The Brunswick Property is located in the Timmins area of Ontario.
On September 1, 2016, Rainy Mountain Royalty Corp. entered into an option agreement to acquire an undivided 100% interest in a 13 claim unit property located in Brunswick Twp., Ontario (the “Brunswick Property”). The Brunswick Property is currently owned by Michael Tremblay of Wawa, Ontario (as to 50% interest) and Fiorella Santamaria of Sault Ste. Marie, Ontario (as to 50% interest) (the “Optionors”). Under the option agreement, the Company can earn a 100% interest in the Brunswick Property by making a series of cash payments over five years (totalling $150,000 of which $30,000 was paid in cash and shares during the year) and issuing a total of 300,000 shares in 3 instalments (100,000 shares (issued) upon approval of the option agreement by the TSX Venture Exchange (the “Effective Date”); 100,000 shares 12 months following the Effective Date; and 100,000 shares 24 months following the Effective Date). If an indicated resource is outlined for the Brunswick Property by Rainy Mountain, a further 100,000 bonus shares will be issued to the Optionors. At the Company’s election, any cash payment may be paid in shares (based on the 10 day trading average for the Company’s shares as of the due date for such cash payment). A 2% NSR has been retained by the Optionors and the Company has the right to purchase one half thereof (1% NSR) at any time for $1.0 million, and as well, the Company has a right of first refusal to purchase the remaining 1% NSR.
The Brunswick Property covers a six mile long section of the Ridout Fault Shear Zone, which is an extension of the Larder Lake Break (fault zone), as associated with the Kirkland Lake and Larder Lake Gold Camps (the Kirkland Lake Gold Camp is 125 km northeast of the Property and the Larder Lake Gold Camp is 167 km northeast of the Property).
Rainy Mountain Royalty Corp. has completed its most recent trenching program on the “East Grid” of the Brunswick Property which has revealed two new zones.
East Grid Trenching Highlights:
- 800m extension to west of original gold showing exposed by trench with .388 gm gold (Au) grab sample.
- Strong mineralization exposed on extensions from drill hole BE04.
- Assays of .12 gm gold (Au) in veins with chalcopyrite (copper), 200m west of drill hole BE04 with pathfinder elements detected.
Rainy Mountain has just completed the next phase of trenching and sampling on the East Grid of the Property, which has exposed a strong deformation zone extending from drill hole BE04 (see the Company’s news releases of July 12, July 17 and August 28, 2017 for additional details). This zone contains quartz veins up to 1.0m in width that contain chalcopyrite (copper) striking in the same direction as the major shear associated with the 2.1 km long Induced Polarization (“IP”) anomaly tested by drill hole BE04. This shear is 400m north of the Ridout Fault and is parallel to that structure. Trenching has exposed this structure from line 50100E to line 49750E at 97+00N (a distance of 350m of mineralization). Assays from grab samples along this structure yielded .12 gm gold (Au) (check assay pending) from both carbonate rock with sulphides and quartz veins with chalcopyrite (Cu). Very anomalous arsenic (As) values, and Vanadium (V), copper (Cu), and antimony (Sb) were associated with this zone. Drill hole BE04 itself contained the highest arsenic value found to date on the Property of 8380 ppm and four very anomalous gold values of .298, .113, .207, and .364 gm gold (Au), attracting the Company’s special attention to this zone.
Trenching has also exposed another deformation zone extending west from the original gold showing on line 49800 at 102+50N to line 49000E at 102+25N. Photos of this zone are posted below in the photo gallery. Above is a map of the East Grid of the Property showing the IP anomalies, completed drill holes, proposed drill holes and trench locations. Assays of .31 gm gold (Au) (check assay .388 gm Au) were obtained from folded quartz veins in this deformation zone at line 49000, 102+20N, similar to the halo gold values seen at the original showing. Elevated arsenic (As), silver (Ag), and lead (Pb) values were also seen in this zone. Drilling is required to more accurately cross section the geology and to properly sample all the veins in this structure. Soil gold anomalies are associated with this particular deformation zone, which is encouraging the Company to do further drilling along strike.
Additional prospecting and sampling have also been carried out on the West Side of the Brunswick Property and two assays are pending from that area.
Drilling of a series of holes is being planned along strike to drill hole BE04 and the extension of the original gold zone. The Company believes that the trenching to date has been a very valuable tool in exposing the geology of the Property, nonetheless, gaps in exposure may occur which then need to be drilled for even more accurate geological analysis.