Temex Resources Corp V.TME announced April 29 an updated 43-101 resource estimate of its Juby Gold Project located in Ontario’s Timmins-Kirkland Lake mining camp. At a cutoff of 0.4 grams per tonne gold, it contains 25.3 million tonnes grading 1.28 g/t gold for 1.04 million gold ounces indicated and 74.2 million tonnes grading 0.91 g/t for 2.17 million gold ounces inferred.
Compared to the previous Juby estimate of January 2012, the indicated resource increased by 11%, and the inferred resource increased by 140%.
President/CEO Ian Campbell spoke to Kevin Michael Grace April 29.
RW: You showed a significant increase in resources at Juby.
IC: We were able to put a large increase in the inferred category of NI 43-101 resources. We’re pretty pleased about that. We’ve drilled 25 holes and covered a distance on surface of a little over a kilometre. All the holes hit gold, and the mineralized zone we’re identifying keeps on going. In fact, it gets a bit wider in some of the areas we recently drilled, so it’s becoming a substantial gold system.
RW: What are your 2013 drilling plans for Juby?
IC: Actually, the next phase is a field program. We completed a large land consolidation at the end of November last year where our wholly-owned landholding increased by 1,000%. The next phase is to put the geological team out there and assess the ground we have. Then we’re going to do some more drilling in the fall.
RW: How much cash do you have? What is your burn rate?
IC: We have about $7 million hard dollars in cash. Corporately, we burn about $1.2 million per annum. The burn rate really depends on how many drills we have going.
RW: So you’re set for cash this year?
IC: Yes. We raised $9 million in October; so we’re in good shape.
RW: Is Whitney your premiere project?
IC: Whitney is a different kind of project. It’s a working joint venture with Goldcorp Inc T.G; we own 60%, and they own 40%. It’s different because it has produced over a million ounces in the past and is in the centre of the Timmins camp, which is Canada’s largest gold camp.
One of the mines on our Whitney property had the highest grade. Whenever you have grade and, in particular, location, that’s a great combination because when you find enough gold to go into production you generally have a shorter timeframe. The other advantage is lower capital costs. You don’t have to build a lot of infrastructure. There is mill access in the area, so you don’t have to build one, and there are roads to the mills.
So is Whitney our premiere project? Whitney and Juby are both good projects, but at this juncture, I would say Whitney’s going to get the majority of our attention in the next little while.
RW: You told me in June 2012, “Within 2 years, I see us moving into a production scenario.” Is that still true?
IC: Yes, it is. We’re evaluating the Whitney resource we filed last October, and there are a number of production possibilities: one large openpit, all underground or some combination of the two. Since last June, we’ve added some serious depth on the mining side, with a fulltime project manager in Timmins who has worked operating mines. Then we added René Marion, the former president and CEO of AuRico Gold Inc T.AUQ, to our board last month. He’s been with Barrick Gold Corp T.ABX and has good minebuilding experience.