Nov 12, 2016 — GREENWOOD, BC (BG)

Gold exploration and mining in the area surrounding Greenwood, B.C. is not only a topic of historical interest, it is also a hot topic in current events. While Greenwood is perhaps best known for local production of copper-gold ore at its smelting operation around the turn of the century, the focus on local veins that could produce quality precious metal gold has been ongoing.

Reports from the Minister of Mines from the late 1800s and early 1900s have many references to gold exploration and production in and around Greenwood. More recently, mining studies done over the last few decades document the same focus. Geology reports_[1] excerpted below describe the history of local gold exploration:

'The Greenwood camp, and particularly the Phoenix area, has a long history of exploration and mining activity. Exploration dates back to the early 1880's, with this first phase of exploration and development concentrating on high grade gold and silver veins, such as the Skylark, Providence, City of Paris, and Jewel (Dentonia) Mines. With the discovery and development of the Phoenix area in the 1890's, exploration shifted largely to a copper focus, although work continued sporadically on the various precious metal vein properties over the next 50 years. In 1919, Granby's (Phoenix) mine and smelter closed due to low copper prices, lower ore grades and a shortage of coking coal for the smelter furnaces.

Today, however, the discovery of numerous gold mines in the late 1980's and early 1990's, nearby in Washington State, has many implications to the Greenwood area. The anticipated resurgence in exploration in the camp is of great interest to local residents and mining operators.

Crown Resources/Battle Mountain's Crown Jewel deposit at Chesaw is a gold skarn deposit with reserves in the order of 7.2 million tonnes @ 6 g/t Au. The deposit occurs in probable Triassic rocks near a Cretaceous intrusion, similar to the geological setting of the major skarn deposits in the Greenwood area.

In the late 1980's and early 1990's, Crown Resources/Echo Bay discovered a new style of gold deposit in the Belcher District, in the Curlew Lake area just south of the border. This has opened the door to a new type of deposit in the Greenwood Camp. These deposits are described as gold-bearing, magnetite-pyrrhotite-pyrite syngenetic volcanogenic deposit. The gold deposits are embedded within Triassic Brooklyn Formations, with some of the gold mineralization attributed to a late stage epigenetic event.

According to one geology report on the Bow Mines property_[2], prospects for gold production in the Greenwood Camp area have significantly increased in recent years:

"Recent exploration at the Golden Crown property, just south of the Phoenix mine and some 10 km east of the Bow Mines property has identified a new style of mineralization for the Greenwood Camp. At least 10 discrete, close spaced, parallel, en-echelon massive pyrrhotite (with lesser pyrite and chalcopyrite) and quartz-sulfide veins are recognized on the Golden Crown property, with grades in the order of 17 g/t Au (0.5 oz/t Au). Locally, spectacular gold grades, exceeding 2400 g/t Au (70 oz/t Au), have been obtained. The overall setting, host rocks, related intrusive rocks, and character of mineralization at the Golden Crown are similar to the Rossland camp. The Rossland model for mineralization has not previously been recognized for the Greenwood Camp. A second example of this style of mineralization is the Wildrose property, just northwest of the Bow Mines property.

Recent exploration successes in the area between Republic and the International Border (nine new deposits within the past 10-15 years and a total contained gold content of > 4 million oz) combined with new discoveries and newly discovered styles of mineralization in the Greenwood Camp, show the excellent potential for this district."

FOOTNOTES:

[1] Geology Reports: BC MEMPR Minister of Mines Annual Reports; Church, B.N., 1986; Peatfield, G.R., 1978

[2] Bow Mines Property Geology Report (2000)