VANCOUVER (miningweekly.com) – Winter exploration results from the Sunday Lake platinum-group metals (PGM) deposit, 25 km northeast of Thunder Bay, Ontario, have led to the discovery of new PGM mineralisation in the central part of the property, with extensions to the east, that open up a much larger area for exploration, North American Palladium (NAP) said on Tuesday.
The Toronto-based company is working to earn a 75% interest in the project from Impala Platinum, while project partner Transition Metals maintains a free-carried 25% interest until a feasibility study has been completed for the project.
NAP drilled about 8 500 m in ten holes, with Hole SL-17-18B intersecting 18.65 m of 4.05 g/t combined platinum, palladium and gold (3E), including 4.9 m of 6.1 g/t 3E and 0.64% copper that appears to represent a fault-related south-westerly extension to the previously intersected PGM mineralisation in the eastern part of the Sunday Lake Intrusion (SLI).
Hole SL-18-21 hit 35.8 m of 3.9 g/t 3E, including 6.5 m of 8.3 g/t 3E, with 1.08% copper and 0.36% nickel, establishing local-scale continuity in the vicinity of the thickest and highest-grade mineralisation on the property.
Further, Hole SL-18-22 intersected 33.2 m of 2.8 g/t 3E, including 5.9 m of 6.8 g/t 3E and 0.67% copper, with 1 m of 17.5 g/t 3E and 1.48% copper, representing the first discovery of PGM mineralisation in the central part of the SLI.
Together, these two holes intersected the highest individual sample of 3E, copper and nickel values obtained to date from the project, the company advised.
“We are very encouraged by the new drilling results at Sunday Lake, which provide clear targets for follow-up programmes, including newly defined structural targets, untested geophysical anomalies, and additional drilling on newly discovered PGM mineralisation in the centre of the SLI. This project is the most advanced exploration-stage opportunity within our attractive regional property portfolio,” NAP president and CEO Jim Gallagher advised.
"These results demonstrate the potential of the SLI to host significant economic mineralisation and the grades encountered are higher than other similar deposits and mines in the district,” Transition president and CEO Scott McLean stated, adding that the geology at Sunday Lake bears many similarities to the company's 100%-owned Saturday Night project, located in similar geology, 16 km to the west, that might have similar potential.
The property occurs within the emerging Mid-Continental Rift PGM camp. Recent discoveries in the district include Panoramic Resources' Thunder Bay North project with an indicated resource of 8.46-million tonnes grading 2.09 g/t PGM, in Ontario; Lundin Mining's Eagle mine, which holds reserves of 3.72-million tonnes grading 2.5% nickel and 2.2% copper, in Michigan; and Rio Tinto's Tamarack deposit, with indicated resources of 3.75-million tonnes grading 1.81% nickel, 1% copper and 0.85 g/t PGM, as well as 3.38-million tonnes grading 1.63% nickel, 0.94% copper and 0.67 g/t PGM in the inferred category, in Minnesota.