The Chevrier Gold Property, located near Chibougamau, Quebec, has a historical (non-compliant NI 43-101) gold resource of 650,574 oz @ 5.42 gpt Au. Tawsho is working to improve its Chevrier database and advance the resource to NI 43-101 compliance. Gold mineralization outcrops on several sections and appears continuous along a strike length of 2.7 km. Additional significant gold intersections away from the main trend have also been discovered and will be subject to future exploration.
The Chevrier Gold Property is located in Quebec, Canada, approximately 35 km south-southwest of the historic mining town of Chibougamau. The paved highway 113 is located within 15 km of the property with direct access via a well-maintained forestry road.
The Chevrier Gold Property is a combination of five claim groupings, known as Diana, Diana-Obatogamau, Fancamp, Dolbo and Haufan. Interests in the Dolbo mineral claims are held 63.83% by Tawsho and 36.17% by IAMGOLD. Tawsho has a 100% interest in the four other claim groupings. In addition to the historic claim groupings, Tawsho has extended the overall property boundary.
Exploration in the area dates back to 1950 when known gold-bearing quartz veins were first drilled by Teck Corp. In 1989 Inmet Mining Inc. ("Minnova" at the time) intersected significant gold in drilling (5.40 gpt Au over 6.40 m from 62.00 to 68.40 m downhole in hole DO-05), representing the first drillhole into the Main Zone. Drilling continued and by 1997 Geonova Explorations Inc. (“Geonova”) (which acquired the property from Minnova) had outlined a resource of 650,574 oz at a grade of 5.42 gpt Au from surface to an approximate depth of 400 m and for a strike length of 800 m. In 1993 drillhole DB-70 intersected 24.97 gpt Au over 1.50 m from 344.85 to 346.35 m and represented the first intersection into the South Zone. To date almost 100 drillholes have intersected the Chevrier Gold mineralization over what appears to be a continuous strike length of 2.7 km (from 13+50W to 40+50W grid coordinates). Significant gold intersections have also been drilled off the main trend and remain open for future exploration.
The Chapais-Chibougamau region is geologically located within the Superior Province of the Canadian Shield. The rocks are Archean greenstone belonging to the Roy group, predominantly volcanics and sediments. Several fault systems have been identified having a northeast trend. The mineralization at Chevrier is hosted within the Fancamp Deformation Corridor along such a trend, within quartz veins that have intruded felsic to intermediate volcanics and discordant gabbro bodies.
Gold occurs primarily within a shear zone several meters wide that contains abundant quartz-ankerite veins. Alteration to sericite is common and the zone is rich in pyrite (5 – 20%) and fuschite (2 – 5%). Visible gold is present within the quartz veins.
The historical resource of 650,547 oz at 5.42 gpt Au was prepared by Geonova Explorations Inc. in 1997 and is not NI 43-101 compliant.
In 1998, Geonova shipped a twenty-seven (27) kilogram bulk sample (comprised of 40 reject samples) to Lakefield Research Limited (“Lakefield”) for metallurgical testing. Whole-sample cyanidation resulted in 97-98% gold extraction after 48 hours of leaching, with the residue assaying 0.2 gpt Au. Gravity separation followed by cyanidation resulted in an overall extraction of 95.4%. Gravity separation followed by whole-sample sulphide flotation and cyanidation yielded 95.5% gold extraction. Lakefield concluded that whole-sample cyanidation was the optimum process for gold recovery.
The Chevrier Gold Property is situated within 35 km of two historic mining camps, Chibougamau and Chapais. A major power line crosses the property and direct access is provided by a maintained forestry road.
Tawsho continues to improve the quality of its Chevrier database and is currently working with Golder & Associates in this regard. A shallow drill program (to 400 m vertical depth) could expand the historic gold resource along strike.
The Cabot Graphite Property, located near Baie Verte, Newfoundland, contains graphite mineralization that extends for a distance of over 2 km with a continuous thickness of over 100 m on some sections. Tawsho has acquired a metallurgical sample to determine the grade, purity and flake size distribution of the graphite with results expected by June 2014. A follow-up drill program would lead to a NI 43-101 inferred resource. The area benefits from excellent infrastructure.
The Cabot Graphite Property is located in Newfoundland, Canada, approximately 10 km north of the historic mining and fishing village of Baie Verte, population 1,370. The nearest international airport is Deer Lake located approximately 2 hours southwest via paved Highway 1. Access to the property is from Highway 410 north approximately 10 km from Baie Verte to a dirt road approximately 4 km long, which leads to a series of drill trails that are located directly over the mineralization. A four wheel drive vehicle can be used to reach the drill trails. Further to the north Highway 410 is within 2 km of the graphite mineralization.
In an agreement signed on March 15, 2012 between Tawsho Mining Inc., Weyburn Investments Ltd. and PNL Ventures Ltd., Tawsho can earn an 85% interest in the property through exploration expenditures of $1.5 million over 5 years and initial cash payments of $76,000. As of Dec-31-2013, Tawsho has incurred actual exploration expenditures of $450,759 on the Cabot Graphite Property. All cash payments by Tawsho have been made. When Tawsho earns an 85% interest its partners can benefit from a 15% Net Profit from Production royalty.
The graphite mineralization is located within a meta-sedimentary unit and volcanic rocks. The grade of metamorphism is intermediate (amphibolite).
Previous work in the 1980s uncovered graphite showings in several locations along a trend striking 135o northeast. In 2012 the property was optioned to Tawsho. A subsequent surface sampling program over 2 km of graphitic outcrop produced 59 grab samples with an average grade of 5.2% Cg (carbon from graphite).
A VTEM airborne magnetic and electromagnetic survey was completed over the property in 2012 and revealed a 2 km conductive trend that included a 1.2 km anomaly interpreted to represent a thick conductor located near surface. Subsequent surface mapping exposed the graphitic zone for a distance of 2.2 km along strike with additional graphitic units identified away from the main trend. A 2013 drill program consisting of four (4) drillholes totaling 1 km confirmed the average thickness of the graphite unit to be 90-120 m thick along a distance of 600 m. The graphite zone remains open along strike in both directions and at depth. Maximum drilling depth is 150 m. Two drillholes, CB13-03 and CB13-04 ended in graphite.
The graphite mineralization at Cabot is consistent throughout a meta-sedimentary unit up to 150 m in true thickness. Grade distribution varies from a low of 0.52% Cg to a high of 12.35% Cg. Hole CB13-03 intersected intervals of 29.00 m grading 3.66% Cg, 27.10 m grading 3.64% Cg and 9.10 m grading 4.23% Cg. All intervals could be accessed by open pit mining methods.
Currently there are no defined resources.
Sampling for a metallurgical study was completed in April 2014. Representative samples were taken from each drillhole for three (3) grades of mineralization (2%, 4% and 6% Cg). The four (4) samples taken for each grade will be composited and sent to SGS Canada Inc. for metallurgical analysis to define the grade, purity and flake size distribution of the graphite. The results are expected in May-June 2014.
The Cabot Graphite Property benefits from excellent nearby infrastructure including a paved highway located within 2 km that is open year-round, electric power lines within 4 km, a former deep water port located within 3 km and a mining town 10 km away. There is also abundant fresh water on the property.
Based on a favorable metallurgical analysis (and market conditions for financing) a 4 km drill program will explore the graphite zone across its 2 km strike length and will be sufficient for a NI 43-101 inferred resource estimate.