Newmac hits high-grade moly at Crazy Fox

Vancouver — Partial assays from a drill hole on Newmac Resources’ (NER-V, NEWRF-O) Crazy Fox project, in south-central B.C., indicate that high-grade molybdenum mineralization extends to depth.

Hole 41 cored 254 metres (from 495 metres down-hole) grading 0.22% MoS2 plus minor tungsten, including a 98-metre interval of 0.33% MoS2, and was mineralized to the end of the hole at 1,021 metres. The hole cut through a low-angle thrust fault, at about 390 metres, which was previously thought to form the lower limit to mineralization.

Newmac collared the hole to test the depth extension of the intrusive across the fault. In addition to the moly, tungsten mineralization is noted. Assays for the remainder of the hole are pending.

Mineralization occurs as molybdenite and wolframite, described as both disseminated and stockwork in style, and observed as blebs and streaks and in the selvages of centimetre-scale quartz veinlets and smaller fractures. Occasional massive molybdenite veinlets, up to several centimetres in width, have been encountered.

Located about 100 km north of Kamloops, Crazy Fox was first explored for molybdenum in the early 1900s and reportedly saw the extraction of a small amount of high-grade material. The property subsequently underwent several rounds of exploration by major companies through the 1970s — including Falconbridge Nickel Mines, now part of Xstrata (XSRAF-O, XTA-L).

Recent logging on the project area exposed several new zones of high-grade molybdenum mineralization.

Shares of Newmac recently traded at around $1.15 — giving the company a $29-million market capitalization based on its 25.5 million shares outstanding. The stock has a 52-week range of 23-$1.50.