NWT GEOLOGY DIVISION REPORT
Monthly Report for September 2000

General Activities
Geology Division received over 150 requests for information during September.

Gochnauer completed and submitted an article on exploration activity in the NWT for the Chamber of Mines' annual Mining North magazine, released in November at the Geoscience Forum.

Relf attended bi-annual meetings of the Committee of Provincial Geologists and the National Geological Survey Committee in September in conjunction with the annual Mines & Energy Ministers' Conference. The meetings included discussions of the proposed National Cooperative Mapping Strategy, which was tabled at the Mines Ministers' meeting and unanimously endorsed by all ministers. It is hoped that over the next few years the strategy will lead to new funding initiatives for geoscience across the country, and an
increased investment in northern geoscience.

Information on diamond exploration activity in the NWT was provided to the Northern Miner (Sept. 25-29 issue).

Geoscience Forum
Staff began contacting potential speakers and poster presenters for the Geoscience Forum. Instructions for presenters regarding poster dimensions, abstract deadlines, etc. were prepared and distributed, and a preliminary technical program was assembled. Plans were made for division of work for the Exploration Overview, and work began on planning the needs assessment workshop for the Saturday following the Geoscience Forum.

Assessment Reports
Two NWT assessment reports, worth $19.3K, were received by the Division in September. District Geologists reviewed 6 reports, worth $659K in September, and an additional 9 reports, worth $4030K, are awaiting first review.

Geoscience Program
Activities included:

• samples were prepared for thin section, and work began on the compilation of this summer's 1:50,000 bedrock geology mapping in the Snare River area (Jackson)
• data for a metamorphic/geochronology studies within the Snare River project area in were compiled in Autocad and Fieldlog (Bennett, Memorial University, and Jackson)
• thin sections were completed for samples from the Walmsley Lake area, and work began on the first draft of the bedrock map compilation (Cairns)
• first drafts of two manuscripts for Current Research the Walsmley project were prepared: one on the geology of the Back Lake area (Relf, Cairns (University of Alberta) and MacLachlan (GSC)), and one on the Aylmer Lake volcanic dome (Renaud (University of Western Ontario))
• slabs for polished thin sections for diamond-related studies were prepared and shipped off, preliminary petrography was conducted on samples from the Yellowknife area (Armstrong)
• editing continued on the Pistol Bay geology maps, and data were converted from Autocad (*.dwg) files into GIS (Arcview) (Goff, Irwin)
• rocks samples from the SE Bear Province were slabbed for thin sections and geochemical analysis (Goff)
• polished this sections for microprobe work, including samples for a gold fineness study (Armstrong)
• final edits were made to the digital Yathkyed Lake compilation map, and a number of additional photographs were scanned for inclusion on the compilation (Irwin, Relf)
• thin sections from showings at Morris Lake, Discovery Mine were examined (Gochnauer)

Archives
The Archives were relatively quiet in September, allowing staff to work on some longer term projects and to take some holidays. Twelve EGS open files were distributed, and total sales of about $1000 were recorded. About 90 clients were served.

The cleanup of the Core Library, supervised by Archives staff, is now complete and the building is ready for demolition.

The BC Department of Energy and Mines released digital (scanned) assessment reports on their website in August, and in September, Archives staff corresponded with BC to learn more about the project (cost, contract details, etc.). As the Archives gears up to move Nunavut files to Iqaluit over the next few months, and as the Department moves towards digital records management, Geology Division is looking for opportunities to convert files into digital format, to improve client service and to support data sharing between the NWT and Nunavut offices.

NORMIN.DB
Recruitment for six new geologists to work on data research and entry was completed in September. Two new employees began in September, and the remaining four will begin in early October.

A request for proposals for work on the NORMIN system was rewritten following discussions with IMAG staff. The revised RFP will seek proposals to upgrade the NORMIN application, and design and develop a references querying and reporting tool. Development of a tool to track historical research and data entry will be done in-house. The RFP should be posted in early October, and will be advertised for a minimum of 40 days as required under NAFTA.

The NORMIN steering committee met in September while Jason Sharp was visiting from Iqaluit. The purpose of the meeting was to discuss priority areas for Nunavut data entry, that will support ongoing geoscience initiatives of the Canada-Nunavut Geoscience Office.

NORMIN was down for one day on September 18.

Data research and entry:
Data entry was completed for NTS map sheets 96A, B, F, G, H, I, J, SE quadrant of 96 K, 86 L/01 and 86 L/05. This area covers the proposed Grizzly Bear and Scented Grass Hills parks, and the Eldorado (Port Radium) and El Bonanza silver mines. Work is continuing in 86 and 86 B/03. Research got underway in map sheets 105 I/15 and I/16 in the Sahtu Cordillera.

Showings entered between 1997 and 1999 were updated this month with information from assessment reports released since January 2000.

Entry of a number of nickel and platinum showings, in support of the Mineral Potential Series initiative, was completed in September.

KIDD
Work continued on the KIDD database, focussing on compiling data entered over the summer. Jody Chatman was hired on a casual basis to continue scanning mineral chemistry data and digitize sample locations.

Mineral Potential Series
The Nickel-Platinum Group Metals pamphlet (Mineral Potential Series #1) were received back from the printers in late September, and work began on compiling a map and digital database to distribute as an information package to complement the pamphlet. Work is focussed primarily on entering new mineral occurrences in NORMIN, cleaning data in a table on ultramafic rock occurrences, and creating an Arcview project with accompanying explanatory notes (readme files). The CD will be complete sometime in October.

Property Visits
NWT: Gochnauer visited Darnley Bay Resources' property near Paulutuk Sept. 5th - 9th, examining drill core from both the deep Ni target hole, and kimberlite from the current diamond exploration program.

Other
The contract paperwork for a geophysical course was completed in September. The course will be delivered this fall by Covello, Bryan and Associates, and will be attended by Goff, Gochnauer, Heimbach, Sterenberg, Irwin, and Sharp.

Armstrong accepted an invitation to present a talk to the Alaska Geological Socitey on diamond mining and exploration in the NWT. The presentation will be in early November.

Sage participated in a meeting of the national Data Model Working Group in September. The group has developed a draft metadata catalogue for circulation among provincial/territorial/federal geological surveys. NRCan funding (under the Targeted Geoscience Initiative) for the Canadian Geoscience Knowledge Network will help to support development of this national metadata catalogue.

Geology Division staff planned a visit to the abandoned Terra Mine to collect mine plans, drill logs, and any other information that might be useful in understanding the geology of the silver deposit and carrying out resource appraisals for the area. The trip was cancelled after concerns were expressed by people from Deline about whether the Division had access to the land or owership of the abandoned records. The community's concerns were addressed, and the visit may be made in October.

NWT Exploration Activity - September 2000
compiled by DIAND District Geologists

Diamonds:
Darnley Bay Resources have identified 12 class one and two class two kimberlite targets from their recently completed low elevation airborne magnetic survey. Ground magnetometer surveys have been completed over 5 of these targets and five holes ( approx. 600 m) have been drilled into three of the targets ( # 9, # 10 and #105).

A ninety-nine meter kimberlite intersection with inclusions of dolomite was recovered from a -50 degree hole into Target # 9. The first hole in Target # 9 was abandoned due to technical difficulties. Two holes ( -90 and -46 degrees) in target #105 intersected kimberlite. The vertical hole intersected a 23 meter section and 4 other clay-altered kimberlite sections with brecciated dolomite; the -45 hole intersected two 10 meter sections. A kimberlite intersection from drill hole #105-01 was sent to De Beers' laboratory in South Africa for analysis. Five hundred kilograms of kimberlite was sampled near surface from Target #105 and sent to Lakefield Research for analysis. A 172 meter hole into Target # 10, underlying a lake, did not intersect kimberlite. It is thought that the kimberlite may be dipping to the west; another hole will be drilled when the lake freezes.

A heavy mineral beach and stream sampling program was completed.

Metals:
Canadian Zinc announced that a mineral and metallurgical review of the Prairie Creek Mine has been undertaken as part of the scoping study currently underway. This will leading to a program to identify further commercially attractive stratiform zinc deposits within the mine site area.

The deeper stratiform mineralisation identified in earlier drilling is the primary target and is the source from which the cross cutting vein material is derived. The currently known vein structure has been identified along a 14 km strike including a 3 km section close to the mine, which contains a mineral resource of 11,846,000 t grading 12.5% zinc, 10.1% lead and 161 g/t silver.

Two metallurgists (G. Hawthorne of Westcoast Mineral Testing, Vancouver, and G. Parkin of North East Minerals Ltd., U.K.) are reviewing the existing 1,000 tonne per day mill, as well as the metallurgical test work carried out to date. Parkin recommended gravity separation equipment, after crushing but before grinding. This would allow the mill to treat 1,500-1,700 tonnes per day by rejecting harder waste materials early in the milling process, and producing higher head grades to grinding and flotation, Copper Ridge Resources in joint venture with Billiton Metals Canada Inc. is planning 2000 metres of shallow drilling at Howards Pass zinc deposit, in October, as part of a due diligence study. This will include infill drilling. Billiton is currently conducting metallurgical tests on samples from Howards Pass, using its proprietary metallurgical processing techniques (see below).

Fortune Minerals reported results from the first five holes of its summer drill program on the NICO cobalt-gold- bismuth deposit. Hole NICO-00-231 intersected three mineralized lenses with the lower lens returning an average grade of .17% cobalt, 1.0g/t gold and .10% bismuth over a 7.4m core length. Included in this interval was a 17.3m higher-grade section averaging.30% cobalt, 1.1g/t gold and .27% bismuth.

Solid Resources have commenced a 2000m drill program on their volcanogenic massive sulphide Hart property, west of the Sunrise VMS deposit. They will be conducing a downhole geophysical program.

In the spring drill program, Solid Resources a 22-meter core intersection returned 8.62% zinc, 2.35% lead and 6.75 oz/ton silver from the "M" zone of the Hart property. Other VMS targets include the "R", and "W" zones and a new showing north of the "M" zone. The "C" zone is a gold target west of the "M" zone.

Odds and Sods
Copper Ridge Explorations Inc. signed a letter of intent with Billiton Metals Canada Inc. for the joint evaluation and possible development of the Howards Pass zinc deposit (110.5 million tonnes grading 7.7% combined zinc plus lead, with silver and cadmium). Copper Ridge will commit to expenditure of $3 million comprising a $2 million concept study and a $1million initial payment to Placer Dome and US Steel, (the present owners). The concept study will define the key economic, environmental, geological, mining, metallurgical and infrastructure parameters for the development of the project. Billiton will finance a drill program on the project and complete a due diligence review by October 15, 2000. Following the completion of the concept study, Billiton can elect to earn a 50% interest in the Howards Pass property by spending $5.5 million by November 15, 2002 towards the completion of a pre-feasibility study.

The NWT Mackenzie Valley Land and Water Board will meet October 2nd to decide whether Canadian Zinc can reopen 40 km of road to clean up an old fuel cache and do additional exploration at the old Prairie Creek mine site this autumn.

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