Meliadine West drilling ends on high note

Vancouver — Drilling by Comaplex Minerals (CMF-T) on the Meliadine West project in Nunavut has returned significant high-grade results, extending the known gold mineralization along strike from the Main Tiriganiaq deposit.

The infill and stepout program was focused on the West Tiriganiaq zone — an on-strike, deeper extension of the main deposit. The zone exists at a depth of 350-450 metres and has been traced laterally for more than 600 metres.

Results from the latest round of this season’s expanded 21 drill holes (totalling 9,300 metres) include the following:

— Hole 530 — This stepout hole, on the northeastern section of the West Tiriganiaq zone, cut 3.1 metres (from 359 metres) grading 12.2 grams gold per tonne; down-hole several metres, another, 1-metre intercept returned 7.65 grams gold.

— Hole 531 — This, another stepout core hole on the eastern section of West Tiriganiaq, 100 metres from any previous hole, returned 16.2 metres (from 434 metres) assaying a whopping 188.2 grams gold (uncut), the grade was 40.53 grams gold when high values were cut to 60 grams; again, farther down-hole, additional mineralized sections of 2 metres of 26 grams, 1.1 metres of 8 grams, and 2 metres of 6.3 grams were encountered.

— Hole 533 — Infill drilling cut 6 metres (from 433 metres) grading 20.8 grams gold.

— Hole 534 — This infill hole cut 2.9 metres (from 425.4 metres) of 34.1 grams gold, as well as additional down-hole intercepts of 2 metres of 10.8 grams and 3 metres of 17.1 grams.

The two stepout holes were sunk between West Tiriganiaq and the main deposit, and results show similarities in geology and mineralization, suggesting continuity between the zones.

The five deposits that constitute Meliadine West have a total indicated resource of 5.2 million tonnes grading 7.7 grams gold (1.29 million contained oz. gold) plus 16.9 million tonnes of 6.1 grams (3.2 million contained ounces gold). The resource calculation is compliant with National Instrument 43-101.

Comaplex increased its interest in the Meliadine West gold project from 22% to 78% through an October 2003 transaction with major Australian miner WMC Resources (WMC-N), whereby WMC’s Canadian subsidiary was merged into Comaplex for US$6.75 million and 5.2 million Comaplex shares. As a result, WMC now owns about 14% of Comaplex.

Advanced exploration expenditures on Meliadine West, to date, exceed $60 million.

Gold mineralization in the Meliadine trend is associated with iron formations along the Pyke Fault structural zone. Gold occurs in quartz-carbonate vein stockworks, laminated veins, and in sulphidized iron formation sequences that have undergone folding and shearing. Mineralization also occurs in meta-volcanics and meta-sediments along their contact.

Compalex has a 78% interest in Meliadine West; Cumberland Resources (CLG-T) holds a 22% carried interest through to production. Comaplex can purchase 2% of Cumberland’s interest for $2 million.

Comaplex is also active at the Meliadine East project, a 50-50 joint venture with Cumberland, where, in addition to gold exploration, recent work has identified kimberlite pipes on the property. The company has other diamond and precious and base metals exploration projects in Nunavut and an option on a gold project in eastern Mexico. Comaplex also holds interests in oil and gas projects in Alberta, and these generate revenue of the company.

Comaplex has 36.1 million shares outstanding and trades in the range of $3.50-$4 per share.