Millstream hits cobalt zone at Potter

Junior Millstream Mines (MLSM-C) has intersected a zone of cobalt mineralization in a larger envelop of copper-zinc mineralization at its Potter property in Munro Twp., 80 km east of Timmins, Ont.

Results from the second hole, 97-9, include 22.9 metres, starting at a depth of 604.6 metres, grading 0.08% cobalt, 2.65% copper, 2.70% zinc and 26.1 grams silver per tonne. Within that interval, 9.4 metres returned 0.13% cobalt, 3.86% copper, 4.57% zinc, 1.12 grams silver and 0.89 gram gold.

The cobalt zone is part of a wider envelop of intermittent copper-zinc mineralization that extends a vertical depth of 251 metres below the lowest working level of the past-producing Munro mine. Within that envelop, hole 97-9 returned four separate, wide intervals of sulphide mineralization in the form of massive pyrrhotite and finely disseminated chalcopyrite and sphalerite. A portion of that mineralization has assayed up to 1.63% copper and 1.36% zinc over widths of up to 3 metres.

Millstream is currently re-analyzing some of the core from hole 97-9 for cobalt. It is also carrying out downhole geophysical work and an induced polarization (IP) survey on the entire property.

Mineralization at Potter is associated with a mafic fragmental unit, with layers of graphite, that strikes northwest and dips steeply to the north.

Mineralization plunges steeply to the west and is believed to thicken downdip.

The deep-seated mineralization was first intersected in hole 97-8, which was collared 70 metres east of hole 97-9. As in the latter hole, several intervals of copper-zinc-silver mineralization were intersected below the lowest production level of the mine (T.N.M., Jan.19-25/98).

Three additional holes have recently been completed. All three intersected several zones of copper-zinc mineralization, however, results have not been released.

Millstream’s success has not gone unnoticed. About 5 km east of Potter, Prism Resources (PRN-V) will shortly begin a combined magnetometer and IP survey on its 1,500-ha McCool property, which reportedly covers stratigraphy comparable to that found at Potter.

Roughly 8 km southeast of Potter, Pelangio-Larder Mines (PLLM-C) is planning its own ground geophysical survey on a recently acquired property, also called McCool. The company believes the property overlies 3.5 km of stratigraphy said to be similar to that found at Potter.

Previous work at this McCool included an electromagnetic survey and limited drilling. One hole drilled to test an isolated geophysical anomaly intersected felsic volcanics intercalated with ultramafic and mafic units.

The felsic volcanics contained minor chalcopyrite, 10%-15% pyrrhotite and layers of graphite, while the ultramafics hosted minor chalcopyrite.

Pelangio-Larder says it will follow up the geophysical survey with drilling.

Meanwhile, Barrier Mining (BMI-V) is teaming up with Inco (N-T) to search for sulphide deposits near the huge Kidd Creek mine of Falconbridge. The two firms have signed a deal that allows Barrier to earn a 100% interest in a 14,940-ha property, situated 5 km northwest of Kidd Creek. To earn its interest, Barrier must issue 600,000 shares to Inco and fund $3 million of Inco’s exploration of the property over the next four years. Inco retains a back-in right to a 57.1% interest, which it can earn by spending $6 million on the property over a 5-year period immediately following the date the deal reaches maturity.

A program of 16 drill holes will shortly test several electromagnetic anomalies previously outlined by Inco.

The deal is subject to regulatory and other approvals.