Lake Shore Gold Shows Potential to Expand Bell Creek Reserves
Drill results released on Thursday from Lake Shore's Bell Creek mine have confirmed new high-grade mineralization zones below the current reserve. Certainly, the company is working hard to expand its current resource and total reserves at the mine.
It's certainly been a good news day for Lake Shore Gold (TSX:LSG). The Canadian mid-tier gold producer has been working hard to expand its current resource at the Bell Creek mine near Timmins, Ontario, and results released on Thursday suggest that the company is getting closer to that goal. Results reported for an additional 65 holes have confirmed new zones of high-grade mineralization below the current reserves at the Bell Creek mine's Labine deposit. A few highlights from drilling between the 775- and 925-meter levels include: 12.68 grams per tonne of gold over 18.5 meters 10.36 grams per tonne of gold over 10.5 meters 10.1 grams per tonne of gold over 7.6 meters Furthermore, the company said that drilling a little higher than the 775 level — the lower limit of the current reserves — has continued to "confirm grade and width of zones in areas close to active mining," while drilling lower than the 925 level has confirmed the extension of high-grade mineralization to depth "with potential to add to existing reserves." All of that certainly seems to point to good potential to increase the current resource and total reserves at Bell Creek. Lake Shore's president and CEO, Tony Makuch, commented on the results, stating, "[t]oday's results continue to confirm a substantial resource at the Bell Creek Mine Labine Deposit, with excellent potential for higher grades, expansion and conversion to reserves for mining." Lake Shore operates two mines and a central mill near Timmins, Ontario — including its flagship Timmins West mine and the Bell Creek mine — and also holds a number of prospects and exploration targets in the Timmins area. Bell Creek is responsible for about 20 percent of the company's total gold production so far in 2014.