Interesting update from our neighboor - IDM.v I believe it was Dino's plan to pay a little visit to our Gold Mountain property which adjoins IDM Red mountain. Let's see what comes out.
IDM samples 8.13 m of 10.9 g/t Au at Red Mountain
2014-09-23 13:25 ET - News Release
Mr. Robert McLeod reports
IDM MINING CLOSES FIRST TRANCHE OF PRIVATE PLACEMENT, INCREASES SIZE OF OFFERING AND RELEASES SURFACE ASSAY RESULTS
IDM Mining Ltd. has closed its non-brokered private placement financing announced on Sept. 3, 2014, for gross proceeds of $1,999,980. The offering consisted of 3,131,956 flow-through share units issued at a price of 45 cents per flow-through unit and 1,476,500 common share units at a price of 40 cents per common share unit for aggregate gross proceeds of $1,999,980.
Each common share unit consists of one common share of the company and one-half of one non-transferable share purchase warrant, with each such whole warrant entitling the holder thereof to acquire one common share at a price of 50 cents for a period of 24 months.
Each flow-through unit consists of one flow-through common share and one-half of one non-transferrable share purchase warrant, with each whole warrant entitling the holder thereof to acquire one non-flow-through common share in the capital of the company at a price of 55 cents for a period of 24 months.
Finders' fees payable in connection with the offering consisted of a total of $63,349 and 142,828 finders' warrants.
Net proceeds from the offering will be used for continued exploration and development activities on the company's Red Mountain property located near Stewart, B.C., and for working capital purposes.
The company intends to increase the size of the offering on terms otherwise the same. A maximum of 1.5 million additional units are issuable under the increased offering. Certain insiders are expected to participate in the increased offering. No insiders participated in today's closing.
The increased offering is subject to receipt of applicable regulatory approvals, including approval of the Toronto Stock Exchange.
Surface exploration update
The company also announces additional surface sampling results from the Red Mountain gold project have been received, including numerous high-grade results outside of the current Red Mountain resource area. IDM recently commenced surface drilling on multiple targets.
Highlights of the recent work from three new zones discovered during 2014 include:
- 10.6 grams per tonne gold over 3.94 metres in channel samples at Wyy Lo'oop prospect, Cambria zone;
- 10.9 g/t over 8.13 metres in channel samples at Uxlox prospect, Cambria zone;
- Eight of 10 grab and channel samples assayed greater than one g/t Au, up to 11.4 g/t at Fridge zone.
"The discovery of high-grade outcropping sulphides 500 metres to the east and on strike from the Marc zone resource is encouraging," said Rob McLeod, president and chief executive officer of IDM Mining. "We look forward to drilling the initial holes at the Wyy Lo'oop and Uxlox discoveries at the Cambria zone during the next couple of weeks."
Photographs of these new discoveries with gold assay values can be viewed at the company's website.
Surface exploration program for 2014
Continuing surface mapping, along with rock and soil sampling, commenced in mid-June at Red Mountain. This work has been targeting known showings, as well as reconnaissance work in new areas, particularly in area of glacial retreat. Numerous areas of anomalous gold and pathfinder elements have been identified over a 15-kilometre-long trend. Further results will be released by IDM as they are compiled. Summaries of the Cambria and Fridge zone areas are outlined below.
Cambria zone
Significant new areas of massive and semi-massive sulphide were identified in the Cambria zone region. These are newly exposed areas of surface mineralization that were uncovered due to glacial retreat over the past 20 years. The Cambria zone is located 500 metres southeast and on trend with the Marc-AV-JW resource area. Similar to the Marc zone, the Cambria zone hosts a large area of centimetre- to metre-wide gold-bearing massive pyrite stockworks and veins. The area of strongest outcropping mineralization, recently named the Uxlox prospect, has historic grab samples that range from 2.95 g/t to 44.96 g/t Au (average of six samples is 25.10 g/t Au). During 2014, 17 of 18 samples collected assayed over one g/t Au and seven samples over 15.0 g/t Au. All samples range from 0.93 to 38.1 g/t Au, averaging 10.40 g/t. Cut-saw channel samples averaged 10.94 g/t Au over 8.13 m and 20.31 g/t over 3.40 m, with mineralization continuing under overburden.
Located 150 m north of Uxlox, the Wyy Lo'oop zone is another recently exposed outcropping of massive sulphides. A 3.94 m long channel sample of massive and semi-massive mineralization assayed 10.6 g/t Au over 3.94 m. Nine cut-saw channel and grab samples were collected from the Wyy Lo'oop zone and range from 0.25 to 15.0 g/t Au, averaging 5.85 g/t. The mineralization is covered by shallow talus cover on all sides.
Fifty metres from this outcrop, an additional mineralized area returned strong gold values. Of seven samples, one grab sample returned 37.5 g/t Au, and six approximately one m long chip channel samples assayed 8.5, 4.1, 2.6, 6.6, 0.9 and 0.06 g/t Au, respectively.
Multiple other areas of strong to massive sulphide mineralization have not yet been sampled in this recently exposed area. Due to surrounding talus cover true widths of these zones are not known at this time.
Fridge zone
Discovered during the 2014 field season on recently exposed bedrock adjacent to the Cambria icefield, the Fridge zone is associated with a northeast-trending structure that has been traced for over 50 m. Mineralization is typified by massive sulphides hosting gold mineralization. Out of 10 samples collected, eight assayed over one g/t Au. This includes three samples taken from outcropping of massive pyrite and sphalerite zone assayed from 5.7 to 11.8 g/t Au with anomalous silver and base metals.
Located 3,700 m south of the Marc/AV/JW resource area and 1,200 m east of the McAdam zone, this new discovery is open for expansion along strike and is located in mineralized sediments proximal to hornblende-feldspar-bearing intrusives and volcanics. These rocks are similar to the host and source rocks for gold mineralization throughout the Red Mountain property.
Red Mountain project
The 17,125-hectare Red Mountain property is located 15 kilometres northeast of Stewart, B.C. Numerous precious and base metal targets have been identified by IDM and previous operators over a 15 km by four km trend.
IDM recently announced positive results from a National Instrument 43-101 preliminary economic assessment and revised resource estimate completed by JDS Energy & Mining Ltd. for the Red Mountain project (see IDM news release dated July 23, 2014). A technical report prepared in compliance with the requirements of NI 43-101 has been filed on SEDAR and the company's website.
More information about IDM Mining and the Red Mountain project, as well as sample location maps are available for review at the company's website.
Quality assurance/quality control and qualified person
Surface rock and soil samples have been collected by experienced geologists and technicians, placed in sealed bags and shipped to Acme Analytical Labs of Vancouver, B.C., for gold and multielement ICP analysis. A QA/QC program, including the insertion of standards and blanks, has been implemented. The 2014 exploration program is performed under the supervision of Rob McLeod, PGeo, president and CEO of IDM Mining, qualified person under NI 43-10. Mr. McLeod has reviewed and approved the technical content of this release.
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