Omineca Mining and Metals Ltd. (TSXV: OMM) (OTCQB: OMMSF) reported that its mining partner PSI Group has submitted the application for initial dewatering at the Fraser Canyon underground paleoplacer gold recovery project, located 12 kilometers northwest of Quesnel, British Columbia. PSI is also preparing a Notice of Work submission for a long-term mine plan and engineered ground support management program. Once permitting is in place, PSI plans to re-enter the underground workings and begin mining unrecovered placer gold bearing material between historic crosscuts within the paleochannel.
PSI and Omineca announced that following joint consultations and site visits, the Lhtako and Nazko First Nations have addressed letters of full support for the Fraser Canyon Project to the province of British Columbia. Additionally, the leadership of the City of Quesnel has voiced full support. The companies are committed to responsible development to create ongoing benefits for the First Nations, Quesnel, and the province.
PSI has begun preparatory work including mine engineering, planning, and equipment procurement to re-initiate placer gold recovery. The project will benefit from modern mining methods, including multiple self-propelled roadheaders for continuous excavation and loading, and an underground pre-sorting and gold recovery operation to expedite processing year-round. Activities completed include a mechanistic structural design and 3-D stress-strain model of the underground workings, establishment of mechanical mining systems for safety and efficiency, and development of advanced ground support material systems with HMI Company for 100% extraction and real-time backfilling using mine tailings. An archaeological assessment was completed with Tracker GPS Survey & Mapping Ltd, and the protocol has been shared with First Nations.
Historically, the Canyon and Tertiary Mines on the property collectively produced 1,482 oz of raw placer gold up to 1986. In 1986, the Canyon Mine used conventional drill-and-blast methods, advancing a 772-foot main drift with 13 crosscuts, producing 10,804 loose cubic yards of pay gravel over 100 days, recovering 421.634 troy ounces of refined gold and 40.342 troy ounces of silver. As Omineca's mining partner, PSI will fully fund all costs in return for a 75% share of recovered metals, with Omineca retaining a 25% zero-cost carried interest.
The scientific and technical information in this news release has been prepared by Stephen Kocsis, P.Geo., an independent qualified person under NI 43-101. Omineca's flagship Wingdam hard rock exploration and placer gold recovery projects are located along the Barkerville Highway east of Quesnel, and the Fraser Canyon Project is part of Omineca's original acquisitions in the Cariboo Mining District.
For further information, contact Tom MacNeill, President and CEO, at 306-653-2692. This release includes forward-looking statements based on current expectations, subject to risks and uncertainties. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
