Jul 3 2013
Orestone Mining Corp. is pleased to announce that the Company has received approval from the B.C. Ministry of Energy and Mines for an additional 20 diamond drill holes and 44.9 kilometers of IP geophysics on the Captain Project.
With this approval in place the Company now has all permits to facilitate the next several phases of exploration; 75 line kilometers of geophysics and 58 sites approved for drilling which increases coverage over the nine large magnetic high anomalies recently outlined.
Recent drilling has shown a direct correlation between magnetic dike swarms and disseminated porphyry gold mineralization. Recent diamond drill hole C12-05, intersected long intervals of 0.30-0.65 g/t gold and 0.06-0.07% copper over 119 meters and 165 meters, including 9 meters of 6.5 g/t gold and 0.27% copper as well as 6 meters of 4.4 g/t gold and 0.51% copper (News Release Jan 14, 2013). When plotted on the detailed magnetic map, C12-05 and drill hole C11-01 lie on the southern fringe of a large circular magnetic high known as the Admiral target. The Admiral target measures 1000m x 1500m and is similar in size and intensity to the magnetic high associated with the "MBX" and "66" ore bodies at the Mount Milligan Mine located 30 kilometers to the north. This is the highest priority drill target on the Captain project and will be drilled during the 2013 summer field season.
Recent logging of timber in the Admiral target area has created a network of roads which will allow easy drill rig access. With working capital of approximately $800,000 the Company is now well funded to undertake the next phase of drilling, anticipated to begin in the coming weeks.
The Captain Project hosts a large gold-copper porphyry system measuring seven by fourteen kilometers located 41 kilometers north of Fort St. James, British Columbia and approximately 30 kilometers south of the Mt. Milligan gold-copper deposit. The Mt. Milligan deposit has proven and probable reserves of 532 Mt grading 0.20% copper and 0.38 g/t gold (Thompson Creek Metals website) and is currently under construction by Thompson Creek Metals Company Inc. as a large open pit mine and processing facility. The Captain Project features relatively flat terrain, moderate tree cover and an extensive network of logging and Forest Service roads suitable for exploration year around.