Sudbury camp still going strong for Pele Mountain.

Over 100 years into mining production in Sudbury offset mineral dikes that could lead to new economical ore bodies are still being found.

The environment is ripe for nickel, copper, platinum, and palladium showings and Pele Mountain Resources Inc. has staked more than 250 mining claims units covering over 10,000 acres in the prolific Sudbury Mining Camp. Their property extends from the northern boundary of Levack Township into Harty and Foy, north of the FNX Mining Co. operations. Pele is working on a new offset dike found in the northeast corner of the property.

Offset dikes consist of a rock called quartz diorite that spread out from the Sudbury Basin like arteries. They are found to be a very good environment for economic ore bodies such as Inco Ltd.'s Copper Cliff dike that has brought in billions of dollars over the years and remains prolific still.

"The Sudbury area itself is unbelievably big when it comes to productive mines and the nickel-copper deposits. There is just nothing like it, says Pele president Al Shefsky.

This is the company's first foray into the Sudbury camp. The claim site ties onto ground owned by Inco Ltd., Falconbridge Ltd. and FNX Mining Company Ltd. Sudbury is such an active place for mine exploration and "if you do your homework ... there are great things to be found."

An independent exploration contractor, Richard Daigle, was doing work on recently developed logging road in Levack Township when he stumbled upon the discovery. The proprietor of GO Serve found some massive sulphide boulders and knew the site could potentially be hosting copper, nickel or PGEs, so he began snooping around more and sure enough came up with a Sudbury quartz-diorite.

"He had his wits about him, his eyes were open and he has been around long enough to know something good when he sees it."

He began staking and showed it to Shefsky, who jumped all over it.

"You bet we're interested."

The company has been in Sudbury for the past four months developing a exploration strategy with consultant Scott Jobin-Bevans, managing director, Caracle Creek International Consulting, which has made the initial quartz dike identification. Geo-chemical and petrochemical analysis and assaying of some of the rocks are ongoing.

Shefsky wants to find the best way to approach the project keeping the integrity of the structure intact, while progressing expeditiously.

"We want to be very certain what we are talking about because it is a very important new discovery."

This new discovery comes on the heels of an announcement that a 500-tonne bulk sampling program is underway at its Festival Diamond Project located 25 km north of Wawa along the Trans-Canada Highway. Goldcorp Inc. will earn a 50-percent interest in the project.

[ILLUSTRATION OMITTED]

Three separate samples have been blasted from the surface, including a 300-tonne sample from the Cristal diamond occurrence and two samples totaling 200 tonnes from the Deutz diamond occurrence. Both samples have been shipped to Lakefield, Ontario where they will be crushed. It is likely an open-pit operation will stem from the discovery, as it appears to be the most economical way to extract the close-to-surface diamonds, Shefsky says.

www.pelemountain.com

BY KELLY LOUISEIZE

Northern Ontario Business