New Red Mountain gold potential identified

IDM Mining Ltd. Feb. 13 said a geologic compilation of drill results from the 2017 exploration program at Red Mountain indicates expanded gold exploration potential at this underground mine project about 15 kilometers (nine miles) east of Stewart, British Columbia.

"Our new interpretation, which has identified significant near-mine resource potential, represents an important turning point for the company," said IDM Mining President and CEO Robert McLeod. "The recognition of high-amplitude, post-mineralization repeating folds has opened up multiple areas to resource expansion that were previously thought closed off or having lower exploration potential. Tracing the folded pattern of the brecciated contact zone, which hosts high-grade, bulk mineable gold mineralization has connected most of our reserves along a continuous horizon. We look forward to both underground and surface drilling in 2018 to demonstrate the increased potential at Red Mountain."

Red Mountain currently has 1.95 million metric tons of reserves, averaging 7.53 grams per metric ton (473,000 oz) gold and 21.86 g/t (1.37 million oz) silver.

During 2017, a total of 29,312 meters of core drilling was completed, consisting of 104 underground, eight surface and three geotechnical core holes. This drilling, coupled with historical gold intercepts not included in the current resource estimate, will be included in a revised resource estimate based on the updated geological model.

The updated resource estimate is slated for completion by spring.

–SHANE LASLEY