COEUR D'ALENE, Idaho, Feb. 27, 2014 (GLOBE NEWSWIRE) -- New Jersey Mining Company ("NJMC" or the "Company") today provided a corporate update with the following highlights:
- Juniper Resources ("Juniper") has confirmed its intention to begin mine development at the Skookum Shoot area of the Golden Chest project this spring, with resulting ore to be processed at the New Jersey Mill;
- NJMC is evaluating other joint venture possibilities to provide additional mill feed;
- NJMC reports on its drilling at the Golden Chest property from late-2013;
- NJMC reports channel sampling and mapping at the McKinley project;
- The Company has filed its Form 10 with the SEC as it works toward current reporting status and has launched its new website at www.newjerseymining.com.
Juniper Confirms Plans to Ship Ore to New Jersey Mill
Juniper has confirmed its intention to begin mine development at the Skookum Shoot area of the Golden Chest project after the spring thaw, likely by early-June. Juniper expects to commence ore shipments to the New Jersey Mill by September.
The Golden Chest Mine is held by Golden Chest LLC which is owned 52.12-percent by Marathon Gold Corporation and 47.88-percent by NJMC. In September 2013, Golden Chest LLC entered into a 39-month Mining Lease with Juniper, granting it exclusive rights to develop and mine the Skookum Shoot.
NJMC CEO Del Steiner stated, "We are pleased to receive confirmation of Juniper's development plans. Recent milling contracts have demonstrated the value of the New Jersey Mill as a regional processing center, dramatically impacting the economic viability of small mines within a 4 or 5 hour trucking radius. We intend to maximize mill throughput to generate cash flow while evaluating our own small-scale production opportunities."
NJMC is in discussions with several regional small-scale mine operators regarding joint venture and/or custom milling arrangements similar to its deal with Juniper. For more information on NJMC's custom milling business, please contact the Company.
Drilling at the Golden Chest
In late-2013, NJMC drilled two holes to test the down dip extension of the historically mined Katie and Popcorn veins on the north end of the property outside of the Klondike Shoot. Drill hole GC13-161 intercepted four veins including (from shallowest to deepest):
- 5.9 grams per tonne ("gpt") gold over 0.7 meters (0.17 ounces per ton ("opt") gold over 2.4 feet) in a previously unknown vein;
- 5.6 gpt gold over 0.5 meters (0.16 opt gold over 1.7 feet) in the Popcorn vein;
- 11.2 gpt gold over 0.7 meter (0.33 opt gold over 2.2 feet) in the Katie vein;
- 20.4 gpt gold over 0.8 meters (0.60 opt gold over 2.5 feet) in a previously unknown vein that may represent a new discovery.
The last three veins occur within a broader zone of mineralization that assayed 2.3 gpt over 12.5 meters (0.07 opt gold over 41 feet) which indicates that narrow high-grade veins and lower grade, bulk mineable zones are both plausible underground targets at Golden Chest.
Drill hole GC13-160 intercepted both veins, with significant mineralization in the Popcorn vein of 11 gpt gold over 0.8 meter (0.32 opt gold over 2.7 feet). NJMC is developing follow-up plans for the upcoming exploration season.
The agreement with Juniper allows NJMC and Marathon to continue exploration activity on parts of the Golden Chest property outside of the Skookum Shoot. NJMC is evaluating areas with the potential to host high-grade ore to provide feed to its mill, including areas of past production and of past drilling and modeling.
Channel Sampling and Mapping at McKinley
The historic McKinley Mine has four levels and approximately 3,900 feet of underground workings that remain in good condition. Historic underground sampling data from the McKinley Mine area indicates significant high-grade gold, with a continuous 60-foot channel containing 0.18 opt gold including a 10-foot zone containing 0.75 opt gold.
The Company is actively channel sampling mine ribs and stoped areas at the McKinley Mine. Resulting data will supplement 195 rock chip samples already acquired to facilitate mapping the mine interior for mineable grades. The process will be repeated at the nearby Big Easy Mine soon after. Meanwhile surface sampling of ridges and outcrops is also ongoing, providing data for geological mapping of the zone between the two mines.
In December 2013, NJMC acquired the McKinley project through its acquisition of Idaho Champion Resources. The project covers approximately 4,250 acres of private land located in central Idaho north of Riggins and includes a 12-month option to purchase the historic McKinley Mine, located on 62 acres within the overall land package.
Other Corporate Developments
The Company reports that it has filed its Form 10 with the SEC as it works toward current reporting status.
The Company is also pleased to report that it has launched its new corporate website at www.newjerseymining.com.
About New Jersey Mining Company
The new management team at New Jersey Mining Company (NJMC) is implementing a new business plan. NJMC is located in North Idaho's Silver Valley where it built and is the majority-owner and operator of a fully-permitted 360-tonne per day flotation mill and concentrate leach plant. The Company is actively engaging clients for custom milling contracts while also pursuing its own small-scale production opportunities.
The Company also owns a 47.88-percent interest in the Golden Chest LLC (GC), which controls the Golden Chest Mine, a historical gold producer with more than 12,000 feet of underground workings. Since 2003, more than $6-million has been spent on exploration, drilling, and development at the Golden Chest Mine, including more than $5-million by Marathon Gold since 2010. The GC recently leased a portion of the Golden Chest Mine to Juniper Resources, a mine development and production company.
The Company's common stock trades on the OTC Market under the symbol "NJMC".
Forward Looking Statements
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended that are intended to be covered by the safe harbor created by such sections. Such statements are based on good faith assumptions that New Jersey Mining Company believes are reasonable but which are subject to a wide range of uncertainties and business risks that could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements.
CONTACT: For more information on New Jersey Mining Company, please contact: Del Steiner, CEO Email: firstname.lastname@example.orgSource:New Jersey Mining Company