Market Herald logo


Be the first with the news that moves the market
  • Canstar Resources (TSXV:ROX) has revealed the exploration work it will be conducting in 2020 
  • The company will conduct core and lithogeochemical sampling, as well as prospecting and mapping work at the site
  • Canstar will be reviewing the historic data from the site, which is currently held by the Newfoundland and Labrador Government 
  • The Government of Newfoundland and Labrador are allowing the company to receive credits for exploration work instead of paying maintenance on the properties, up to C$600,000 
  • Canstar Resources (ROX) is up 10 per cent and is trading at 5.5 cents per share 

Canstar Resources (TSXV:ROX) has revealed the extent of its summer exploration plans at the Buchans-Mary March project in Newfoundland.

The Buchans-Mary March project is a 22,786-hectare mineral lease in central Newfoundland, which includes the historic Buchans Mine and the Mary March gold deposit. 

The exploration the program will consist of examining archived core samples, lithogeochemical sampling, prospecting and mapping work.

The company will be reviewing the historical information from an airborne time-domain electromagnetic survey that was completed on the site in 2017, along with the trenching work completed on the site in 2019. 

That trenching work led to the discovery of a high-grade copper-gold massive sulphide occurrence, close to the site’s Mary March discovery.

The geological mapping will include investigating along strike on the Mary March discovery, and building a 3D map of that deposit.

The company also received some significant help from the federal and provincial governments during the COVID-19 pandemic.

The Government of Newfoundland and Labrador implemented a credit plan which allowed Canstar to apply for assessment credits equal to the 2020 work requirement on the mineral leases. The credits total almost $600,000, essentially eliminating the maintenance requirement on all the company’s licenses for 2020.

Speaking on behalf of Canstar, Kerry Sparkes, the Exploration Advisor for the company said Newfoundland was beginning to ease public health restrictions, allowing field work programs to restart.

“The 2019 surface discovery of a bedrock occurrence with numerous blasts of base metal rich massive sulphide will be a priority target for 2020.

“We want to thank the Government of Newfoundland and Labrador and the Ministry for Natural Resources for the recent financial support incentives in this unprecedented year, including the deferral of spending requirements and fees on mineral concessions and the continuation of the Junior Exploration Assistance Program.

“These financial initiatives directly benefit Canstar’s exploration activities, our in-province team, and our shareholders,” he said.

Canstar Resources (ROX) is trading up 10 per cent and is trading at 5.5 cents per share at 2:55 pm EDT. 

More From The Market Herald
First Quantum Minerals - First Quantum's Sentinel copper mine in Zambia.

First Quantum takes Panama’s government to international arbitration

First Quantum Minerals (TSX:FM) will suspend its current-year production outlook for the Cobre mine in Panama.

Archer Exploration resumes drilling at Grasset Nickel Project

Archer Exploration (CSE:RCHR) has resumed drilling at its 100-per-cent-owned Grasset Nickel Project in Quebec's Abitibi Greenstone Belt.