BRITISH COLUMBIA – Seabridge Gold of Toronto has traced a "sizeable expansion" of the Mitchell gold-copper deposit at depth on its KSM property 65 km northwest of Stewart.
"The size and orientation of the drill intercepts support the potential for an expansion of the cost effective block cave operation planned for the reserves above these new intercepts. Hole M-15-130's 174 meters of 0.55 g/t Au and 0.28% Cu is more than 200 meters to the southwest of M-15-131's 167 meters of 0.81 g/t Au and 0.25% Cu," the company said in a release.
The first two holes of this year's drill program also intersected a shallower copper zone that could convert waste to ore in the Mitchell open pit. The intersections are well outside the proposed pit and above planned underground development.
Drilling also cut copper mineralization above the Mitchell Thrust Fault in magnetite rich intrusive and sedimentary rocks near the contact of an intrusion. Core assed 0.34% Cu and 0.14 g/t Au over intervals up to 192 metres. The reserves and resources of the Mitchell deposit occur below the thrust fault.
Seabridge said it is scaling back its 2015 Mitchell program until all of the available data can be analyzed. Work to expand the block caving shapes of the Deep Kerr deposit is not affected.
Click here to see maps of holes 130 and 131 as mentioned above.