Focus and Strategy


The Corporation’s focus is to transition from explorer to producer, in the medium term, while delivering operational excellence and continuing to add value for its investors.

The Corporation envisages the realization of shareholder value and wealth through focused exploration, development and monetization of its discoveries following these strategies and criteria:

  • Verify, increase and develop existing resources for near term production and revenue generation; and
  • Make sound business decisions based on disciplined financial criteria that appropriately balance costs, benefits and risks.

The Corporation’s exploration and development horizons encompass primarily gold, with a secondary interest in base metals.

The Corporation’s two flagship properties are the Sturgeon River property located 25 kilometres northeast of Beardmore, Ontario, and the Bell Mountain project located 95 kilometres southeast of Reno, Nevada.


Sturgeon River Project


The Sturgeon River property land package totals 2,426 hectares. The 100% owned Sturgeon River property is located in the Beardmore-Geraldton Gold Camp, 120km northeast of Thunder Bay, Ontario.

The Sturgeon River Mine produced 73,322 ounces of gold and 15,929 ounces of silver processed from 145,123 tons mined primarily from the high grade No. 3 quartz vein. Historical reports suggest a target deposit of a 300,000 - 400,000 ton resource at 0.12 ozs to 0.17 ozs/ton gold (3.75 to 5.30 g/t) down to the 2,000ft. (610m) level at the Sturgeon River Mine.

The above resource is entirely contained within the No. 3, the M, the 10 and 11 quartz vein systems over a strike length on surface of 200m increasing to 466m in strike length on the 2100ft. level (642m depth). This increased strike length indicates a potential for a far larger ore body at depth.

During its 1936-1942 production period, the mined grade was approximately 0.30 oz/ton (10.29 g/t) gold. All the coarse sized run of mine quartz vein material was hand sorted for milling and upgraded to an average grade of 0.505 oz/ton (17.31 g/t) gold.

The Sturgeon River Mine quartz vein system is associated with very strong northeast to north northeast trending structures, which are host to massive to semi-massive sulphides which occur on multiple horizons within a kilometre wide corridor. In the last year, Laurion identified this corridor as having the potential to host a precious metal rich VMS ("Volcanic Massive Sulphide") deposit. Laurion has developed a Target Deposit based on Laurion drilling and historical drilling information, which suggests a combined strike length of 6,000 metres for 3 zones of sulphides.

Two main target types of mineralization have emerged from exploration work on the Sturgeon property. These include:

I. high grade lode gold style quartz veins within larger highly altered shear zones; and

II. extensive precious metal polymetallic VMS deposits associated with felsic and intermediate fragmental volcanics.



Polymetallic Volcanic Massive Sulphide ("VMS") Zones


Massive to semi-massive sulphides occur on multiple horizons within a kilometre wide corridor of sheared volcanics that trend through the centre of the Sturgeon River property and strike northeast. In the last year Laurion has identified this corridor as having the potential to host a precious metal rich VMS deposit, and the acquired mining leases and claims adds substantial strike lengths to these strongly mineralized zones.

Approximately 245 diamond drill holes totalling 35,159 metres have been completed to date, with most of these drill holes testing down dip of surface mineralization and intersecting the zones to approximately 100m below surface. Laurion is currently collating all this drilling information into a digital database, which with field checking of collar locations, will allow development of 3D models of the mineralization to focus future drill programs.

Laurion developed a Target Deposit based on its own and the historical drilling information which suggests a combined strike length of 6,000 metres for 3 zones of sulphides. The target assumes a minimum vertical depth of 250 metres on these zones at an average true width of 2.5 metres, and that the trends are 30-50% mineralized. Given these assumptions the Target Deposit size is 4.0 to 6.0 million tonnes of 1.5 to 3.0 g/t gold, 20 to 30 g/t silver, 2.5 to 3.5% zinc and 0.25 to 0.50% copper.

Laurion developed a Target Deposit based on its own and the historical drilling information which suggests a combined strike length of 6,000 metres for 3 zones of sulphides. The target assumes a minimum vertical depth of 250 metres on these zones at an average true width of 2.5 metres, and that the trends are 30-50% mineralized. Given these assumptions the Target Deposit size is 4.0 to 6.0 million tonnes of 1.5 to 3.0 g/t gold, 20 to 30 g/t silver, 2.5 to 3.5% zinc and 0.25 to 0.50% copper.

Historical exploration drilling campaigns (1952, 1966, 1967, 1971, 1973, 1982, 1987, 1988, 1990 and 1992), have all resulted in the discovery of significant polymetallic (Gold-Zinc-Silver-Copper) horizons with highlights of drill hole intersections that include:





Bell Mountain Project


The Bell Mountain project, which encompasses approximately 4.5 square miles (11.7 square kilometres) of mineral rights, is located in Churchill County, Nevada, about 95 miles southeast of Reno, Nevada.

The core of the Bell Mountain property is a block of 26 unpatented mining claims, covering 520 acres or 217 hectares, which are held by Globex Nevada and optioned by the Corporation. In addition, the Corporation staked 119 additional claims (2,380 acres or 778 hectares) for a total land package of 2,900 acres or 995 hectares.

The property consists of three zones of mineralization: The Spurr, Varga, and Sphinx located within the 26 Globex lode claims.


History of the Bell Mountain Project


In late October 2010, the Corporation completed a 56 reverse circulation (“RC”) drill hole program totalling 14,240 feet at the on the Bell Mountain property. The Corporation also engaged Telesto Nevada, Inc. to develop a National Instrument 43-101 compliant technical report for the property contemplating a conventional low cost, open pit mining method with heap leach processing configuration.

On April 6, 2011, the Corporation announced the completion of an initial NI 43-101 Mineral Resource Estimate for the Bell Mountain project. The mineral resource estimate was prepared by Telesto Nevada, Inc. of Reno, Nevada in accordance with Canadian National Instrument 43-101 requirements. The resource is based on 54,692 feet (16,671m) of 244 reverse circulation drill holes completed by Laurion and previous operators on the Varga, Spurr and Sphinx zones.

On May 4, 2011, the Corporation filed a NI 43-101 resource compliant technical report on the Bell Mountain project with SEDAR (www.sedar.com).


Resource Estimate Highlights


  • Measured and indicated resource of 9,761,000 tonnes of material at an average grade of 0.526 g/t gold and 17.63 g/t silver hosting 165,018 ounces gold and 5,533,907 ounces silver.
  • Inferred resource of 2,046,000 tonnes of material at an average grade of 0.449 g/t gold and 13.26 g/t silver hosting 29,550 ounces gold and 872,411 ounces silver.
  • Potential exists for further resource addition:
    • On the Spurr and Varga zones which remain open at depth;
    • The CC and Mike zones that lie within the Spurr-Varga fault strike which extends for 1.8 kilometres; and
    • The Sphinx zone which can be traced on surface for 900 metres and remains open at depth and laterally.




Corporate Profile on Stockhouse


Executives:
 Cynthia E. Le Sueur-Aquin
Cynthia E. Le Sueur-Aquin
President

Cynthia Le Sueur-Aquin has been a director and the President of the Corporation since April 7, 2003. Ms. Le Sueur-Aquin has 32 years of mine management experience in the precious metal mining industry. She has been involved in global exploration and production operations including the development and project management of many mines, sand and slimes recovery sites, and gold recovery plants throughout the world. Her postings have provided her with direct exposure to cultural, political and regulatory issues in Indonesia, South Africa, Zimbabwe, Canada, Mexico, Mozambique, Zambia, Botswana and other North African States. She also has experience in project financing, mining property acquisitions, corporate legal work and negotiations, company administration and investor relations. Ms. Le Sueur-Aquin worked for Randgold and Exploration Corporation Limited, Rand Leases (V) Gold Mining Corporation Limited and Gold Fields Limited prior to coming to Canada in 1995. She was also Senior Vice-President, Exploration and Mining Projects for Antares Mining and Exploration Corp. Since 1999, Ms. Le Sueur-Aquin has been working as a consultant in Huntsville, Ontario with Quaere Strategia Inc. and has completed numerous mineral valuations, evaluations and fairness opinions for planned mergers and acquisitions in connection therewith.