The Northern Miner, first published in 1915, during the Cobalt Silver Rush, is considered Canada’s leading authority on the mining industry.
Development is picking up speed at Harte Gold’s (TSXV: HRT; US-OTC: HRTFF) Sugar Zone deposit, 60 km east of the Hemlo gold camp, with a major financing and recent bulk sampling and toll milling deals.
Harte has signed a letter of intent with Barrick Gold (TSX: ABX; NYSE: ABX) to process a 70,000-tonne bulk sample from the Sugar Zone Mine at its nearby Hemlo Mill, and inked a deal for a gold loan of up to US$6 million from metal merchant Auramet International. The term sheet with Auramet includes an undisclosed working capital facility on top of the loan of physical gold, and a final agreement is expected by the end of August.
In May, Harte Gold signed a preliminary agreement with Sudbury-based Technica Mining for a $20 million fixed price mining contract, and a final agreement is expected before the end of July. Technica expects to mine the first mineralized rock from the bulk sample in January 2016 at a rate of 300 tonnes per day.
“This will get the project started and cash flowing and then the plan is to construct our own mill on site once we have the permitting completed,” says Stephen G. Roman, Harte Gold’s president and chief executive. “We’ve got an excellent, high-grade deposit sitting there in the Sugar Zone so we’ve been working hard to get it into production, get cash flow, and finance exploration with cash flow rather than raise money and diluting the company during this period of low share prices.”
The Sugar Zone deposit—named after the sugary nature of quartz veining that hosts gold mineralization on the property—is 25 km northeast of White River, a town of about 500-800 people, about an hour’s drive northeast of Wawa, Ontario.
The epithermal deposit is part of the Dayohessarah Greenstone Belt, which is situated between two larger greenstone belts: the Hemlo Greenstone Belt to the west and the Kabinakagami Greenstone Belt to the east.
Sugar Zone contains an indicated resource of 980,900 tonnes grading 10.3 grams gold per tonne for 319,280 oz. of contained gold, and an inferred resource of 580,500 tonnes grading 8.36 grams gold for 155,960 oz. of contained gold.
For the rest of this article, click here: http://www.northernminer.com/news/sugar-zone-could-be-even-sweeter-than-it-looks-harte-gold-believes/1003694211/