Avannaa Resources advances gold and diamond projects – and initiates new base metal activities
Hudson approves 2010 programme for rare earth project in Greenland
NunaMinerals is conducting followup on extensive linear magnetic anomaly in Inglefield Land
The Black Angel zinc-lead mine is preparing to go again
Greenland Day at the PDAC in Toronto 8–10 March 2010
New issues of the series 'Geology & Ore' and 'Fact Sheets' with themes on Greenland exploration and mining
Download MINEX No. 37, March 2010
- suitable for printing
(~3,5 mB, requires a pdf-reader).
Avannaa Resources advances gold and diamond projects – and initiates new base metal activities
Gold and diamond projects advancing
in West Greenland
Avannaa Resources reported 22 February 2010 that its
exploration programmes since 2009 are expanding at
Disko Bugt with a focus on gold mineralisations in the
Archaean Ataa greenstone belt. The greenstone belt, which
consists of an arcuate tract of mafic and ultramafic pillow
lavas with subordinate metasediments and sills was intruded
by the Ataa tonalite, and subsequently cut by a series of
low-angle thrusts and suites of lamprophyre dykes. The
Ataa greenstone belt displays all the characteristics of classic gold camps such as at Abitibi, Canada and
During 2009, the main effort was directed towards Eqi,
which is situated at the edge of the icecap, only 5 km from
deep fjords and in gentle terrain. In August 2009, Avannaa
conducted a comprehensive soil sampling programme and
sampled a series of channel and chip lines across a series
of extensively carbonate-potassium-altered mafic lavas.
100 m long continuous chip line in the eastern part
of the area returned gold values of 1.2 g/t over 16 m and
1.2 g/t over 10 m. Chemistry on more than 400 soil samples
reveals a number of gold anomalous areas, of which
one area exceeds 500 m in length and 200 m in width, is
open to the south and has elevated gold values in the range 50-200 ppb with peaks at 2 and 5 g/t Au. A soil gas
hydrocarbon (SGH) study on the same soil samples
resulted in the identification of several anomalies with
SGH ratings 4–5.5 for gold and 5–5.5 for VMS on a scale
from 1–6. Several of these SGH anomalies coincide with
gold bearing rock and soil samples.
In 2010 the field programme will employ combinations of
soil sample chemistry, soil gas hydrocarbons, geological
mapping, surface sampling and ground based geophysics to
assess the potential for economic gold occurrences at Eqi
with the aim of defining drill targets for 2011. Other portions
of the greenstone belt will be prospected including
the areas of Qingaasaq, Ataa Hills and the Proterozoic
metasediments at Qeqertakassak by means of aeromagnetic
surveys, systematic soil sampling and mapping. These
other areas have a proven potential for VMS and lode gold
mineralisation, with several sediment samples having gold
in the 50–750 ppb range. One area, covering the historic
Anderson's showing (polymetallic Cu-Au accumulation)
on Arveprinsen Ejland, yielded a large SGH anomaly with a
rating of 5.5 for VMS (scale 1–6), which will be followed up
by ground geophysics in 2010.
Following the acquisition of>
1800 line kilometres of
aeromagnetic data in 2009 Avannaa decided to supplement
this data with nearly 1500 line kilometres of an
aeromagnetic survey over ground prospective for diamond
bearing ultramafic lamprophyres and gold occurrences.
The aeromagnetic data collected in the core block
of Avannaa's Ataa licence area has resulted in>
magnetic lineaments of which geologists were able to visit
about 10 in the late field season of 2009. Nearly all the
visited lineaments turned out to reflect the presence of
ultramafic lamprophyres, of which 4 dykes were of significant extent with widths up to 7 m and could be followed
along strike for more than 1500 m. Several of the dykes
contain altered ultramafic xenoliths, interpreted to be of
mantle origin. None of the small number of samples that
were collected in 2009 returned any diamonds after testing
by caustic fusion. However, there still remains at least
40 primary targets to hit in 2010, plus the additional targets
that are anticipated to appear from the aeromagnetic
data to be acquired in 2010.
At Qeqertaa, Avannaa keeps expanding its diamond project
on the Qeqertaa ultramafic lamprophyre dyke. The
encouraging result from the caustic fusion test of a 435 kg
bulk sample collected in 2008 (yielding 1487 diamonds, of
which 35 were macro diamonds) was followed by the collection
of one 10 t and one 3 t sample which were
shipped to SGS Lakefield, Canada for DMS test. After running
the 3 t test sample it became apparent that the
unusual composition of the Qeqertaa dyke (containing>
20% metamorphic magnetite) required special treatment
and the DMS processing was replaced by a series of magnetic
separation stages which in turn proved extremely
efficient on this rock. The 10 t bulk sample yielded 32 diamonds
larger than 0.85 mm with four stones sitting on
the 1.7 mm sieve with the largest stone, a white translucent
octahedral, measuring 2.5 x 2.3 x 2.0 mm.
Flammefjeld from the SW showing the proposed drill site and the intense argillitic alteration zone above the postulated stockwork-molybdenite
The variation in width along strike of the Qeqertaa dyke
was constrained by a detailed ground magnetic survey in
June 2009, demonstrating the Qeqertaa dyke to have a
width between 4 and 10 m and to be consistent along>
2000 m strike length. The ground magnetic survey also
confirmed the hypothetical presence of a second, unexposed
dyke, with a strike length of nearly 3000 m and
variable width of between 1 and 6 m, and covered by 5–15 m of moraine. In the coming field season, Avannaa
will collect and process a 40 t bulk sample of dyke 1 and
to test both the thickness variation of dyke 1 and the
unexposed dyke 2 by drilling and by caustic fusion diamond
test on the drill core. For this purpose, about
1000 m of diamond drilling in 16 short holes has been
planned for the month of July.
In addition to the activities in the Disko Bugt area, revolving
around gold and diamonds, Avannaa is conducting a
joint photogrammetric study with GEUS on the structural
details of an occurrence of strongly folded and faulted
Mârmorilik Fm marbles in central Nuussuaq. The marbles
host showings of high grade Zn-ore and the aim of the
ongoing study is to define drill targets for a medium size
orebody with high-grade sphalerite (20-30% Zn).
Avannaa expands into East and North Greenland
Following its acquisition of licence areas covering
Flammefjeld and J.C. Christensen Land, Avannaa moved
into the poorly explored North and East Greenland
scene. The Flammefjeld licence, near the Skaergaard
Intrusion in SE Greenland, hosts a potential Climax-type
stockwork molybdenum deposit, and is a close analogue to the Quadra Mining's Malmbjerg deposit. Fragments of
the mineralisation in a late breccia pipe suggest grades up
to 0.45% MoS2, or nearly double the grade of Malmbjerg.
Avannaa expects to follow up on the 2010 site visit to
Flammefjeld with a drilling programme in 2011 to test the
existence of a large tonnage, high-grade molybdenum
occurrence. Flammefjeld is situated immediately adjacent
to a deep-water fjord allowing for sea transport several
months a year.
In J.C. Christensen Land, Avannaa will assess the potential
for a large sediment-hosted Cu occurrence. GEUS geologists
have reported the finding of chalcocite and bornite
in Neoproterozoic sandstones of the Jyske Ås Fm with
representative grab samples returning up to 3% Cu and
100 ppm Ag.
Hudson approves 2010 programme
for rare earth project in Greenland
Radiometric maps covering the drill sites at the Hudson Sarfartoq REE project.
Hudson Resources Inc. announced 2 February 2010 that it
has approved the first phase of an aggressive programme
to advance the rare earth element (REE) project on the
Sarfartoq Carbonatite in Greenland, which is 100% owned by Hudson. The programme will commence in March and
will include geophysical surveying, environmental baseline
data collection, a minimum 3,000 metre drill programme,
and bench-scale metallurgical test-work.
Northern lights at the Hudson Base Camp in the Sarfartoq area.
This first phase of drilling is planned to start in April. It will
focus on the expansion of the rare earth zones at ST1 and
ST40, which yielded significant REE intercepts in the 2009
drill programme. The ST1 and ST40 zones are approximately
2.5 km apart and appear to be linked based on
geophysics and rare earth mineralisation traced on surface.
This initial phase of the 2010 work programme,
including ground geophysics and 3,000 m of core drilling(approximately 20 holes), is fully funded by the company.
The second phase of drilling, representing a minimum of
2,000 m, will be conducted later in the summer based on
spring results. Drill core will be logged and split in the
field and flown to Canada for assaying.
We are very excited about the year ahead and have designed
a programme which we believe will add significant value to our
REE projects”, stated James Tuer, Hudson's President. “One
of our key objectives is to define a resource as quickly as possible
and take advantage of the streamlined permitting process
in Greenland to rapidly advance the project.
In 2009, Hudson generated three exciting rare earth priority
targets on the Sarfartoq Carbonatite: the ST1, ST40
and ST19 localities. Highlights of the 2009 drill programme include:
Field look at the ST 1 anomaly.
ST40 is a particularly exciting region in that neodymium
oxide and praseodymium oxide together average around
54% of the total distribution of rare earth mineralisation.
This is highly anomalous compared to an industry average of under 20%. Prices for neodymium have more than doubled
over the past six months from $15/kg to $35/kg.
Praseodymium can be used in place of neodymium and is
ST1 • 50.25 m of 2.19% TREO including 9.55 m
of 3.98% Total Rare Earth Oxides (TREO) in Hole
SAR09-04 of which neodymium oxide and
praseodymium oxide average over 25% of the TREO;
ST40 • 10.22 m of 1.36% TREO in Hole SAR09-03 of
which neodymium oxide and praseodymium oxide
average over 54% of the TREO ; and
ST19 • 16.00 m of 1.02% TREO with several smaller
intersections of more than 1% TREO.
NunaMinerals is conducting followup
on extensive linear magnetic
anomaly in Inglefield Land
Initial assay data of magnetite float samples indicates high
grade Kiruna-type iron mineralisation.
Google view showing the location of the Minturn anomaly and the Inglefield Land magnetic anomaly (based on GEUS 1994).
NunaMinerals reported 18 January 2010 that the com -
pany commissioned GEUS to carry out mineralogical and
analytical studies on a number of float samples collected
by GEUS during field work in 1995 at the Minturn magnetite
anomaly in Inglefield Land, North-West Greenland.
The Minturn anomaly occurs within a more than 80 km
linear magnetic high, which is largely covered by overburden.
Analytical work was carried out on nine float samples.
The average iron content of the five samples is
62.4%. The content of other elements mostly fall within
acceptable limits. In 2010 NunaMinerals is planning to
conduct a combined gravity and magnetic fixed-wing survey
covering approximately 800 km . The objective is to
define drill targets.
NunaMinerals president and CEO Ole Christiansen comments:
The geological setting and the great strike extent of
the recorded magnetic high are very encouraging for the project.
The peak anomaly indicates a potential billion tonne target.
The very high magnetite grades shown in the initial assays
make the Inglefield Land project very attractive
The Minturn magnetic anomaly with a peak anomaly of
15,400 nT was discovered by GEUS in 1994 during an airborne
electromagnetic and magnetic survey (see MINEX
8, June 1995). GEUS conducted a follow-up programme in
1995 including an investigation of the peak magnetic
anomaly. NunaMinerals conducted a limited helicopterborne
magnetic survey in 2008 and confirmed the presence
of the Minturn anomaly with a peak anomaly of
36,000 nT. The peak anomaly can be seen to be part of
an at least seven kilometres long and straight magnetic
high. The eastern and western termination of the high
seems to be controlled by faults. The reported mineralogical study was conducted using an optical microscope
and electron microprobe analysis. These initial studies
show that the iron mineralisation, although mostly covered
by overburden, is probably a high grade Kiruna-type
magnetite-apatite iron ore. For comparison, the Kiruna
orebody in northern Sweden is 4 km long, 80 m thick and
more than 2 km deep.
The average Fe content of the five float samples at
62.40% is high for magnetite ore. Apatite occurs interstitially
to magnetite and as millimetre wide and centimetre
long veins. Apatite often has numerous rod shaped inclusions
of monazite. One of the float samples displays a
massive magnetite which is pervasively altered to
Additional reading: 2009, Geology & Ore No.13: Iron oxide copper-gold(IOCG) mineralising systems in Greenland, 12 pp.
The Black Angel zinc-lead mine
is preparing to go again
View to the 'Black Angel' cliff from the area of the lower cable car
terminal in Maarmorilik.
2009 was a transformational year for the Angel Mining Plc.
The acquisition of the Nalunaq gold mine in Greenland, as
first announced on 1 July 2009, has accelerated the point
at which the company will be cash generative as production
is now imminent. Authorisation permits by the
Greenlandic authorities are well progressed and the
export licence should be granted by the time the first
doré bars are available for transfer to the refiner.
Linking the mine entrance to the ground facilities at Maarmorilik is a substantial engineering challenge. The cable car will have to
span 1.7 km and it has to rise 600 m to the adit which is located on a cliff face made of white marble.
21 January 2010 the following news was released: At the
Black Angel Mine, Maarmorilik, the company has completed the construction of the lower cable car terminal and
work will recommence in the spring to construct the
upper terminal, and the infrastructure for the mineral
processing plant. In addition work will continue on expanding the existing project camp. Subject to the availability of finance, the company plans to build the cable car,
underground processing plant and extend the camp
during 2010 in order that production can commence
in early 2011.
Much was achieved in 2009 but 2010 presents new challenges
and opportunities. Raising the funding for the Black
Angel will be helped by cash being generated at Nalunaq and
the much improved commodity prices. I expect the cash cost
of production at both Nalunaq and Black Angel to be less than
50% of current market prices. Management looks forward to
continuing the progress made by the company over the last
12 months as it looks to further develop its mining operation,
comments Nicholas Hall, Angel Mining CEO.
Greenland Day at the PDAC
in Toronto 8–10 March 2010
"Greenland Exploration and Opportunities" will be the
theme for the presentation.The Bureau of Minerals and
Petroleum has the pleasure to present a half-day presentation
concerning the opportunities for mineral deposits in
areas not yet covered by licences. The technical session
aims to inform the exploration and mining industry about
the mineral exploration opportunities in Greenland,
licensing terms and conditions for operating in Greenland.
You are also invited to visit the Greenland booth (#417)
at the Trade Show on March 8 to 10. The exhibit will focus
on geological environments and the possibilities of finding'giants', Greenland Ni-potentials and new areas with a
mineral resources potential. Stop by the booth and meet
the experts, who will be ready to tell you about the 'hot'
themes of Greenland resources.
To sign up for the presentation, please send your contact
information to the BMP by e-mail (email@example.com) or fax(+299 32 43 02) to the Bureau of Minerals and Petroleum.
A full programme can be viewed at the BMP homepage:
www.bmp.gl. You are also welcome to visit our Booth
# 417 and ask for Henrik Stendal.
New issues of the series Geology & Ore and Fact Sheets with themes on Greenland exploration and mining
2010 Geology & Ore No. 17
Greenland's nickel resource
potential, 12 pp.
2009 Fact Sheet No. 23:
Geology of the South-East
Greenland Archaean craton, 2 pp.
BUREAU OF MINERALS AND PETROLEUM (BMP)
Government of Greenland, P.O. Box 930, DK-3900 Nuuk, Greenland
Tel.: +299 34 68 00, Fax.: +299 32 43 02, E-mail:
GEOLOGICAL SURVEY OF DENMARK AND GREENLAND (GEUS)
Øster Voldgade 10, DK-1350 Copenhagen K, Denmark
Tel.: +45 38 14 20 00, Fax.: +45 38 14 20 50, E-mail:
Last modified: March, 2010
is published by
in co-operation with
Bureau of Minerals and Petroleum, Greenland Government