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.
It is often said that the best place to find gold is near a gold mine, and that is certainly true of the past-producing Bralorne and Pioneer mines in British Columbia. Talisker Resources (TSX: TSK) has reporting drill results that include 81.09 g/t gold over 1.3 metres from the 77 vein in the Gap zone between the two mines.
This intersection increased the strike of the 77 vein 1,100 metres from historic workings.
The 77 vein was the most productive and highest grade when the mines were in production. Historically, it averaged 17.7 g/t gold and was mined to a depth of 1,900 metres.
The project, which includes the former Bralorne, Pioneer and King mines – is located near Gold Bridge, B.C. Historic production totalled 4.2 million oz. from 30 veins. Thirty-three more veins have been identified but were never mined.
Talisker acquired the Bralorne mine in 2019 for C$8.7 million in cash and shares from Avino Silver and Gold Mines.
Hole SB-2021-075 cut not only the 77 vein but also the 52 vein (13.86 g/t over 1.2 metres) and the 52 vein splay (12.87 g/t over 1 metre). The 222 vein returned 1.32 g/t over 13.7 metres, including 5.53 g/t gold over 1 metre. Two shallow zones of low-grade bulk tonnage were defined, and they returned 0.56 g/t gold over 51.5 metres and 0.43 g/t gold over 32.2 metres.
Talisker earlier reported high grades from the Pioneer block, including 6.4 metres grading 7.46 g/t gold.
An updated resource estimate for Bralorne is due in the first quarter next year. The current estimate, released a year ago, outlined 235,800 measured and indicated tonnes grading 12.1 g/t gold for 91,000 contained ounces and 287,500 inferred tonnes at 8 g/t gold for 78,000 contained ounces.
(This article first appeared in the Canadian Mining Journal)
