Partners expand Inter Main deposit

Ongoing drilling by partnersFNX Mining (FNX-T) and Dynatec (DY-T) continues to expand the Inter Main zone at the McCreedy West mine on the northwestern fringe of the Sudbury structure.

Based on drilling around the Inter Main zone’s known reserves, the pair have outlined an additional 505,000 tons of inferred material running 1.7% nickel, to bring the zone’s total inferred resource to 617,000 tons of 1.8% nickel.

The latest drilling expanded the zone in several directions. To the north, hole no. 301, , the most northerly hole, returned 12 ft. of 3.4% nickel. To the south, hole no. 445 returned 49.3 ft. running 2% and hole no. 437 cut 18.5 ft. of 2.3% nickel. More widely spaced holes to the east yielded a 1.7-ft. section grading 4.2% nickel and 48.8 ft. of 2% nickel. Finally, results from drilling to the west range up to 1.6% nickel over 36 ft. In the West Inter Main zone, drilling cut 3.8% nickel over 21.7 ft and 2.2% nickel over 32.3 ft.

At last count, the Upper Main, Inter Main and East Main zones contained a probable reserve of 1.1 million tons grading 1.9% nickel. McCreedy’s fourth zone, the Footwall 700 zone, has a probable resource of 108,000 tonnes running 0.75% nickel, 6.83% copper, and 5.8 grams combined platinum, palladium and gold per tonne.

Drilling will target the resource and surrounding areas throughout the year.

By the end of 2003, FNX and Dynatec had mined and shipped 17,000 tons of Inter Main ore to Inco‘s (N-T) Clarabelle Mill. The development and start-up ore averaged 2.1% nickel, or about 10% higher than the Inter Main life of mine reserve grade. The mine is currently producing about 500 tons per day of ore, with plans to double that by mid-year.

McCreedy West is one of five properties the partners acquired from Inco; the others are Levack, Victoria, Norman and Kirkwood. All were mined by Inco, and the major retains a right to process any ore that the pair pull from them.

The Levack mine, about 35 km northwest of Sudbury, is currently undergoing a feasibility study. Resources at Levack total 5.5 million tonnes grading 1.9% nickel and 0.9% copper mainly in the indicated category.

FNX owns a 75% stake in the Sudbury joint venture, leaving Dynatec with 25%. Dynatec manages underground development and mining.