IDM Mining's Updated Geological Model Suggests Expanded Gold Exploration Potential at Red Mountain
VANCOUVER, British Columbia, Feb. 13, 2018 (GLOBE NEWSWIRE) -- IDM Mining Ltd. (TSX-V:IDM) (OTCQB:IDMMF) (“IDM” or the “Company”) is pleased to announce significant and encouraging progress from the geologic compilation of drill results from the 2017 exploration program at the Red Mountain Gold Project (“Red Mountain” or the “Project”), located 15 km east of Stewart, BC. This work is currently progressing towards an updated resource estimate in spring 2018, which will incorporate the revised geological model, 2017 drilling results and historic gold intercepts that were not previously included in the current resource estimate.
“Our new interpretation, which has identified significant near-mine resource potential, represents an important turning point for the Company,” said Robert McLeod, President and CEO of IDM Mining. “The recognition of high-amplitude, post-mineralization repeating folds has opened up multiple areas to resource expansion that were previously thought closed off or having lower exploration potential. Tracing the folded pattern of the brecciated contact zone, which hosts high-grade, bulk mineable gold mineralization has connected most of our reserves along a continuous horizon. We look forward to both underground and surface drilling in 2018 to demonstrate the increased potential at Red Mountain.”
Geological Modeling
The complex variety of strongly altered rocks, including: volcanic and sediment units intruded by multiple co-magmatic pre- and syn-mineralization intrusive phases, has resulted in various degrees and types of brecciation. Through simplifying the classification of and by tracing these major lithologic units on working sets of cross sections and plans, gently plunging, high-amplitude folds (>200 vertical meters) have been identified which coincide with multiple folds traced by surfacing mapping. These folds were subsequently gently folded by a subsequent deformation event. Suggestions by consulting geologists, including Ruben Padilla and Terence Harbort with Talisker Exploration Services Inc. contributed significantly to the revised interpretive approach.
Prior to the correlation of gold intercepts, host lithologies and structures are correlated by hand on working sections and plans and multiple scales. Interpretive work includes utilizing current and historic underground and surface geological mapping, drill logs, core photography and geochemistry. This methodical approach has been essential, given the complex geologic history of the Red Mountain Deposit.
Reserves within the high-grade, outcropping Marc Zone are known to be gently folded and associated with a sediment intrusive contact. This contact is traced through a synform to the 141 Zone, located 250 meters to the west. Resources within the 141 Zone were previously thought to be gently dipping to the west; this new interpretation suggests that mineralization dips primarily moderate to steeply to the east but folded to the west across a north-plunging antiform hinge. This new interpretation suggests that mineralization is open for expansion within the breccia zone between the Marc and 141 Zones, and to the west, south and north of the 141 Zone.
The east limb of the 141 Zone antiform connects with the Smit Zone, which was identified during the 2017 drilling program. The Smit Zone is located down-dip of the AV and JW Zones reserves and is now interpreted to be deformed in a broad synform, folded to the west of the projected 141 zone antiform. Gold mineralization remains wide open for expansion to the north and west of this area and is a priority target for 2018.
Accompanying Plan view and Cross Sections are available on the Company website at www.idmmining.com.
Expansion potential to the north of the widest and highest grade reserves of the JW Zone is an additional priority; drill hole U17-1324 intersected 3.78 meters averaging 38.27 g/t Au (24.83 g/t Au capped) and 59.39 g/t Ag, including 1.23 meters averaging 96.30 g/t Au (55.00 g/t Au capped) and 28.50 g/t Ag; this intercept is interpreted to be north of the JW Zone within the SF Zone block, separated to the south by a right-lateral fault (Mardy Fault). Additionally, the intercept and hosts rock orientation suggest that the zone is subhorizontal occurring at the crest of the same antiform that folds the Marc Zone. This intercept is wide open for expansion to both the north and east.
The interpretation of wide-spaced holes at the SF and Bray Zone, north of current reserves and resources is ongoing; preliminary interpretation suggests continued wide-spaced, high-amplitude folds, with 2017 and historic high-grade gold intercepts potentially dipping steeply to the east in areas previously interpreted to be dipping to the west.
Due to close-spaced drill holes, the revised geological interpretation does not affect the continuity and validity of reserves and resources within the Marc, AV and JW Zones which host the vast majority of gold defined to-date at Red Mountain and forms the basis of the Company’s feasibility study.
Updated Resource Estimate
During 2017, a total of 29,312 meters of core drilling was completed, consisting of 104 underground, eight surface and three geotechnical core holes. This drilling, coupled with historic gold intercepts not included in the current resource estimate, will be included in a revised resource estimate based on the updated geological model. The revised resource estimate is targeted to be completed by the spring of 2018.
Example cross sections and plans of the revised geologic interpretation, including prior and new mineralized zone interpretations, can be reviewed on the Company website at www.idmmining.com.
About Red Mountain
The 17,125 hectare Red Mountain Gold Project is located in northwestern BC, 15 km northeast of the mining town of Stewart. In 2017, IDM announced the results of a Feasibility Study for a high-grade, underground gold mine, which includes primarily bulk underground mining methods and the production of gold doré on site. The Project is advancing through the provincial and federal environmental assessment processes, with comprehensive, thorough, and ongoing consultation with Nisga’a Nation. The Project is currently in the formal review phase from the BC Environmental Assessment Office and the Canadian Environmental Assessment Agency.
Red Mountain is an intrusive-related hydrothermal gold system, located in the Stikine terrain. Gold mineralization is associated with, and partially hosted within an early Jurassic multi-phase intrusive complex, with associated volcanic and volcaniclastic rocks and sediments. Many mineralized zones occur on the property, including four mineralized zones with established reserves. The mineralized zones have been folded and are often separated by dip-slip fault zones. Mineralization can vary in orientation from shallow to steeply dipping. The Marc, AV and JW Zones range in widths from one to forty meters, averaging about sixteen meters in thickness. Gold mineralization is dominantly free milling native gold and electrum with local gold-silver tellurides; the zones are associated with stockwork, disseminations and patches of coarse grained pyrite, surrounded by a pyrrhotite/sphalerite halo. Alteration facies includes strong quartz-sericite alteration.
Additional information, including the Company’s NI 43-101 Technical Reports for the Red Mountain gold project, is available at www.idmmining.com and at www.sedar.com.
QA/QC AND QUALIFIED PERSON
Geology and exploration work at Red Mountain is performed under the supervision of Rob McLeod, P.Geo, President and CEO of IDM Mining Ltd. and a ‘Qualified Person’ under NI 43-101. Mr. McLeod has reviewed and approved the technical content of this release.
ABOUT IDM MINING LTD.
IDM Mining Ltd. is a mineral exploration and development company based in Vancouver, BC, Canada. The Company's current exploration and development activities are focused on precious metals in British Columbia, with a primary focus on the high-grade, underground bulk-mineable Red Mountain gold project.
ON BEHALF OF THE BOARD
of IDM Mining Ltd.
“Robert McLeod”
President, CEO and Director
For more information, contact:
Robert McLeod
604-681-5672 direct
604-617-0616 cell
rm@idmmining.com
“Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.”
Forward-Looking Statements: Some statements in this news release contain forward-looking information or forward-looking statements for the purposes of applicable securities laws. These statements include, among others, statements with respect to the proposed exploration and development activities and their timing, resource estimates and potential mineralization. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others and in addition to those described elsewhere in this release, timing and success of future exploration and development activities, exploration and development risks, delays in obtaining or inability to obtain required government or other regulatory approvals, permits or financing, the risk of unexpected variations in mineral resources, grade or recovery rates, of failure of plant, equipment or processes to operate as anticipated, of accidents, labor disputes, and unanticipated delays in completing other development activities, the risk that estimated costs will be higher than anticipated and the risk that the proposed mine plan and recoveries will not be achieved, equipment breakdowns and bad weather, the timing and success of future exploration and development activities, exploration and development risks, mineral resources are not as estimated, title matters, third party consents, operating hazards, metal prices, political and economic factors, competitive factors and general economic conditions. In making the forward-looking statements, the Company has applied several material assumptions including, but not limited to, the assumptions that: required regulatory approval, permits and financing will be obtained; the proposed exploration and development will proceed as planned; with respect to mineral resource estimates, the key assumptions and parameters on which such estimates are based; that the proposed mine plan and recoveries will be achieved, that capital costs and sustaining costs will be as estimated, and that no unforeseen accident, fire, ground instability, flooding, labor disruption, equipment failure, metallurgical, environmental or other events that could delay or increase the cost of development will occur, and market fundamentals will result in sustained metals and minerals prices. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation.