Recent exploration at North American Palladium’s Lac des Iles Mine (LDI) property, located 90 km north of Thunder Bay, Ontario, has defined seven underground targets in the southern part of the deposit and several discrete near-surface exploration targets, all of which are expected to be drilled in 2019.

This is according to the company’s update on its 2018 exploration programmes at LDI, released on Monday.

A geophysical survey and drilling results from the Creek Zone in the eastern part of the property, including holes 18–006 (25 m of 2.57 g/t palladium) and 18–007 (22 m of 3.74 g/t palladium including 13 m of 5.18 g/t palladium), make this the top-ranked target among the growing number of discrete, near-surface drilling targets.

Five discrete bodies of palladium mineralisation with typical grades similar to the current underground reserves are now recognised within or directly adjacent to the Offset South Zone and the sub-level shrinkage (SLS) mining area.

These include the already-developed B2 Zone, the recently-delineated B1 and B3 Zones, the Mystery Zone, and the modelled-down plunge extension of the Sheriff South Zone.

The company highlighted that the best result obtained during the 2018 drill programme comes from the B3 Zone, where hole 18–805 intersected 138 m of 3.02 g/t palladium, including a higher-grade section with 32 m of 9.19 g/t palladium, which includes 11 m of 17.8 g/t palladium.

A new area of palladium mineralisation named the C Zone was discovered in the footwall to the Offset Zone deposit.

Initial drilling results include a 20.8 m intersection of 3.50 g/t palladium in hole 18–515 and a 5 m intersection of 5.81 g/t palladium in hole 18–510.

Development has started on an exploration drift to access the Camp Lake target located about 500 m south and across a fault from the Offset Zone.

The Camp Lake target is both down-plunge and south of the SLS reserves and holds the greatest potential for hosting a significant new zone of palladium mineralisation in the immediate vicinity of the main LDI orebody.

The new drift will also provide critical new drilling stations from which the projected extensions to the B1, B2, B3, C, Mystery and Sheriff South zones will be explored.

“We are very encouraged by the large number of high-quality exploration targets we have developed in a relatively short timeframe, with our renewed focus on exploration,” commented North American Palladium CEO and president Jim Gallagher.

He added that the company is increasing its 2019 exploration budget, and that it remains committed to extending the life of the LDI operations through future exploration success.

Ends.