Visible Gold Mines (VGD.V) with its 167 Extension project in Northern Quebec is an interesting exploration play. The team on the project has been finding high grade mineralized boulders using the same method Virginia Mines used to discover lonore deposit, now in development nearby by Goldcorp.
The 162 Extension project is composed of 955 mining claims along the new 243 km all season road to the Stornoway’s Renard Diamond project. Management’s plan was to stake near Stornoway’s new road in order to have access to stripping and outcrops generated from construction of the Renard mine.
The company announced an airborne survey this morning after finding several mineralized boulders during fieldwork this summer.
The purpose of the survey is to help pinpoint the geological structures and the source of these mineralized boulders. The 8 million ounce lonore deposit that just started production was found the same way, tracing a mineralized boulder back to its source.
The survey will cover approximately 4000 kilometers and is expected to be completed by the end of November.
A recent financing of $1.52 million that closed in October will fund the survey and provide working capital. McEwen Mining (MUX.T) purchased 8.33 million shares in the private placement at 6 cents a share and owns 10.41% of the company. In addition, accounts managed by Goodman and Company (Ned Goodman) subscribed for $1 million of the financing.