Issue link: http://resourceworld.uberflip.com/i/963504
A P R I L / M A Y 2 0 1 8 www.resourceworld.com 57 MINING Sego Resources to test multiple BC porphyry targets by Ellsworth Dickson SEGO RESOURCES INC. [SGZ-TSXV] is preparing for its upcoming explora- tion program at the 100%-owned Miner Mountain copper-gold alkali porphyry project located 15 km north of the Copper Mountain copper mine near the town of Princeton, southwest British Columbia. The Copper Mountain Mine is owned by Copper Mountain Mining Corp. [CMMC- TSX; CPPMF-OTC], 75%, and Mitsubishi Materials Corp., 25%. The company has taken the 2,056-hect- are project beyond the grassroots stage and has reported a number of encouraging diamond drilling results. Assays include 100 metres grading 0.95% copper, 0.55 g/t gold and 3.37 g/t silver in hole DDH 21 as well as 128 metres of 0.34% copper, 0.29 g/t gold and 0.97 g/t silver in hole DDH 24. Numerous other drill holes also returned equally encouraging assays including DDH 17-30 that intersected two mineralized zones: 18 metres of 0.29% copper, 0.36 g/t gold and 3.0 g/t silver (113-131 metres) and 105 metres of 0.31% copper, 0.08 g/t gold and 2.29 g/t silver (164-269 metres), including 18 metres of 0.50% copper, 0.28 g/t gold and 3.17 g/t silver (167-185 metres) and 21 metres of 0.6% copper, 0.03 g/t gold and 1.6 g/t silver (248-269 metres). There are several features that make this project interesting including its location along the Nicola Copper Belt that is host to several large past and presently produc- ing porphyry copper mines such as the above noted Copper Mountain as well as New Afton and Ajax. Porphyry copper- gold deposits often occur in clusters along a trend and, to date, Sego has now identi- fied eight prospective drill targets, the most advanced of which is the Cuba Zone that remains open in all directions and to depth. J. Paul Stevenson, CEO, pointed out to Resource World that the Miner Mountain Project has the right geological environ- ment to host more than one significant ore deposit, the closest example being the Copper Mountain Mine with production to date of close to 100 million tonnes and measured and indicated resources of over 300 million tonnes. Of note, the Copper Mountain Mine, in the same geological environment as Miner Mountain, has still not reached the depth of mineralization in its open pits. Stevenson said the upcoming work pro- gram will include mapping, trenching and drilling of four target areas. Drill sites have now been chosen on the property, much of which is easily accessible ranch land. One of the goals of the program is to extend the existing drilling on the Cuba Zone to develop a NI 43-101 compliant resource along its south flank. The Cuba Zone is a large IP anomaly with a surface expression of 1,000 metres by 200 metres. The overall goal of exploration is to locate the primary copper-gold miner- alizing heat source and to also prove consistent copper-gold grades for a resource calculation. The $4.6 million that Sego has spent on exploration includes deep IP geophysical surveys, airborne magnetic surveys, LiDAR surveys, percussion and diamond drilling. Upon reviewing the geophysical results, former Teck Resources Chief Geophysicist Dr. Jules Lajoie, P.Eng., concluded, "the map displays numerous magnetic anoma- lies, highs and lows, and along with strong evidence of structural disturbance (fault- ing), it shows a setting permissive for multiple intrusions and clustering of alka- lic copper-gold deposits." The fairly mild climate of the Princeton area allows for year-round exploration. Being a mining town, Princeton has wel- comed mineral explorers and mining projects. Sego has also developed an excel- lent working relationship with the local First Nations – the Upper Similkameen Indian Band – with whom it has signed a Memorandum of Understanding. Stevenson is himself a Métis Elder. Stevenson told Resource World, "We are of the view that there may be several cop- per-gold porphyry deposits on the Miner Mountain property. If this is the case, we would like to find a suitable senior partner to carry the project forward." Sego Resources is also planning a $300,000 private placement financing. The company has about 76 million shares out- standing. n Drilling at the Miner Mountain Project near Princeton, southwest British Columbia. The Copper Mountain Mine is in the background. Photo courtesy Sego Resources Inc.