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48 www.resourceworld.com J U N E / J U L Y 2 0 1 7 Margaux Resources drilling Jersey-Emerald Mine Project by Ron Hall B ritish Columbia is well known as one of the world's major mining regions with a long history of exploration and mining activity, especially in the resource-rich southeastern part of the province. Today, with easy access to the area via direct daily flights from Vancouver and Calgary with Air Canada, well established infrastructure in place such as highways, roads, power, availability of a skilled work-force and proximity to potential customers such as the Teck Resources lead/zinc smelter in Trail and the Kinross gold mill in northeast Washington State, the region remains a significant resource development target. One company seriously invested here, specifically in an area known as the Kootenay Arc, is Margaux Resources Ltd. [MRL- TSXV; MARFF-OTCQB]. The past producing Jersey-Emerald lead-zinc, tungsten and gold mine is their key focus which, accord- ing to the company, holds significant development potential that is currently being quantified through drilling and sampling programs. Exploration on the Jersey-Emerald property dates back to 1895 and, since then, the mine has produced both tungsten and lead- zinc. Although the mine is the second-largest historic lead-zinc mine in British Columbia and the second-largest historic tungsten mine in North America, it has been inactive since 1973. In addition to the Jersey-Emerald property, Margaux acquired five new properties late last year and early this year in the same area (Jackpot, Bayonne, Sheep Creek, Aspen and Ore Hill) and their exploration team has spent the winter compiling a vast amount of historic data from these new properties as well as from the Jersey- Emerald property, in preparation for the 2017 field season. The work has included building 3D geological models for the Jersey-Emerald and Jackpot properties. The 3D rendering incorpo- rates the results of geological, geochemical and historic drill data and has significantly advanced the geological understanding of the prop- erties. 3D models for Sheep Creek, Aspen and Ore Hill are planned. Zones of significant zinc-lead-silver mineralization was dis- covered during the 2016 surface prospecting program, including 7.9% zinc, 22.6% lead and 646 g/t silver (22.8 oz/ton) as well as 11.6% zinc, 12.8% lead and 228 g/t silver (8.0 oz/ton). The Jersey Mine, which historically produced approximately 8 million tonnes, hosts NI 43-101 compliant indicated resources of 1.9 million tonnes grading 4.30% zinc and inferred resources of 4.98 million tonnes grading 3.37% zinc. Indicated lead resources stand at 1.9 million tonnes grading 1.96% with inferred resources grading 1.95% lead. One of the outcomes of the winter modelling work has been the recognition of historic, unsampled, drill core from the Jersey and Jackpot properties. Margaux has recovered this core, which was drilled by former operators and stored off-site, and is cur- rently logging and sampling the core. A 5,500-metre diamond drill program is now planned for 2017 and the contract for this drilling has been awarded. Phase 1 of the drill program began on May 15 and will consist of five holes, totalling 1,100 metres, to test for gold and lead-zinc on the Jersey-Emerald property. Phase II drilling, for the balance of the 5,500-metre program, will be on the Jackpot, Bayonne, Sheep Creek and Ore Hill properties and will begin as snow con- ditions and permits allow. In addition to the drill-ready targets, Margaux's exploration team has identified several early stage targets for work in 2017. Exploration on these early-stage targets will include geological mapping, rock, silt and soil sampling, plus possible geophysics and trenching, with the goal of advancing the targets to a drill- ready stage. The company has funding in place for these programs follow- ing a recent financing close on gross proceeds of $3,834,219. n MINING A view of the underground workings of the past-producing Jersey- Emerald lead-zinc-tungsten-gold mine located 10 km southeast of Salmo, southeast British Columbia. Photo courtesy Margaux Resources Ltd.