BRITISH COLUMBIA – Vancouver's Canarc Resource Corp. has signed a $10-million pre-development and earn-in agreement for its New Polaris gold project 100 km south of Atlin. The project is in the advanced exploration stage, and a subsidiary PanTerra Australia can earn a 50% interest in the project by taking it through feasibility and permitting within 30 months. PanTerra will also undertake to have metallurgical tests done and perform additional drilling.
If New Polaris can make a refractory gold concentrate, the concentrate would be shipped for smelting at PanTerra's Albion plant in the Dominican Republic. The Albion plant treats tailings from the historic Pueblo Viejo mine.
Canarc completed a preliminary economic assessment of New Polaris in 2011, planning to build a 72,000 oz/year high grade, underground gold mine. Gold was discovered there in 1929, and the Polaris Taku mine began operation in 1937, took a time out for World War II, and continued to operate until a barge of gold concentrate sunk off the BC coast during a storm in 1951. Cominco leased the mill to treat ore from its Tulsequah Chief and Big Bull deposits until 1957. Canarc acquired New Polaris in 1992 and since that time has drilled 64,000 metres of core.
In 2007 the New Polaris property was estimated to have undiluted measured and indicates resources of 1.29 million tonnes at 12.54 g/t Au and containing 419,000 oz of gold. The inferred portion was 1.63 million tonnes at 12.15 g/t Au and containing 636,000 oz of gold. A 6-g/t cut-off was used.
Click here to read Canarc's May 2014 corporate presentation with additional information.
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