Cyprus expands Cache gold zone in N.W.T.

Drilling by Cyprus Canada, a unit of Cyprus Amax Minerals (NYSE), has expanded the size of the Cache gold zone in the eastern Northwest Territories.

Property owner Noble Peak Resources (ASE) discovered the zone in 1988 and conducted a shallow 13-hole drill program that outlined 364,000 tonnes grading 9.26 grams per tonne in an altered stockwork.

Cyprus drilled four widely spaced holes to test the extension of the gold zone 100 metres below the holes previously drilled by Noble Peak. All four holes returned encouraging gold values from a stockwork that averages 30 metres in width. Significant intersections include: 6.36 grams over 30.4 metres in Hole S94-39; 8.53 grams over 10.8 metres in S94-38; and 2.42 grams over 12.4 metres in S94-37.

Several veins contained coarse gold and more sampling is required to determine the significance of the high-grade intercepts.

Current drilling suggests that the mineralized stockwork plunges to the west and is present over a 250-metre strike length and down to a depth of 300 metres. The zone appears to be open in all directions.

Cyprus has mobilized a larger drill to the property and plans to resume drilling the Cache zone later this month. The Mac gold zone, 10 km to the west, will also be drill-tested.

Apart from the results on this property, Cyprus last week (T.N.M., June 27/94) reported relatively rich intercepts at its Fenelon Twp. property in northwestern Quebec. The best intersections included 6.7 metres grading 42.6 grams gold per tonne and half a metre that ran 40.7 grams. This project is a joint venture with Ogy Petroleums (TSE).