located within the Fancamp Deformation Corridor, which is a major structural break that appears to control the location of gold mineralization.
“The mineralization extends over a currently defined total strike length of more than 1.2 kilometers and shows vertical continuity to a depth of 525 meters”
Based on the results provided by Ginto Consulting, the site’s indicated resource is 423,000 ounces of gold averaging 1.22 g/t Au, while the inferred resource is 303,000 ounces of gold averaging 1.27 g/t Au.
“Our drilling to date within the Main Zone has been for confirmation purposes and this has allowed us to develop a robust model for gold mineralization,” Brian Groves, CEO of Genesis, said in the media brief. “Recommendations arising from this estimate and input from our recently strengthened technical team will help us to explore the potential for expansion of the mineralized envelopes as well as other targets on the 130 square km property.”
Corporate information states that Genesis’ efforts have been focused on a relatively small, 3-square-kilometres area near the center of the project. However, there is room for expanding as data obtained from their recent sampling work combined with historical information reveal that there are thick intersections of gold at Chevrier as well as high-grade intervals both at surface and at depth.
