Massive Black Horse Chromite Discovery
Black Horse deposit has an Inferred Resource Now 85.9 Million Tonnes @ 34.5%
KWG Resources Inc ("KWG") is an exploration stage company that is participating in the discovery, delineation and development of chromite deposits in the James Bay Lowlands of Northern Ontario. These deposits are globally significant source of chromite which may be refined into ferrochrome, a principal ingredient in the manufacture of stainless steel. KWG has been a pioneer in exploring the James Bay lowlands since 1993 and discovered diamond bearing kimberlite pipes near Attawapiskat and 5 more near the Ring of Fire area in 1994. This led to the accidental discovery of the McFaulds Lake copper-zinc volcanogenic massive sulphide deposits in 2002, the discovery which precipitated a staking rush that defined the "Ring of Fire".
Canada Chrome Corporation
Canada Chrome Corporation (“CCC”) was created as a wholly-owned subsidiary of KWG. CCC has staked mining claims covering a unique linear sand ridge that stands proud of the vast wetlands. This sand ridge is well suited for a railroad embankment which could be created for transporting materials into the discovery area as well as transporting the mined ores out. Krech Ojard & Associates have been engaged to undertake pre-feasibility engineering of the embankment alignment and water crossings. A geotechnical study was carried out by Golder Associates who collected soil samples from 744 borings using hollow stem auger drills. The sampling along the 330 kilometre study corridor was completed in May 2010. The pre-feasibility level engineering document will enable informed consultations with affected First Nations and all other local and regulatory constituencies, on the feasibility of constructing a railroad.
The Black Horse
- Black Horse Chromite Inferred Resource Now 85.9 Million Tonnes @ 34.5%
The resources inferred in the Koper Lake Report include a more complete delineation of a major structure named "Frank's Fault", a regional scale deformation zone that transects the chromitite and is responsible for the up-plunge termination of the Black Horse chromite deposit. Frank's Fault is traced northeastwards past the Big Daddy chromite deposit where it is interpreted to undercut the deposit at depths greater than the existing drilling. As such, the Black Horse and the Big Daddy are on opposite sides of Frank's Fault and are likely fault offset counterparts of what had been a continuous chromitite horizon. In this interpretation Frank's Fault is the product of a 6 kilometer horizontal displacement between a block on the northeastern side containing the Big Daddy, Black Creek and Black Thor chromite deposits, and a block on the southwestern side containing the Black Horse and Blackbird chromite deposits. A schematic illustration of this geological interpretation may be viewed at KWG's website at: www.kwgresources.com.
Big Daddy Chromite Property Highlights
- Drilled over a strike length of 1.3 km, and a depth of 365 m.
- NI 43-101 compliant resource estimate complete (June 2012 and May 2010).
- 90% of chromium is contained in a tightly constrained high grade zone of 23.2 Mt grading 40.66 % Cr2O3 in the indicated resource category.
- High grades combined with metallurgical studies indicate a specification range of metallurgical grade direct shipping “lump” ore that can be reduced to high value ferrochrome.
The Big Daddy
Exploration in the general area dates back to the mid-1990's during which time diamonds were the main target. As a direct consequence of a copper discovery made in 2002, during a De Beers drilling campaign for diamonds, the geological environment of the area emerged to be highly prospective for volcanogenic massive sulphide (“VMS”) base metal deposits. Thus the exploration emphasis immediately shifted to multi-metal base metal deposits, principally copper and zinc.
|SKF Project Claim Map. SKF Option
claims are shown in green.
|Figure 4.2 from 43-101 report, Micon International Limited, filed on SEDAR
on June 7th 2010
KWG is involved in the discovery of world class chromium deposits in the McFaulds Lake area of the James Bay lowlands. The chromium deposit is contained within the Ring of Fire intrusion, which extends to the southwest through claims owned by Fancamp Exploration (“Fancamp”) who discovered the Black Horse chromite deposit at depth, near the property boundary where Noront Resources Ltd. (“Noront”) discovered the Blackbird One and Two chromium deposits. The south western extent of this deposit terminates abruptly at a north-south fault resulting in a 500 metre southward displacement of the chromite horizon beyond the claim boundary, onto the adjoining joint venture property, the continuity being the Big Daddy chromium deposit.