MONETA PORCUPINE MINES INC. : http://www.monetaporcupine.com/ : QwikReport
Golden Highway Project
Moneta's 100% owned Golden Highway Project ("Golden Highway") covers 100km2 on 10,800 hectares (676 claim units) east of Timmins, Ontario. This area is within the prime Abitibi greenstone belt, renowned for its world class gold and base metal mines.
Moneta's Golden Highway hosts a NI 43-101 resource estimate (Oct 2012) of 1,091,200 ounces indicated (31.1 Mt at 1.09 g/t Au) plus 3,203,800 ounces inferred (83.3 Mt at 1.20 g/t Au) on distinct gold zones on the property.
The gold zones included in the NI 43-101 resource estimate, namely Windjammer (South, Central, North and West areas), Southwest Zone and 55 Zone, have very similar mineralization styles, and, with the exception of Windjammer - North Area, are hosted in the same geological settings, and are believed to be part of the same gold mineralizing system.
The mineralization geostatistics, including histograms and variograms, demonstrate strong continuity and predictability of gold grade. Significant potential exists to expand both "in-pit" and "out-of-pit" resources as all zones remain open along strike and to depth. Further potential exists along the 12km strike of similar geology trending across the property.
The Golden Highway land position is adequate in size to support any necessary milling infrastructure. Preliminary metallurgical testing completed in 2012 confirm gold recoveries up to 96.4% in all gold zones. These robust recoveries, in conjunction with the fact that the gold zones included in the NI 43-101 resource estimate are clustered over 4.0km, confirm that the zones would all utilize common infrastructure including a central mill.
The property has first rate infrastructure with excellent off highway access via an extensive network of logging and drilling roads. Communications and power are available along Highway 101 and cell phone coverage extends to the property. A skilled labour force for mining and exploration is available in Matheson, Kirkland Lake and Timmins. Timmins and Kirkland Lake are also major supply and service centers for the mining industry. The Golden Highway Camp also has active milling infrastructure with St Andrew Goldfields ("St Andrew") located 25km to the east and Brigus Gold located 40 km to the west.
NI 43-101 Resource Estimate
The following table summarizes the NI 43-101 In-Pit and Out-of-Pit Mineral Resource Estimate in the Indicated and Inferred resource categories:
The mineral resources in this press release were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council.
Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. There is no certainty that all or any part of the estimated Mineral Resources will be converted into Mineral Reserves.
Assay composites were capped up to 35 g/t based on geo-statistical support for each zone.
A modeling cut-off grade of 0.25 g/t Au was only used to create a three-dimensional wireframe for subsequent interpolation.
A block model was created with 10x10x10 metre blocks using inverse distance cubed grade interpolation.
Indicated Mineral resources were classified with a 35 metre search radius and a minimum of two drill holes.
A bulk density of 2.79 t/m³ was used for all tonnage calculations.
A gold price of US$1,200/oz and an exchange rate of US$1.00 = C$1.00 was utilized in the Au cut-off grade calculations of 0.37 g/t for open pit and 2.0 g/t for out of pit.
Open pit mining costs were assumed at C$1.60/t for mineralized material, C$1.60/t for waste rock and C$1.25/t for overburden, while out of pit mining costs were assumed at C$59/t, with process costs of C$11/t, G&A of C$2.00/t, and a 93% metallurgical recovery.
Totals in the table may not sum due to rounding.
The Golden Highway Project covers mafic to ultramafic volcanic assemblages with associated sedimentary basins that straddle the Destor Porcupine Fault/Deformation Zone ("Destor"), the most prolific gold-bearing structure in the western Archean Abitibi Greenstone Belt.
The 12 km of the Destor on the property results in two distinctive and parallel geological settings with gold mineralization: the Northern Corridor consisting of volcanics and local felsic porphyries, and the Southern Corridor defined by Timiskaming sediments and iron formation.
The Northern Corridor with Moneta's Windjammer - North Area, Landing Zone, Twin Creeks Zone and LC Zone have similarities to the Timmins Camp and the potential to host high grade lode gold quartz and quartz carbonate vein deposits hosted in volcanics. This is in addition to the potential for Lightning Zone style gold mineralization, hosted in broader pyritic and sericite/albite altered iron tholeiite volcanics in contact with ultramafic volcanics, as encountered in the Holloway Mine only 25 kilometres east along the Destor.
Gold mineralization in the Landing Zone, Twin Creeks and Windjammer - North Area is hosted in altered ultramafic and mafic volcanic rocks that are silicified and carbonatized (ankerite, green carbonate). along the Destor with quartz carbonate veining in high strain zones. Gold values are typically associated with 2% to 5% very fine pyrite with occasional visible gold noted.
Widespread gold mineralization as in Windjammer - South Area, Windjammer - West Area, Southwest Zone and the 55 Zone, is hosted in clastic sediments both along banded chert-magnetite-hematite iron formation and in the sediments away from the contact area. Mineralization typically consists of variably intense ankerite and sericite alteration accompanied by local brecciation and fracture filling by quartz-pyrite stringers as extensive stockworks, and quartz and quartz-carbonates veins up to several metres in width. Sulphidization of the iron formation in contact with vein systems and brecciation frequently results in significantly elevated pyrite levels and high grade gold mineralization.
Gold mineralization is also hosted by porphyritic syenite/felsic intrusions in contact with variably altered ultramafic and mafic volcanic rocks of the Destor. The LC Zone syenitic intrusive has a bleached and albitized core enveloped by a hematized zone with gold concentrated in zones of quartz carbonate stringers with minor pyrite.
An extensive digital geological and structural database covering the area has been built and is updated and refined on an ongoing basis, facilitating and contributing to Moneta's exploration success and ongoing activities on the Golden Highway Project. Significant untested gold potential exists on the property in all geological settings.