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 that includes 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 remaining between historic crosscuts within the paleochannel.
The project has received letters of full support from both the Lhtako and Nazko First Nations, as well as from the City of Quesnel, following joint consultations and site visits. PSI and Omineca are committed to responsible development that creates ongoing benefits for these communities and the province.
PSI has begun preparatory work including mine engineering, planning, and equipment procurement. The project will use modern methods such as self-propelled roadheaders for continuous excavation and loading, and plans for underground pre-sorting and gold recovery to expedite processing and enable year-round operations. Completed work includes a mechanistic structural design and 3-D stress-strain model of the underground workings, development of advanced ground support material systems with HMI Company, and an archaeological assessment conducted with Tracker GPS Survey & Mapping Ltd. The assessment protocol has been shared with First Nations.
Historically, the Fraser Canyon Property claims extend 11 kilometers along the Fraser River, covering a buried paleochannel. Up to 1986, the Canyon and Tertiary Mines produced 1,482 ounces of raw placer gold. In 1986, underground development at 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. The surface washplant processed 9,932 loose cubic yards, 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 of exploration, development, engineering, mining, and operating capital in return for a 75% share of recovered metals, with Omineca retaining a 25% zero-cost carried interest. The historical placer recovery figures are derived from past operator records and government filings predating NI 43-101.
Stephen Kocsis, P.Geo., an independent qualified person under NI 43-101, has reviewed and approved the scientific and technical information in this release.
For further information, contact Tom MacNeill, President and CEO, at 306-653-2692. This release includes forward-looking statements based on current expectations and views of management, subject to risks and uncertainties. No forward-looking statement can be guaranteed, and Omineca undertakes no obligation to update them except as required by law. Neither TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
