Carmax prepares for 2015 Eaglehead exploration program

A drill rig in the Eaglehead East zone looking to the Far East zone. — photo courtesy of Eaglehead

Jevin Werbes, president and CEO of Vancouver-based Carmax Mining Corp., is planning the 2015 exploration program for the company's Eaglehead copper-gold-molybdenum-silver project in northwestern B.C.

“The program will proceed in two phases,” Werbes said. “First, we'll continue to relog the 59 historical drill holes on the property and add to the database and geological model. In 2014 we completed 18 holes, so that means we have 41 more to go.”

Werbes said exploration will begin in June. Drilling, the second phase of the 2015 program, is expected to start up in August.

Carmax hopes exploration in 2015 will be as fruitful as last year's program. In November 2014, the company announced the analytical results of the last two drill holes from that summer's diamond drilling program.

Diamond drill hole DDH0123 intersected 0.19 percent copper, 0.003 percent molybdenum, 0.07 grams/tonne gold and 0.90g/t silver (0.27 percent copper equivalent) over a core interval of 183.3 metres that included0.60 percent copper, 0.005 percent molybdenum, 0.11g/t gold and 3.33g/t silver (0.74 percent copper equivalent) over a core interval of 24m commencing at a core depth of124m DDH124 intersected 0.38 percent copper, 0.003 percent molybdenum, 0.01g/t gold and 0.88 g/t silver (0.41 percent copper equivalent) over an interval of 78m starting at a core depth of 424m.

Werbes said the 2014 drilling program shows the continuity of the copper mineralization between the East and Bornite mineralization zones.

The helicopter pad at Eaglehead with a view of the Borite zone to the north. — photo courtesy of Eaglehead

“We are very pleased that DDH0124 has demonstrated the continuity of the copper mineralization... as well as intersecting significant copper mineralization associated with the southern edge of the chargeability signature in this area of the deposit,” said Werbes.

He said the drilling results support Carmax's belief that it is exploring a single large porphyry system, based on the positive correlation of the 4,500-metre chargeability signature, outlined in 2014, with the copper mineralization reported in the current and historical core logs.

“The potential size of the mineralized zone, combined with the different metal associations identified to date, indicates that a considerable amount of exploration is warranted,” Werbes said.

Carmax is a publicly traded Canadian exploration company whose business is exploring for and developing copper, gold and silver properties that have the potential to host large economic deposits.

In addition to Eaglehead, Carmax has the Whiskey Jack project in northern Ontario.
The Eaglehead property is located 1,100 kilometres north of Vancouver and 48 kilometres east of Dease Lake.

The northwest-southeast-oriented property extends for approximately 28 kilometres along strike from Eaglehead Lake at its northwestern extremity to approximately eight kilometres past Tournigan River in the southeastern part of the property.

Camp at the Eaglehead site. — photo courtesy of Eaglehead

Eaglehead contains 31 mineral claims over an area of approximately 11,410 hectares in the Liard Mining Division.

Copper and molybdenum mineralization on the property is similar to other porphyry copper deposits in the Quesnel Trough. Six target areas have already been identified on the property, and Carmax is optimistic that additional porphyry targets can be discovered there.

The Eaglehead project was first explored in 1963. Copper mineralization was found in intrusive outcrop in the creek in what is now known as the Camp Zone. Imperial Oil Ltd. optioned the property in 1970 and drilled 30 diamond drill holes between 1971 and 1976. With its joint venture partner Nuspar Resources, Esso Resources Ltd. (formerly Imperial Oil) drilled 25 more holes between 1977 and 1981. Carmax acquired the Eaglehead property by staking after Homestake Mining let the claims lapse. Since then Carmax has expanded the claims to cover 11,410 hectares.

The NI 43-101 Inferred Mineral Resource estimate totals 102.5 million tonnes at an average grade of 0.29 percent copper, 0.010 percent molybdenum and 0.08 g/t gold. The resources were estimated at a cut-off grade of 0.16 percent copper equivalent and contain approximately 662 million pounds copper, 22 million pounds molybdenum and 265,000 ounces gold.

The mineral resources are contained in two areas that Carmax expects to become two open pits (the East and Bornite zones) and constitute approximately 69 per cent of total mineralization above the grade cut-off.

Werbes says Carmax's longer-term goals at Eaglehead are to improve the deposit and to de-risk it.
“Our target is one billion tons of ore at 0.3 per cent copper,” he said. “That's six billion tons of copper. And it could even exceed one billion tons. This could be really big.”

Werbes said the biggest challenge the project faces now is the continuing depressed state of the stock market.

“That's why we did a strategic partnership with Northern Fox (Northern Fox Copper Inc., a wholly-owned subsidiary of Copper Fox Metals Inc.) in 2014,” he said. “It means we have access to financing to continue exploration without having to go to the market and dilute our stock.”

Copper Fox Metals

Just over 42 per cent of of the issued and outstanding shares of Carmax are held by Northern Fox Copper Inc., a wholly owned subsidiary of Calgary-based Copper Fox Metals Inc.

Copper Fox is focused on the exploration and development of copper projects in North America. The company has two wholly-owned subsidiaries. In addition to Northern Fox, Desert Fox holds all the assets of Copper Fox in the United States. Besides Eaglehead, Copper Fox's main assets include 100 per cent of the Van Dyke oxide copper deposit in Miami, Arizona. The company also owns a 25 per cent interest in the Schaft Creek Joint Venture with Teck Resources Limited. Schaft Creek is a copper-gold-molybdenum-silver project located in northwestern British Columbia..

The Schaft Creek Joint Venture holds two main assets: the Schaft Creek project itself, and a 78 per cent equity interest in Liard Copper Mines Ltd., which holds a 30 per cent net proceeds interest in the Schaft Creek project.

Just over 42 per cent of of the issued and outstanding shares of Carmax are held by Northern Fox Copper Inc., a wholly owned subsidiary of Calgary-based Copper Fox Metals Inc.

Copper Fox is focused on the exploration and development of copper projects in North America. The company has two wholly-owned subsidiaries. In addition to Northern Fox, Desert Fox holds all the assets of Copper Fox in the United States. Besides Eaglehead, Copper Fox's main assets include 100 per cent of the Van Dyke oxide copper deposit in Miami, Arizona. The company also owns a 25 per cent interest in the Schaft Creek Joint Venture with Teck Resources Limited. Schaft Creek is a copper-gold-molybdenum-silver project located in northwestern British Columbia..

The Schaft Creek Joint Venture holds two main assets: the Schaft Creek project itself, and a 78 per cent equity interest in Liard Copper Mines Ltd., which holds a 30 per cent net proceeds interest in the Schaft Creek project.