Today's update on the deep hole...MEUNIER JV OPTION, DEEP DRILLING, WEST TIMMINS, ONTARIO
The current initial deep drill hole on the Meunier JV property is ongoing and when completed is estimated to provide a deep cut on the projected target area at an approximate vertical depth of 2400m. This will enable a series of shallower wedge cuts to obtain further details on shape and extent of major geological structures as well as potential mineralization. The initial deep hole was collared on LSG's Timmins Mine property in August 2010 and is now about 2600m in core length and with recent wedging appears to be on track to potentially hit the intended target by late October 2011.
This hole is targeting potential zones down plunge and on strike to mineralization at LSG's 100% owned Timmins Mine gold deposit where LSG has previously announced intercepts of up to 13.55 g/t Au over 50.80m and 61.35 g/t Au over 15m (LSG - August 10, 2010 news release) and where LSG has announced further drilling results relating to their Thunder Creek project, Rusk Zone, of up to 75.14 g/t Au over 18.60m (LSG - March 4, 2011 news release).
The Timmins Mine deposit straddles a volcanic/sedimentary/ultramafic contact zone, within a folded sequence that plunges about 54 degrees to the west-northwest towards the RTM - Adventure Gold Inc. (TSX.V) Meunier JV Property in which RTM has now earned a 12.5% interest (LSG 12.5%) and RTM may earn up to a 25% interest and LSG may earn a 25% interest. LSG may also earn a further 7.5% in the Meunier JV Property by carrying out an Economic Assessment Study on the property within the next 10 years. In addition, LSG currently owns 27.2% of the current issued and outstanding share capital of RTM.
LSG's Timmins Mine ore body has demonstrated vertical persistence as it can be traced down-plunge for a distance of approximately 1500m from surface, and remains open at depth. Newly emerging and significant fold structures and complexities are now becoming apparent on the deepest sections of the Timmins Mine from LSG drilling. Overall, the gross geometry of the structure has remained consistent from surface to a 1300m vertical depth and it is apparent that this geometry and structure continues to depth toward and potentially onto the Meunier JV Property.