Agoracom Blog

Monarques Gold $ Confirms Pit Constrained Resource on its Mckenzie Break #Gold Project $ $

Posted by AGORACOM-JC at 9:48 AM on Thursday, June 14th, 2018

  • The mineral resource estimate for McKenzie Break was prepared for two scenarios:
    • Scenario 1: A pit constrained Indicated resource of 48,133 ounces and Inferred resource of 14,897 ounces, and an underground Indicated resource of 53,448 ounces and Inferred resource of 49,130 ounces, for a total of 165,608 ounces of gold.
    • Scenario 2: An underground Indicated resource of 85,059 ounces and Inferred resource of 58,373 ounces, for a total of 143,432 ounces of gold.
  • Monarques Gold now has a combined measured and indicated resource of more than 3 million ounces of gold (see table at the end of press release).

MONTREAL, June 14, 2018 – MONARQUES GOLD CORPORATION (“Monarques” or the “Corporation”) (TSX-V:MQR) (OTCMKTS:MRQRF) (FRANKFURT:MR7) is pleased to report the results of a mineral resource estimate for its McKenzie Break gold project 35 km north of Val-d’Or, Québec. Monarques can acquire a 100% interest in the property from Agnico Eagle Mines Limited (NYSE:AEM, TSX:AEM) over a four-year period (see press release dated December 21, 2017). The report was prepared by Alain-Jean Beauregard (P.Geo.) and Daniel Gaudreault (Eng.) of Geologica Groupe-Conseil Inc., and Christian D’Amours (P.Geo.) of GeoPointCom Inc., qualified persons as defined by NI 43-101. The estimate was prepared by GeoPointCom Inc. and is dated April 17, 2018.

Following a careful and detailed review of the old holes logs, and thanks to the 3D compilation of the drilling data, it was possible to identify about 11 new mineralized structures. These mineralized zones are located near, above and below the 12 Green and Orange zones and associated known sub-zones. With approximately 23 associated gold structures, it is now possible to consider the possibility of a pit-constrained operation as presented in Scenario 1.

“The results of this resource estimate are better than we anticipated, mainly due to the pit constrained potential,” said Jean-Marc Lacoste, President and Chief Executive Officer of Monarques. “The pit constrained resource is easily accessible as the average overburden thickness is only 5 metres wide, meaning that we could put the McKenzie Break project into production relatively quickly. With our Beacon Mill less than 20 km away scheduled to restart in the last quarter of 2018, we could potentially use this resource as additional feed for the mill. We think this could be a cost-effective strategy for this project, and we will now work on increasing the potential of the pit constrained resource.”

The McKenzie Break property is located in an area with existing infrastructure and several mills. It has surface and underground infrastructure, including a ramp down to a depth of 80 metres below surface. The main Green and Orange zones were drilled on a tight grid to define the resource. The mineralization consists of multiple, narrow and at times anastomosing high-grade veins. Assay results can be erratic due to the nugget effect of the gold.

The database contains conventional analytical gold assay results for 258 surface diamond drill holes, as well as coded lithology from the drill core logs (except for the Series WD04 and WD05 holes). This represents 39,611 m of core for a total of 14,758 m assayed core. The database does not include results for QA/QC samples. At least one of the mineralized zones or the potential pit mineralized material covered by the estimate was intersected in 244 of the holes. This represents 3,411 intersections (including 1,817 in the mineralized zone) for 56,141 composites (including 5,488 in the mineralized zone).

The report covers two scenarios. The first scenario has two elements: a proposed pit constrained operation for the near-surface mineralized material and an underground operation for the remaining zones deep underground. The second scenario contemplates an underground operation only.

Scenario 1: Pit Constrained and Underground Resource
Zone Category Cut off Au (g/t) Tonnes Ounces Category Cut off Au (g/t) Tonnes Ounces
Pit Constrained Indicated 0 0.69 2,536,066 56,193 Inferred 0 0.16 4,241,555 21,922
Pit Constrained   Indicated 0.52 1.59 939,860 48,133 Inferred 0.52 1.52 304,677 14,897
Pit Constrained Indicated 0.6 1.70 854,780 46,610 Inferred 0.6 1.59 284,595 14,535
Pit Constrained Indicated 0.7 1.83 756,710 44,558 Inferred 0.7 1.66 264,512 14,123
Pit Constrained Indicated 0.8 1.97 672,586 42,530 Inferred 0.8 1.75 242,006 13,584
Pit Constrained Indicated 0.9 2.10 602,890 40,623 Inferred 0.9 1.82 222,616 13,054
Pit Constrained Indicated 1 2.25 530,026 38,402 Inferred 1 1.88 209,458 12,648
Zone Category Cut off Au (g/t) Tonnes Ounces Category Cut off Au (g/t) Tonnes Ounces
Underground Indicated 0 0.81 9,102,243 237,466 Inferred 0 0.72 8,837,871 203,293
Underground Indicated 2.5 4.50 524,116 75,892 Inferred 2.5 4.39 501,419 70,718
Underground   Indicated 3.5 5.90 281,739 53,448 Inferred 3.5 5.66 270,103 49,130
Underground Indicated 4.5 6.95 183,683 41,040 Inferred 4.5 6.29 197,824 39,991
Underground Indicated 5.5 8.46 103,072 28,025 Inferred 5.5 6.95 125,917 28,144
Underground Indicated 6.5 9.19 79,934 23,624 Inferred 6.5 8.02 61,829 15,933


Scenario 2: Underground Resource (excluding Constrained Pit Resources)
Zone Category Cut off Au (g/t) Tonnes Ounces Category Cut off Au (g/t) Tonnes Ounces
Underground Indicated 0 0.92 9,793,562 291,102 Inferred 0 0.75 9,055,338 217,194
Underground Indicated 2.5 4.87 721,866 112,987 Inferred 2.5 4.50 560,260 80,975
Underground   Indicated 3.5 6.27 422,166 85,059 Inferred 3.5 5.70 318,459 58,373
Underground Indicated 4.5 7.34 289,319 68,283 Inferred 4.5 6.42 225,735 46,574
Underground Indicated 5.5 8.63 185,861 51,590 Inferred 5.5 7.17 143,558 33,099
Underground Indicated 6.5 9.40 144,849 43,779 Inferred 6.5 8.31 74,930 20,023



  1. CIM definitions for mineral resources were used.
  2. Mineral resources were estimated at a cut-off grade of 0.52 g/t Au for the pit constrained resource and at a cut-off grade of 3.50 g/t Au for the underground resource.
  3. Mineral resources were estimated using a 3-year average gold price of US $1,234.82 per ounce on the London market and an exchange rate of US $0.78 = C $1.00.
  4. A minimum mining width of 2 metres was used.
  5. A bulk density of 2.77 g/cm³ was used.
  6. Numbers may not add due to rounding.

The NI 43-101 technical report will be delivered and filed on SEDAR within the next 45 days.

The technical and scientific content of this press release has been reviewed and approved by Marc-André Lavergne, Eng., the Corporation’s qualified person under National Instrument 43‑101, by Alain-Jean Beauregard, P. Geo., of Geologica Groupe-Conseil Inc. and Christian D’Amours, P. Geo., of GeoPointCom Inc., all of whom are qualified persons as defined by NI 43-101.


Monarques Gold Corporation (TSX.V:MQR) is an emerging gold producer focused on pursuing growth through its large portfolio of high-quality projects in the Abitibi mining camp in Quebec, Canada. The Corporation currently owns close to 300 km² of gold properties (see map), including the Beaufor Mine, the Croinor Gold (see video), Wasamac, McKenzie Break and Swanson advanced projects, and the Camflo and Beacon mills, as well as six promising exploration projects. It also offers custom milling services out of its 1,600 tonne-per-day Camflo mill. Monarques enjoys a strong financial position and has more than 150 skilled employees who oversee its operating, development and exploration activities.

Forward-Looking Statements

The forward-looking statements in this press release involve known and unknown risks, uncertainties and other factors that may cause Monarques’ actual results, performance and achievements to be materially different from the results, performance or achievements expressed or implied therein. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.

Monarques Gold Measured and Indicated Resources

(g/t Au)
Wasamac property1
Measured Resources 3.99 million 2.52 323,300
Indicated Resources 25.87 million 2.72 2,264,500
Total Measured & Indicated Resources 29.86 million 2.70 2,587,900
Beaufor Mine2
Measured Resources 74,400 6.71 16,100
Indicated Resources 271,700 7.93 69,300
Total Measured & Indicated Resources 346,200 7.67 85,400
Croinor Gold Mine3
Measured Resources 80,100 8.44 21,700
Indicated Resources 724,500 9.20 214,300
Total Measured & Indicated Resources 804,600 9.12 236,000
McKenzie Break property4
Pit Constrained
Indicated Resources 939,860 1.59 48,133
Indicated Resources 281,739 5.90 53,448
Simkar Gold property5
Measured Resources 33,570 4.71 5,079
Indicated Resources 208,470 5.66 37,905
Total Measured & Indicated Resources 242,040 5.52 42,984
Measured & Indicated Resources 3,053,865
1 Source: Technical Report on the Wasamac Project, Rouyn-Noranda, Québec, Canada, Tudorel Ciuculescu, M.Sc.,
P.Geo., October 25, 2017, Roscoe Postle Associates Inc.
2 Source: NI-43-101 Technical Report on the Mineral Resource and Mineral Reserve Estimates of the Beaufor Mine
as at September 30, 2017, Val-d’Or, Québec, Canada, Carl Pelletier, P. Geo. and Laurent Roy, Eng.
3  Source: Monarques prefeasibility study (January 19, 2018) and resource estimate (January 8, 2016)

4 Source: NI 43‐101 Technical Report on the McKenzie Break Project, April 17, 2018, Alain-Jean Beauregard, P.Geo.,
and Daniel Gaudreault, Eng., of Geologica Groupe-Conseil Inc., and Christian D’Amours, P.Geo., of GeoPointCom Inc.

5 Source: MRB et Associés (January 2015)

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SOURCE Monarques Gold Corporation

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Jean-Marc Lacoste, President and Chief Executive Officer, 1-888-994-4465, [email protected],; Elisabeth Tremblay, Senior Geologist – Communications Specialist, 1-888-994-4465, [email protected], www.monarquesgold.comCopyright CNW Group 2018


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