There has been a lot of uncertainty in the Bissett mining industry this year. In January, Klondex Gold, the owners of the True North mine and mill in Bissett announced they were laying off staff and reducing operations after lower than expected outputs for the previous year.
Then in July, Klondex Gold was bought out by Hecla Gold. Except the Bissett property was still in Limbo. It was left out of the deal and a spin off company, headquartered in Bissett, called Klondex Canada was formed. There was a complex arrangement made where Hecla mining and former Klondex shareholders would own portions of the company. In July of this year, that company went public under the name Havilah Mining.
These recent moves could have positive impacts on the region’s economy. Having gone public, Havilah Mining has resources to do more drilling and hopefully find new sources of gold in the area while they process the tailings in the mill. And that’s what they have been doing.
But Havilah isn’t the only company exploring in the area. There are a number of junior mining and exploration companies operating in the region. One of the more active in the area, Vancouver’s Alliance Mining , recently announced that it will be undertaking a geological mapping and sampling program followed by a drill program on its Packsack Gold property adjacent to Havilah Mining in the Bissett, Manitoba Gold Camp.
Alliance’s Packsack Gold Property is 4 kilometres from Havilah Mining’s Mill and the Packsack Property has never been explored by any major companies
Alliance intends to follow up on promising results from their March 2018, drilling on the Packsack zone of the Red Rice Lake gold project .
Alliance intends to undertake a program of geologic mapping and sampling during the fall of 2018, followed by a 1000m drill program in early 2019 to test the wider mineralized zone to a depth of 100m.
Alliance Mining has an option to acquire 100 per cent of the Red Rice Lake property near Bissett. The property’s proximity to the Havilah mill, presents an excellent opportunity for Alliance Mining to explore prospects within trucking distance of mill.
This is good news. Not huge news but it is positive. It could be an indication of a trend – the mill in Bissett will likely continue to make it an attractive place to explore for junior mining companies going forward.