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April 8, 2019 -- InvestorsHub NewsWire --
Ximen Mining Corp. (TSX.V:
XIM) -- Already one of North America’s
best performing gold stocks, Ximen Mining Corp. continues to make
big headlines as the company today announced its focus on acquiring
the past producing Kenville Gold Mine located near Nelson in
southern British Columbia, Canada.
As recently announced in February, Ximen appointed Dr. Mathew
Ball as VP Exploration, who was working to get the Greenwood Mill operational in
southern British Columbia – a modern processing facility built in
2007 yet operational for only few months in 2008 due to weak
precious metals prices, the global financial crisis and a
corresponding lack of financing.
When you connect the dots of the Greenwood Mill and the Kenville
Gold Mine on a map, the result is a mere distance of around 150 km
on Highway #3 and #3A. That’s not a long trucking distance,
especially when talking about high-grade quartz vein material with
up to an ounce of gold per tonne.
When the Kenville Mine ceased operations in the 1950s, a total
production of more than 2 tonnes of gold (plus silver, lead, zinc,
copper and cadmium) was recorded from the processing of 181,395
tonnes.
Ximen’s CEO, Chris Anderson, stated in today’s news-release
that, “The Kenville Gold Mine has played a major role in the rich
history of BC Gold mining. It was the first underground lode gold
mines in British Columbia and was once the largest producer in the
Nelson Mining Camp. There have been multiple new targets and veins
discovered in the last several years and Ximen is looking forward
to the potential opportunity that exists ahead.”
Successful drilling programs between 2009 and 2012 discovered
additional high-grade gold quartz veins striking over several
hundred meters beyond the historical footprint of the Kenville
Mine, confirming potential for new gold resources with silver and
copper enrichment. By 2012, the Kenville Mine was at a
production-ready state, but the concurrent beginning of a bear
market in gold put an end to that plan.
With gold prices on the rise again, the time could be ripe now
for Ximen to write history in one of North America’s most prolific
gold mining districts.
About the Kenville Gold Mine
According to Ximen’s news today:
“The Kenville Gold mine was discovered and staked in 1888 and
was the first hard rock gold mine in British Columbia. It was mined
intermittently until 1954, with recorded production of 2,029
kilograms of gold, 861 kilograms of silver, 23.5 tonnes of lead, 15
tonnes of zinc, 1.6 tonnes of copper and 37 kilograms of cadmium
from 181,395 tonnes processed. The property is located 8 km west of
Nelson, BC, is accessible by paved road and is connected to the
power grid. Existing infrastructure includes mining equipment,
offices, mechanic shop, core storage and accommodation.
The mine deposit consists of multiple, gold-silver quartz veins
hosted by diorite. Between 2007 and 2008, 13,000 meters of diamond
drilling was conducted that targeted previously un-tested areas
southwest of the historic mine, and detailed sampling was conducted
within the mine on the 257 Level. There are six other historical
levels within the mine footprint; only this level was rehabilitated
and remains open and accessible. Based on the mine sampling and
drill hole information available at the time, new zones of gold
mineralization were identified, and mineral resources were
estimated (see table below).
A qualified person has not done
sufficient work to classify the historic estimate as current
mineral resources or mineral reserves. As such the issuer, Ximen
Mining Corp., is not treating this historical estimate as current
mineral resources or mineral reserves. Ximen considers this
historic mineral resource estimate to be relevant and reliable in
that it was based upon the results of underground sampling and
diamond drill information available at the time. The historic
estimate uses the categories of Measured, Indicated and Inferred
mineral resources as defined by the Canadian Institute of Mining,
Metallurgy and Petroleum. Measured and Indicated Resources are
based on projections of mineralized veins exposed on the 257 Level.
Inferred Resources in the historical estimate are based on assumed
continuity beyond measured and (or) indicated resources. The
inferred mineral resources are based on historical drill and assay
information verified by underground channel samples collected in
2007/8. The resource tonnages were estimated using an assumed
specific gravity. A cut-off grade of 1.1 grams per tonne was used.
No allowance for dilution was included based on an anticipated
“resue” mining method, which would separate mineralized material
from waste rock.
Significant diamond drilling was conducted after the above
mineral resource estimate was made between 2009 and 2012. At least
4 new veins were identified with potential strike lengths of over
700 metres. The results of this drilling have not yet been reviewed
by the Company’s Qualified Person. A complete review of the
technical information is required with the aim of completing a new
resource estimate that includes the more recent diamond drill
results.
In addition to the historic gold mine, elsewhere on the property
historic soil geochemical surveys and results of scout drilling
indicate potential for porphyry-type copper-molybdenum-silver-gold
mineralization.”
Last week, Ximen announced the acquisition of
more than 12,900 hectares of land near Greenwood in southern
British Columbia, becoming one of the largest land holders in the
mining-friendly Greenwood District besides Kinross Gold Corp.,
Grizzly Discoveries Inc. and Golden Dawn Minerals Inc.
“The claims cover or border several historic past producing
mines and mineral occurrences. Included is the Providence mine that
operated intermittently from 1893 to 1973”, Ximen noted in the
news-release. “A total of 10,426 Metric tonnes of ore was mined,
producing 183 kilograms of gold, 42,552 kilograms of silver, 183
tonnes of lead, 118 tonnes of zinc. The Combination mineral showing
was also mined, with 11 tonnes yielding 60,340 grams silver and 653
grams of gold. There are a total of eleven known mineral
occurrences covered by the mineral claims.”
Map showing Ximen/GGX‘s Gold Drop Property (orange) and Ximen‘s
newly acquired claims (red) in proximity to the Greenwood Mill from
Golden Dawn Minerals Inc. (TSX.V:
F)
 A golden opportunity: The
Greenwood Mill is a modern processing facility with a daily
throughput capacity of 212 t/day (72,000 t/year), upgradable to 424
t/day with the addition of a second primary grinding mill and
modifications to existing rougher flotation circuit. The mill‘s
conventional processing can produce a gold gravity concentrate and
copper-gold flotation concentrate, both marketable to smelters for
immediate cash-flow. The near-by tailings pond, pictured above in
the background, has a permitted capacity of 400,000
t.
The newly acquired claims surround Ximen’s Gold Drop
Property which is currently under an option agreement to
GGX Gold Corp. The Gold Drop Project recently made headlines with
record-breaking drill results of “129 g/t gold and 1,154 g/t silver
over 7.28 meter core length“, which ranks as the world‘s 7th best drill intercept
of 2019.
Moreover, these assays showed that tellurium grades have
exceeded the upper analytical limits at the lab (i.e. 500 g/t
tellurium), which prompted Ximen’s option partner to re-analyze the
core for tellurium, also “due to multiple industry inquiries” as
Ximen stated. On March 18, the exact
tellurium grades were announced with “up to 3,860 g/t
tellurium”, including “823 g/t tellurium over 7.28-meter core
length” and “640 g/t tellurium over 6.90-meter core length”.
Fortis Metals, the world’s leading producer of minor metals,
recently forecasted a tellurium supply deficit that, “as of 2020
could be as big as a staggering 370 metric tonnes.” Noting the
rapidly-growing use of tellurium for thin-film solar panels, Fortis
stated: “At the moment, we are still seeing (tellurium) inventories
in China but these are being eaten away by the two main suppliers
of First Solar (the world’s largest thin-film solar manufacturer).
It is only a matter of time before the market will understand the
new dynamics and prices will start to reflect the growing deficit.
We would not be surprised to see prices break the previous record
seen in 2011.”
Ximen’s option partner has produced some of the highest grade
tellurium drill intercepts in the world over the 2018 drill
season.
See also Rockstone Report #8 “Industry inquiries persuade Ximen‘s
partner to re-assay drill core for tellurium“ for more
information on the importance of tellurium for the solar industry
as well as Ximen’s note on “Tellurium’s Unique Value”.
Interview with Chris Anderson, CEO of Ximen, at the PDAC
2019:
YouTube
Previous Coverage
Report #8: “Industry
inquiries persuade Ximen‘s partner to re-assay drill core for
tellurium“
Report #7: “Ximen Hires
B.C. Mining Expert Dr. Mathew Ball“
Report #6: “Location is Key
for Ximen‘s Treasure Mountain Project in Southern British
Columbia“
Report #5: “The
Unprecedented Gold-Silver-Tellurium Strikes in the Historic
Greenwood Mining Camp Continue“
Report #4: “Record-Breaking
Gold Hit in Southern British Columbia“
Report #3: “Strong drill
results and appreciating precious metals prices may herald golden
times for Ximen Mining“
Report #2: “Ximen Mining reveals
striking drill core observations ahead of assays“
Report #1: “Ximen Mining:
Hunting for Multi-Million Ounces in British Columbia“
Technical Perspective
Link to updated chart (15 min. delayed): http://schrts.co/nVvegNqV
Company Details
Ximen Mining Corp.
888 Dunsmuir Street – Suite 888
Vancouver, BC, Canada V6C 3K4
Phone: +1 604 488 3900
Email: office@ximenminingcorp.com
www.ximenminingcorp.com
Shares Issued & Outstanding: 32,459,025
Chart
Canadian Symbol (TSX.V): XIM
Current Price: $0.75 CAD (04/05/2019)
Market Capitalization: $24 Million CAD
Chart
German Symbol / WKN (Frankfurt): 1XMA / A2JBKL
Current Price: €0.498 EUR (04/05/2019)
Market Capitalization: €16 Million EUR
Disclaimer: This report
contains forward-looking information or forward-looking statements
(collectively "forward-looking information") within the meaning of
applicable securities laws. Forward-looking information is
typically identified by words such as: "believe", "expect",
"anticipate", "intend", "estimate", "potentially" and similar
expressions, or are those, which, by their nature, refer to future
events. Rockstone Research, Ximen Mining Corp. and Zimtu Capital
Corp. caution investors that any forward-looking information
provided herein is not a guarantee of future results or
performance, and that actual results may differ materially from
those in forward-looking information as a result of various
factors. The reader is referred to the Ximen Mining Corp.´s and
Zimtu Capital Corp.´s public filings for a more complete discussion
of such risk factors and their potential effects which may be
accessed through the Ximen Mining Corp.´s and Zimtu
Capital Corp.´s profile on SEDAR at www.sedar.com. Please read the full
disclaimer within the full research report as a PDF (here) as fundamental risks and
conflicts of interest exist. The author, Stephan
Bogner, holds a long position in Ximen Mining Corp., Golden Dawn
Minerals Inc. and Zimtu Capital Corp. and is being paid by Zimtu
Capital Corp. for the preparation, publication and distribution of
this report, whereas Zimtu Capital also holds a long position in
Ximen Mining Corp. and Golden Dawn Minerals Inc. The author
currently does not hold any equity positions or other kind of
interest in GGX Gold Corp. or any other mentioned company. Ximen
Mining Corp. has paid Zimtu Capital Corp. to provide this report
and other investor awareness services.
Contact:
Rockstone Research
Stephan Bogner (Dipl. Kfm.)
8260 Stein am Rhein,
Switzerland
Phone: +41-44-5862323
Email: info@rockstone-research.com
www.rockstone-research.com
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