Carscallen Gold Project, Timmins, Ontario

Strategic Partner at Carscallen (Click Logo for News Release)

Project Snapshot:

Status: Advanced exploration stage
Metals of interests: Gold and Base Metals
Ownership: 100 % Melkior
Current Exploration Activities: 3,800m of drilling by Kirkland Lake Gold (operator) under $110M Option/JV Agreement to Earn 75%
Location: 25km south-west of Timmins – Accessible by road all year-round
Surface area: 320 claim units, covering over 47 square kilometers

Highlights:

  • 8 Gold Zones: ZamZam, Shenkman, Jowsey, 1010 North and South, Mystery, Behemoth and Wire Gold Zones
  • High Grade Gold System: 37 historical intercepts over 25g/t Au within the Zam Zam and Shenkman Zones.
  • ZamZam gold bearing zone has been traced on surface for a length of 215 metres averaging 15.97 g/t gold.
  • Preliminary metallurgical testing shows 95% gold recovery from 8.72 g/t Gold head grade material at the ZamZam zone.
  • Gold and volcanogenic massive sulfide (VMS) potential.
  • Significant gold bearing fault structures over 1 kilometer in length with surface work and drilling confirming continuity of the zones. Open on strike and at depth.

During the past 100 years the Timmins area has produced over 70 million ounces of gold, making it one of the richest gold camps in Canada. The Porcupine Destor Fault Zone (PDFZ) and its associated splays influence the location of many of the major gold deposits in the Timmins camp and the Abitibi Greenstone belt. Timmins is also home to Kidd Creek, one of the largest VMS ore deposits in the world.

The 100% owned Carscallen Gold Project is located in the Abitibi Greenstone belt, 3 kilometres due north of the PDFZ and 25 kilometres west of the city of Timmins in Northeastern Ontario. The project shares approximately 9 kilometres of common boundary with Lake Shore Gold Corp., a company which holds the Timmins Mine and several other promising advanced prospects and promising deposits. Access to the Project is excellent, and is via a series of roads and trails which connect to Highway 101.

In the past 13 years Melkior has completed over 36,000 meters of drilling and has revealed several high-grade gold zones located in a 1000 metre by 1000 metre corridor. The gold system has been systematically traced from surface down to depths of 400 metres. Seven gold zones are located within the property boundary; ZamZam, Shenkman, Jowsey, 1010 North and South, Mystery and Wire gold occurrence.

High grade gold system starting at surface continuing to depth for over 800 meters in strike. System is open in all directions.

On September 29th, 2020 we announced a strategic partnership with Kirkland Lake Gold Ltd. As part of this partnership Kirkland was the right to earn-in up to a 75% interest in the Carscallen Project through an option and JV agreement. Under the terms of the Option Agreement, Kirkland has an option to earn a 50% interest in the Property in consideration for completing $10 million in exploration expenditures over a period of five years (the “Phase 1 Expenditures”). Kirkland has a minimum commitment of $3 million during the first two years of the Option Period (the “Minimum Commitment”), which includes $1.5 million and a minimum of 3000 meters of drilling to be completed in the first year. Kirkland will act as the Operator of the Property during the Option Period. All expenditures beyond the Minimum Commitment are optional. Should Kirkland fail to incur the Phase 1 Expenditures during the Option Period, Kirkland’s option to acquire the 50% interest shall expire. Upon Kirkland completing the Phase 1 Expenditures and earning its 50% interest, the parties shall enter into a joint venture agreement to carry on operations with respect to the Property (the “Joint Venture”). Upon the formation of a Joint Venture, Kirkland will have the right to earn an additional 25% interest in the Property by incurring exploration expenditures of $100 million within the first five years of the formation of the Joint Venture. Any additional funds required beyond the $100 million will be contributed by the joint venture parties based on their proportional joint venture interests (75%/25%).  

Property & Drilling Maps

Geophysics Maps

Grab Sample Maps