TORONTO, Jan. 2, 2020 /CNW/ - Doré Copper Mining Corp.
(the "Corporation" or "Doré Copper") (TSXV: DCMC) is
pleased to announce that it has entered into an option agreement to
acquire a 100% interest in the Joe Mann gold mine ("Joe
Mann") located in Québec. The mine is located approximately
50 km from the Corporation's Copper Rand mill, where
mineralized material from Joe Mann was processed from 2004 until
its closure in 2007, and is accessible by all season roads. Joe
Mann has been privately held since 2008. The Corporation does not
currently consider Joe Mann to be a material property for the
purposes of National Instrument 43-101.
Highlights
- Production of 1.173 million ounces of gold at a grade of 8.26
g/t Au, 607,000 ounces of silver at 5 g/t Ag and 28.7 million
pounds of copper at 0.25% Cu (Source: Technical Report on the Joe
Mann Mining Property dated January 11,
2016, prepared by Geologica Inc.).
- Mineralization remains strong and persistent at depth with Hole
EE-189B intersecting 26.66 g/t Au over 1.8
m and Hole EE-188 intersecting 30.3 g/t Au and 1.3% Cu over
3.02 m extending the Main Zone 170
meters down dip.
- The more recently discovered West Zone, a potential structural
off-set that allows much thicker, higher-grade veins to form,
remains open and is a high priority exploration target with
historic intercepts including 2.44 m
@ 24.62 g/t Au, 3.93 m @ 31.54 g/t
Au, 2.62 m @ 24.28 g/t Au and
3.2 m @ 16.1 g/t Au.
- Exploration potential remains excellent including new parallel
zones identified by recent surface prospecting work that lie just
several hundred meters to the south of the main mine.
- Significant infrastructure in place including power and a shaft
down to the 1,145-meter level.
Ernest Mast, President and CEO of
Doré Copper commented, "Joe Mann was closed during a period of low
gold prices. This is a rare opportunity to secure a significant
high-grade gold underground asset that remains open at depth and
along strike with numerous high priority exploration targets. An
exploration program at Joe Mann will focus on the significant
potential to extend high-grade mineralization at depth as well as
defining new zones of mineralization, all accessible from the
3,775-foot shaft (see Figure 1). We believe Joe Mann may
demonstrate similar potential to Wesdome's Eagle River, Alamos' Island Gold or
Kirkland Lake's Macassa mine where
the high-grade gold deposits not only continue at depth but with
improved grades while yielding new discoveries. Joe Mann fits into
our exploration and development plans, adding another high-grade
gold-copper project to our portfolio to leverage our strategically
located mill."
Joe Mann Property
Joe Mann operated for 27 of the years between 1956 and 2007,
with mineralized material processed at an onsite mill, the
Principale mill, and Doré Copper's Copper Rand mill.
Joe Mann consists of 55 mineral titles comprising 1,990.2
hectares of land. Doré Copper already owns 22 claims in the Joe
Mann area via its 100% owned subsidiary CBAY Minerals Inc. Four of
the 22 claims were recently acquired and are currently being
transferred to CBAY Minerals Inc.
Joe Mann is characterized by E-W striking shear hosted veins
that extend beyond 1,000 m vertically with mineralization
identified over 3 km in strike. Gold mineralization at Joe Mann
occurs within deformed quartz-sulphide veins hosted in high strain
shear zones affecting mafic intrusions and felsic volcanic rocks
metamorphosed to lower-amphibolite assemblages.
Substantial infrastructure remains at Joe Mann
with the shaft down to the 3,775-foot level (1,145 meters).
Significant potential remains at Joe Mann to extend the
mineralization at depth and along strike, including the West Zone
and potential new zones to the North and South. Thick, high-grade
gold mineralization was encountered at depth between the 2750 level
and the 3450 level (see Figure 2). In 2007-2008, after the mine
closed, three holes were drilled from underground to test the depth
extensions of the mine approximately 170
m below the lowest level (3,450 ft below surface). Hole
EE-189B intersected the Main Zone and returned 26.66 g/t Au over
1.8 m and 14.72 g/t Au over
1.2 m. Hole EE-188 intersected the
Main Zone, 30.3 g/t Au and 1.3% Cu over 3.02
m and the South Zone, 9.23 g/t Au over 0.91 m. One of the holes did not reach the Main
Zone. These drill holes show that the mineralization is still
strong and persistent down dip with excellent potential along the
entire untested strike at depth. These holes represent the latest
drilling results on the property.
The plunge of the mineralized body is to the east, with the West
Zone being one of the most promising areas of upside potential for
thick high-grade mineralization because of the limited amount of
drilling and exploration done in that area historically down
dip/plunge of the known mineralization. The West Zone might be an
area of structural off-set (jog) that allows a much thicker,
higher-grade vein to form, with more drilling and study required to
confirm. Historic intercepts include: 2.44
m @ 24.62 g/t Au, 3.93 m @
31.54 g/t Au and 2.62 m @ 24.28 g/t Au (mined) and
5.0 m at 10.3 g/t Au, 3.2 m @ 16.1 g/t Au and 3.3 m @ 10.4 g/t Au (unmined).
New parallel zones have been identified by recent surface
prospecting work that lie just several hundred meters to the south
of the main mine.
A high-grade core was identified from the 2750
level down to the 3450 level including 18.4 g/t Au over 7.5 meters
(0.537 oz/t over 24.6 feet) and 9.70 g/t Au over 18.1 meters (0.283
oz/t over 45.3 feet). The drill holes from 2007 to 2008 intersected
the vein 170 m below the lowest level
shown and indicated that the high-grade mineralization continues
down dip. The shaft that was deepened in 2001 goes to a depth of
1,145 meters.
In 2017 a high resolution airborne magnetic survey was completed
and several magnetic anomalies of moderate to strong amplitudes
were identified. In addition to Joe Mann being open along strike
and at depth, Joe Mann was poorly explored to the south, and the
magnetic survey has identified numerous high-priority exploration
targets at Joe Mann.
Terms of Option Agreement
The Corporation has entered into an option agreement with the
owners of Joe Mann, Ressources Jessie Inc. ("Ressources
Jessie") and Legault Metals Inc. ("Legault"), to acquire
a 100% interest in Joe Mann on the following terms:
- A cash payment of $1,000,000 to
Ressources Jessie and 400,000 common shares of Doré Copper
("Doré Copper Shares") to be issued to Legault at a deemed
price of $1.25 per share on the
effective date of the option agreement ("Effective
Date").
- A cash payment of $250,000 to
Ressources Jessie and $500,000 in
Doré Copper Shares to be issued to Legault on the first anniversary
of the Effective Date.
- A cash payment of $1,000,000 to
Ressources Jessie upon completion of 5,000 meters of drilling at
Joe Mann or on the earlier of the second anniversary of the
Effective Date or 18 months from the commencement of drilling.
- A cash payment of $500,000 to
Ressources Jessie and $500,000 in
Doré Copper Shares to be issued to Legault on the second
anniversary of the Effective Date.
- A cash payment of $1,500,000 to
Ressources Jessie and $1,000,000 in
Doré Copper Shares to be issued to Legault on the third anniversary
of the Effective Date.
- Spending $2,500,000 in qualifying
exploration expenditures before the third anniversary of the
Effective Date.
- A cash payment of $1,000,000 to
Ressources Jessie and $1,500,000 in
Doré Copper Shares to be issued to Legault upon the commencement of
commercial production at Joe Mann.
- A 2% net smelter return royalty will be granted to Ressources
Jessie and the Corporation will hold the option to buy back 1% for
$2,000,000 and buy back a further
0.5% for $4,000,000.
The terms and conditions of the option agreement are subject to
approval from applicable regulatory authorities, including the TSX
Venture Exchange.
The historical technical information disclosed in this news
release about Joe Mann was taken from the Technical Report on the
Joe Mann Mining Property dated January 11,
2016, prepared by Geologica Inc., Alain-Jean Beauregard, P. Geo, OGQ.
Andrey Rinta, P.Geo., the
Exploration Manager of the Corporation and a "Qualified Person"
within the meaning of National Instrument 43-101, has reviewed and
approved the technical information contained in this news
release.
About Doré Copper Mining Corp.
Doré Copper is engaged in the acquisition, exploration and
evaluation of mineral properties. Doré Copper completed a
qualifying transaction on December 13,
2019 establishing itself as a copper – gold explorer and
developer in the Chibougamau area
of Québec, Canada. Doré Copper,
through its wholly-owned subsidiary CBAY Minerals Inc., holds a
100% interest in the exploration-stage Corner Bay Project and the
exploration-stage Cedar Bay Project, both located in the vicinity
of Chibougamau, Québec, as well as
the 2,700-tpd Copper Rand mill. Doré Copper has an option to earn a
100% interest in the Joe Mann property.
For further information regarding Doré Copper, please visit the
Corporation's website at www.dorecopper.com or refer to Doré
Copper's SEDAR filings at www.sedar.com.
Cautionary Note Regarding Forward-Looking Statements
This news release includes certain "forward-looking
statements" under applicable Canadian securities legislation.
Forward-looking statements include predictions, projections and
forecasts and are often, but not always, identified by the use of
words such as "seek", "anticipate", "believe", "plan", "estimate",
"forecast", "expect", "potential", "project", "target", "schedule",
"budget" and "intend" and statements that an event or result "may",
"will", "should", "could" or "might" occur or be achieved and other
similar expressions and includes the negatives thereof. All
statements other than statements of historical fact included in
this release, including, without limitation, statements regarding
the timing and ability of the Corporation to receive necessary
regulatory approvals, and the plans, operations and prospects of
the Corporation and its properties are forward-looking statements.
Forward-looking statements are necessarily based upon a number of
estimates and assumptions that, while considered reasonable, are
subject to known and unknown risks, uncertainties and other factors
which may cause actual results and future events to differ
materially from those expressed or implied by such forward-looking
statements. Such factors include, but are not limited to, actual
exploration results, changes in project parameters as plans
continue to be refined, future metal prices, availability of
capital and financing on acceptable terms, general economic, market
or business conditions, uninsured risks, regulatory changes, delays
or inability to receive required regulatory approvals, and other
exploration or other risks detailed herein and from time to time in
the filings made by the Corporation with securities regulators.
Although the Corporation has attempted to identify important
factors that could cause actual actions, events or results to
differ from those described in forward-looking statements, there
may be other factors that cause such actions, events or results to
differ materially from those anticipated. There can be no assurance
that such statements will prove to be accurate, as actual results
and future events could differ materially from those anticipated in
such statements. Accordingly, readers should not place undue
reliance on forward-looking statements. The Corporation 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 required by law.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this news release.
SOURCE Doré Copper Mining Corp.