22.97% zinc tapped at Pine Point deposit

Osisko Metals Inc. May 29 reported additional high-grade zinc and lead results from its 2018 winter drill program along the East Mill Zone trend of its Pine Point project in Northwest Territories.

The 11 holes reported were drilled in the area of K-35, one of several deposits mined by Cominco Ltd. from 1964 to 1987.

The historic Pine Point Mine involved a series of 50 surface and underground deposits along a 60-kilometer (37 miles) trend. In all, Cominco discovered roughly 90 such deposits on the property.

K-35 is within the East Mill Zone, a 7.6-kilometer (4.7 miles) area at the east end of the Main Trend at Pine Point.

A historical resource reported by Cominco in 1988 outlined 860,000 metric tons averaging 3.67 percent zinc and 1.12 percent lead in the core of the K-35 deposit.

The best hole drilled this year at K-35, EM-18-PP-073, cut 5.95 meters averaging 22.97 percent zinc and 2.22 percent lead.

Other highlights from the winter drilling at K-35 include 7.75 meters of 10.91 percent zinc in hole EM-18-PP-079; and 5.75 meters of 11.35 percent zinc and 1.01 percent lead in EM-18-PP-088.

All 11 holes cut near-surface mineralization zinc and lead mineralization, with multiple mineralized intercepts reported in 7 drill holes.

K-35 is situated about 1,100 meters northeast of the L-35 and L-36 deposit areas, where earlier drilling also cut high-grade zinc.

Hole EM-18-PP-050, drilled about 100 meters southwest of L35, cut 9.25 meters of 3.84 percent zinc and 0.92 percent lead.

Two holes reported by Osisko in early may cut 5.53 meters of 10.8 percent zinc and 0.7 percent lead; and 10.3 meters of 4.86 percent zinc and 0.61 percent lead in the area of the L36 deposit.

All intersections reported to date from the winter program in the East Mill Zone were encountered from surface to a depth of 65 meters.

"These East Mill Zone results are very interesting due to their high grade and proximity to surface," said Osisko Metals President and CEO Jeff Hussey. "The location is also adjacent to a 25-meter-wide haulage road and within five kilometers (three miles) to the east of the electrical substation."

Overall, Osisko plans to drill 700 drill holes along a 20-kilometer- (12.5 miles) long section of the Pine Point property.

The objective of the roughly C$8 million drill program slated for this year is to upgrade approximately 50 million metric tons of unclassified near-surface historical resources to NI 43-101 indicated resources as quickly as possible in areas amenable to open pit mining.

"We eagerly await commencement of our summer drilling program," said Hussey.

Located near the community of Hays River, this area has the advantage of well-established infrastructure, including paved highway access and hydroelectric power.

–SHANE LASLEY