ROYAL OAK AND FALCONBRIDGE FORM JOINT VENTURE ON SUBBURY BASIN BASE METAL DEPOSIT
ROYAL OAK AND FALCONBRIDGE FORM JOINT VENTURE
ON SUBBURY BASIN BASE METAL DEPOSIT
VANCOUVER, British Columbia, Nov. 1 /PRNewswire/ -- Royal Oak Mines Inc. (Toronto, Amex: RYO) announced today that Falconbridge Ltd. has completed expenditures of $4 million of the Sudbury base metal property to earn a 51 percent joint venture interest. The property hosts two deposits, the Errington and Vermilion which contain 6.9 million tons at 1.22 percent Cu, 4.21 percent Zn, 1.09 percent Pb, 0.023 opt Au, 1.77 opt Ag, and 2.7 million tons at 1.49 percent Cu, 5.11 percent Zn, 1.37 percent Pb, 0.032 opt Au, 1.93 opt Ag, respectively. The deposits are located within the Sudbury Basin, 20 miles west of the City of Sudbury within close proximity to Falconbridge's Sudbury based infrastructure.
The deposits are located at the contact between the Onwatin slate and the Onaping Formation and are of a modified sedimentary- exhalative nature. Drilling on the Errington deposit totalled 27,000 metres in 83 holes and was successful in locating mineralization 3,000 metres east of the main deposit which returned 9.6 metres at 2.54 percent Cu, 4.13 percent Zn, 1.26 percent Pb, 0.017 opt Au and 1.71 opt Ag in hole BA 15-17. The best holes drilled in the vicinity of the Errington deposit were hole BA 13-08, located immediately east of the deposit, which returned 25.65 metres at 2.4 percent Cu, 7.3 percent Zn, 2.5 percent Pb, 0.032 opt Au and 2.45 opt Ag and hole CE 62-02, located west of the deposit, which reported values of 4.1 percent Cu, 6.3 percent Zn, 2.5 percent Pb, 0.020 opt Au and 5.08 opt Ag over 12.99 metres.
A total of 8,459 metres were drilled on the Vermilion deposit in 15 holes. The best intersection was hole FH 55-01 which cut 1.92 metres at 1.8 percent Cu, 9.1 percent Zn, 2.7 percent Pb, 0.014 opt Au.
The deposits were accessed by four shafts with extensive underground workings during the 1950's. In the 1920's, a pilot mill treated a bulk sample totalling 142,000 tons of ore.
Falconbridge continues to be active on the property and is presently carrying out further drilling. Royal Oak is very pleased to have Falconbridge as a joint venture partner in this deposit as Falconbridge has the infrastructure in the Sudbury area to allow the most cost effective development of this project should economic conditions merit it in the future.
Royal Oak Mines Inc. is one of North America's newest major gold mining companies producing approximately 200,000 ounces annually from mining operations in Timmins, Ontario and Yellowknife, Northwest Territories.
/CONTACT: J. Graham Eacott of Royal Oak Mines, 604-682-8320; (Europe) James B. Clubb of Clubb Associates, international investor relations, 071-490-5558/
(RYO.) CO: Royal Oak Mines Inc. ST: British Columbia IN: MNG SU: JVN AL -- LA014 -- 0248 11/01/91 13:14 EST