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.
Golden Dawn Minerals (TSXV: GOM) has completed a helicopter-borne VTEM and magnetics survey over the old Phoenix copper mine at its Greenwood precious metals project in southeast B.C. The Golden Crown, Lexington and Tam O’Shanter gold properties were also included.
The survey is the first to be flown over Golden Dawn’s claims. It was conducted on a 100-metre spacing.
Golden Dawn expects the geophysical results to be ready in a few weeks. The company is seeking deposits that could be the root of the Phoenix copper-gold skarn deposit. The historic Phoenix deposit consists of a group of carbonate replacement skarns within the Triassic Brooklyn limestone unit. The deposit is interpreted to be the upper part of a larger copper-gold system that has been displaced westward from its roots.
There is a north-trending corridor of historic mines 2 km east of Phoenix and further east are several more, all of which were developed on skarn deposits. Epithermal gold-silver mineralization also occurs in the area.
The former Phoenix mine produced 25.5 million tonnes of ore averaging 0.9% copper and 1.1 grams gold per tonne. It was mined both from underground and as an open pit from 1900-19 and again from 1956-78.
As well, the other three areas have porphyry copper-gold potential and will also be explored.
Golden Dawn has several other properties in the area, including the permitted Lexington copper-gold mine and Greenwood mill.
(This article first appeared in The Northern Miner)
