Wall Street Signals: Discovery Minerals Update on Ruby Gold Mine Activities

Discovery Minerals Update on Ruby Gold Mine Activities



Discovery Minerals LTD (OTC PINK: DSCR), the precious metals exploration and production company, is pleased to announce the continuation of their geological review and work program for the Ruby Gold Mine on the widely known "Mother Lode" in Northern California.


The Company has chosen to follow the recommendation of their Geological Team and combine the reopening of the previous workings while also undertaking the forward planning approach to establishing reserves by using seismic survey and drilling in combination to help pinpoint ore locations.

Here are excerpts of the Geological Report on work conducted at the RUBY in July, August 2021:

Two options are available for the future development of the Ruby gold mine: 1) a systematic exploration approach where the locations widths and gold potential of the deep lead channels and the underlying orogenic veined structures are assessed and defined through underground mapping, underground drone surveying, drilling, and geophysical exploration, and 2) to approach the mine in the traditional fashion of re-opening old exposures and conducting exploration at the underground mine faces. The first option aims to de-risk the investment, the latter carries a higher level of risk throughout the life of mine, leaves potential unquantified, and negates any concept of procuring plant and developing infrastructure to suit a defined resource. The latter also draws into question the concept of redeveloping through a new bigger, truck permissive incline or decline access portal due to uncertainty of where the best potential lies. Pre-development exploration will require a significant up-front cost, while the traditional small mine approach could feasibly advance exploration with gains from production and it is probable that the latter approach will be adopted. Preparations for the systematic exploration approach have been made, available geological and mine data have been digitized, detailed topographic data procured, and plans made for a trial seismic +/-microgravity survey. The objective of a seismic survey is to identify the base of the volcanic cover and secondly highlight where underground openings are located and test lines are planned to determine if a seismic approach would be feasible. The preferred approach would be to fast track the refurbishment of the underground access between the Ruby portal and the Lawry shaft, drill a series of inclined combined RC / diamond holes from the surface to gain seismic sounding data for the various lithologies in addition to confirming the location of the volcanic cover/basement interface, probe for deep leads and extend across the orogenic veined structures. And then follow on with a trial seismic (+/-microgravity) survey to determine if a complete 2D/3D seismic survey could significantly reduce metreage of exploration drilling whether from underground or surface required to quantify the potential of the deep lead/lode complex. To date, no advance has been made on the drilling or underground refurbishment but preparations have been made and quotes provided for conducting a trial seismic survey. No estimates have been acquired for drilling at this stage but it can be assumed based on costs elsewhere that 4 combined RC/diamond drill holes to 250m depth will probably incur an investment of approximately USD 300,000.

Consulting geologist Richard Cleath has joined the geological team on an as-required basis to ensure that the exploration program is well managed and it is proposed that day-to-day exploration activities be conducted by geologists from a contracting geological services company. Data acquisition & onsite activities Richard Cleath has acquired and processed LIDAR topographic data with 2m pixel accuracy and this topographic data has now been incorporated into the project's data set and the pre-existing data sets including road and stream courses, the locations of historical workings, etc. adjusted to fit the improved topographic control (figure 1 & 2). In addition, Richard has reviewed and compiled a series of screenshots from the Clifton conference presentation (Appendix I)which clarifies the nature of the auriferous channels in the Big Bend area and provides previously unseen information on the extent of the mining and the trace of the underground access tunnels between the Big Bend and the Lawry shaft(figure 9).In addition to data acquisition activities, Richard Cleath visited the site in early July to gain a better understanding of the project and also assist with a site review by a seismic survey contractor to assess the feasibility of conducting a seismic survey across the project area. It was then proposed that a more limited trail seismic survey should be considered to demonstrate that the seismic which would provide the information required, follow existing road access ways where line clearance would be minimized. The combination of lines should provide the information required to determine if a complete systematic 2.D seismic survey will be successful (figure 3).

Once underground access is gained it would be preferable if a 3D drone-assisted LIDAR survey be conducted to generate the best possible map of the underground workings - define where stopes have been back-filled -sample the backfill and produce a more accurate plan of the auriferous channel ways. Underground workings data Figure 9 illustrates a low-resolution image presented by Clifton of the workings and access tunnels between the Big Bend and the Lawry shaft. This also illustrates why the seismic data could be extremely useful in clarifying the layout of the mine, what has been mined, what remains unmined, and whether other channels remain to be located and tested.

Thoughts on the location of a drive-through adit portal, an aspect that Mine Planning personnel are most interested in is the consideration of where a portal could be located for vehicle access to enable the use of heavier mining equipment to work the gravel channels and the underlying lode workings. The intention should be to find the best solution for both targets but given that the lode structures are widely spaced the initial intention should be to focus on the most accessible lode structure -i.e., the Wolf Vein and southern extension of the Carson workings and advance down or parallel to one of the channels that Keewatin Engineering Inc. inferred as unmined. Optimal drilling from underground should also be taken into account in the tunnel design. The immediate question is whether the portal should be inclined upwards (self-draining) or a decline. The former would require stepping back from the currently known target areas at an increased cost. The alternative would be to aim to intersect the existing Ruby workings with a decline (i.e. self drain the initial part of the access tunnel) and subsequently work deeper along with lode structures with pumping back up to the Ruby access tunnel only. The most logical portal location for a decline would be to initiate the portal adjacent to a known channel and orogenic veined structure, and ramp laterally up into the old workings to extract backfill and/or lower grade (1/2 ounce?) channel bank deposits.

Safe Harbor: This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 27E of the Securities Act of 1934. Statements contained in this release that are not historical facts may be deemed to be forward-looking statements. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, the ability to obtain financing and regulatory and shareholder approval for anticipated actions.

CONTACT:

Discovery Minerals Ltd.
Russell Smith
(310) 607-8252

SOURCE: Discovery Minerals Ltd.