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The Au-Ag-Cu-Zn-bearing mineralized zones at the Horne deposit No. 5 zone, Rouyn-Noranda, Québec - New observations and preliminary results.

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The Au-Ag-Cu-Zn-bearing mineralized zones at the Horne deposit No. 5 zone,

Rouyn-Noranda, Québec – new observations and preliminary results

1 2 1 3 4 5 6 6

A. Krushnisky , P. Mercier-Langevin , P.-S. Ross , V. McNicoll , J. Goutier , L. Moore , C. Pilote and C. Bernier

1 2 3

Centre Eau Terre Environnement, Institut national de la recherche scientifique (INRS-ETE), Québec City, QC; Geological Survey of Canada, Québec City, QC; Geological Survey of Canada,

4 5 6

Ottawa, ON; Ministère de l'Énergie et des Ressources naturelles (MERN), Rouyn-Noranda, QC; Department of Earth and Planetary Sciences, McGill University, Montréal, QC; Falco Resources

Ltd., Rouyn-Noranda, QC

VMS deposits

2704-2702

Volcanic episodes (Ma)

2702-2699 2699-2697

2697-2695

Post-volcanic intrusion Synvolcanic intrusion

Gabbro and diorite Sedimentary rocks

U-Pb date location

Synvolcanic fault Post-volcanic fault

Legend

Figure 1: Geological map of central section of

the Blake River Group (modified from Mercier-Langevin et al., 2011). Stratigraphy based on new U-Pb geochronology (McNicoll et al., 2014). The Horne deposit is located in a structural block bounded by the Andesite (AF) and Horne Creek (HCF) faults, in rocks that were dated at 2702.2±0.9 Ma. Overlay map gives location of Blake River Group within the Abitibi greenstone belt, straddling the border of Québec and Ontario.

Flavrian Pluton Powell Pluton D'Alembert fault 3 km N Horne HCF AF 2702.2 2702.2 Ottawa Blake River Group Montréal Québec James Bay ON QC Abitibi greenstone belt Volcanic rocks 200 km N

The Horne deposit is the single largest gold-rich volcanogenic massive sulphide deposit in

the world, with 325.4 t Au extracted from the Upper H and Lower H zones. Total resources

(indicated and inferred) of the unexploited No. 5 zone, located down-plunge of the H

orebodies, currently amount to 113.4 Mt grading at 1.54 g/t Au (174.9 t Au).

The deposit is located in the Horne block of the Blake River Group (2704-2695 Ma) in the

Abitibi greenstone belt, Québec, Canada (Fig. 1). Hosted in a steeply-dipping succession

dominated by volcaniclastic units, it is bounded by the Andesite and Horne Creek faults.

Thick layers of lapilli tuffs intruded by a swarm of sterile mafic dykes are the host rock of

most gold-bearing intervals in the No. 5 zone, which forms a tabular body comprising a low

grade gold envelope and high grade gold zones (Fig. 2). Mineralization is characterized as

a series of massive to semi-massive sulphide lenses of variable thickness alternating with

zones of disseminated and stringer sulphides (Fig. 3, geology column). Pyrite is the

dominant sulphide with lesser chalcopyrite, sphalerite and magnetite.

The objectives of this project are to determine the precise relationships between gold

mineralization, sulphide phases, host rocks, and deformation, and to define the controls on

gold distribution within the No. 5 zone of the Horne deposit. These objectives will lead to a

better understanding of Archean synvolcanic gold-bearing systems.

1. Introduction

Surface

-1000 m

-2000 m

East

H5-15-05 H5-15-08 H5-15-07C H5-15-01 H5-15-02 Legend

2015-2016 Falco Resources drillholes Drillholes used for this study

Drillhole used for graphic log in figure 3 Projection of mined orebodies, including Upper and Lower H zones

No. 5 zone Mineralized envelope High-grade zone A High-grade zone B High-grade zone C High-grade zone D High-grade zone E High-grade zone F

Figure 2: 3D model of No. 5 zone, showing the low-grade mineralized envelope (0.5 g/t Au

cut-off), high-grade gold zones (2.5 g/t Au cut-cut-off), as well as workings of the historic Horne mine (model generated by InnovExplo for Falco Resources, 2016). Five new holes (2015) belonging to Falco Resources were used to prepare detailed core logs during the summer of 2016 (see Fig. 3).

2. 3D model of No. 5 zone

Lower H zone Upper H zone

No. 5 zone

Sericite alteration intensity visual index 1. Non existent to weak and local

2. Weak but pervasive

3. Well developed and dominant 4. Intense, texturally destructive

Chlorite alteration intensity visual index 1. Weak and local (plans, fractures, diss.) 2. Patchy or pervasive along veinlets

3. Well developed and dominant

4. Chlorite schist to massive chlorite

Deformation intensity visual index 1. No fabric

2. Weakly developed penetrative planar fabric 3. Well developed penetrative planar fabric 4. Intensely developed planar fabric

5. Schist stringer + matrix-hosted (diss.) sulphides semi-massive sulphides massive sulphides syenite/monzonite dyke mafic dykes

coherent felsic rocks (intrusions?)

felsic tuffs

massive sulphide fragments felsic volcaniclastics

(lapilli tuffs to breccia)

Legend

3. Results

Figure 3: Stratigraphic section through the mineralized zone of

DDH H5-15-05, showing volcanic units and style of mineralization. Adjoining downhole plots display abundance of sulphides, intensity of chlorite and sericite alteration, intensity of deformation, and gold, silver, copper and zinc assays (analyses from Falco Resources). The visual index represents a series of criteria used to quantify the intensity of alteration and deformation during fieldwork. Letters on left margin show position of photos (Fig. 4) along hole.

Observations

Ÿ Two major types of mineralization are recognized:

semi-massive to semi-massive sulphides (Fig. 4A), and more extensive zones of disseminated to stringer sulphides (Fig. 4B, C). The latter often contains massive sulphide clasts (Fig. 4D).

Ÿ Massive sulphides are composed mainly of recrystallized

pyrite with minor sphalerite, chalcopyrite and rare pyrrhotite. Contacts are transitional (gradual increase/decrease of sulphides) to relatively sharp and these massive sulphides are where relict felsic fragments are often most visible. Sulphide emplacement occurred at the seafloor or near-seafloor interface or as sub-near-seafloor replacement of permeable host rock.

Ÿ Sphalerite occurs as finely disseminated grains in the matrix

of the felsic volcaniclastics (Fig. 4E) and as disseminations and fine bands in massive sulphide bodies, chalcopyrite is generally remobilized in secondary sites (inclusions, fractures and pyrite grain boundaries; Fig. 4I) and pyrrhotite is very rare and found mostly as inclusions in pyrite (Fig. 4J).

Ÿ Felsic fragments in the volcaniclastic host rocks are composed of fine, recrystallized quartz and one to ten percent sericite. The matrix is dominated by a combination of fine grained sericite, quartz and pyrite with trace chlorite (Fig. 4H), indicating widespread alteration.

Ÿ Gold distribution is variable but higher gold contents are

generally present in the massive to semi-massive sulphide intervals. A decrease in gold values is present in the lower stratigraphy. It is unclear if this relationship is indicative of an evolving hydrothermal system up-hole or if it's associated with deformation-induced gold remoblization.

Ÿ Massive sulphides are generally associated with coarser-grained felsic volcaniclastic units (tuff breccia to breccia). Distribution of the mineralization is likely influenced in part by the host volcanic rocks. Controls on distribution include changes from coarse grained massive beds to finer grained graded beds (e.g., 1860 m on Fig. 3; Fig. 4F), and the presence of coherent felsic units directly above massive sulphides acting as impermeable cap rocks to ascending fluids (e.g., DDH H5-15-07C, not shown).

Ÿ Deformation intensity varies throughout the mineralized zone but a well developed foliation is prevalent. This foliation is strongest in zones of stringer mineralization surrounding massive sulphide intervals and often associated with and emphasized by strong sericitic alteration (Fig. 4G, K).

Photos (Fig. 4) B C E F G H I J K 2 cm

A

Ser Py LT 2 cm

B

Py Cp 2 cm

C

4 cm

D

Cp Py Sp 1 cm

E

Sp Py 1 cm

F

Py Chl 1 cm

G

H

1000 µm Qtz xtal Ser Qtz 1000 µm

I

Py Cp

J

Cp Po Py 50 µm 1000 µm

K

Figure 4: A) Massive pyrite (Py) zone with underlying stringer sulphides in felsic lapilli tuff (LT). LT is strongly bleached with finely banded sericite (Ser) parallel to main foliation (from

hole H5-15-07C). B) Pyrite (Py) and chalcopyrite (Cp) in matrix of felsic lapilli tuff. Fragments appear partly replaced by sulphides. C) Zone of stringer and disseminated sulphides (Py ± Sp ± Cp) directly above a massive sulphide interval.

Figure 4 (cont’d): D) Rounded massive pyrite (Py) and sphalerite (Sp) block with traces chalcopyrite (Cp), in moderately bleached and sericitized felsic lapilli tuff (from hole

H5-15-07C). E) Finely disseminated honey-coloured sphalerite (Sp) and pyrite (Py) in matrix of coarse felsic tuff. F) Finely laminated felsic tuff with disseminated pyrite and associated chlorite (Chl) alteration. G) Bleached and sericitized felsic lapilli tuff with strong foliation and kink band. H) Photomicrograph of felsic lapilli tuff. Fragments are composed mainly of finely recrystallized quartz (Qtz), while the matrix consists of foliated sericite (Ser) and minor quartz crystals (Qtz xtal). I) Photomicrograph of massive pyrite (Py) with chalcopyrite (Cp) along fractures, grain boundaries and inclusions. J) Photomicrograph of inclusion within a grain of pyrite (Py), containing chalcopyrite (Cp) and pyrrhotite (Po). K) Photomicrograph of disseminated pyrite (Py) along wavy foliation, within stringer zone between two massive sulphide intervals.

4. Bivariate plots of metal assays

Figure 5: Bivariate plots showing the correlation between gold and silver, copper, zinc and pyrite abundance within the Horne No. 5 zone. Recent assays by Falco Resources

(2279 assays from 9 holes drilled in 2015) overlay a coloured cloud in background representing all historical data compiled by InnovExplo (1090 historical assays for Au-Ag, 35737 historical assays for Au-Cu and 29336 historical assays for Au-Zn). Pyrite abundance was determined from field logs for the five holes that were studied. Linear regression lines for recent assay data are in grey with corresponding R² values.

R² = 0.6664 R² = 0.4767 R² = 0.1345 R² = 0.3929

Recent Horne No. 5 zone data:

Ÿ The No. 5 zone of the Horne deposit consists of:

1) massive pyrite clast-bearing felsic volcaniclastic units with stringer sulphides and disseminated pyrite; 2) relatively compact intervals of semi-massive to massive sulphides (generally ≤10 meter-thick) .

Ÿ Gold grades are typically less than 5 g/t, with higher grades associated with stringer, semi-massive and massive sulphide zones.

Ÿ Distribution of sulphides is associated with coarser-grained volcaniclastic units (tuff breccia to breccia). Changes in grain size in the host volcaniclastic beds can influence

the style of mineralization. Coherent felsic units may act as an impermeable cap rock to some mineralized zones.

Ÿ A strong correlation exists between Au and Ag grades and Au-Cu and Au-pyrite associations correlate well. There is a poor correlation between Au and Zn values.

Ÿ In conjunction with this study, future work on the No. 5 zone will include lithogeochemical analysis of sulphide phases, host rock units and altered zones; LA-ICP-MS

analysis of sulphide phases; 3-D modelling of metal distribution and alteration; and geochronological analysis. This work will test the hypothesis of a relationship between Au mineralization and primary sulphide deposition and possible deformation-induced modifications.

5. Conclusion

Jourdain, V., Runnels, D., and Pelletier, C., 2016, Technical report and updated mineral resource estimate for the Horne 5 deposit, National Instrument 43-101 Report, 271 p.

McNicoll, V., Goutier, J., Dubé, B., Mercier-Langevin, P., Ross, P.-S., Dion, C., Monecke, T., Legault, M., Percival, J., and Gibson, H., 2014, U-Pb Geochronology of the Blake River Group, Abitibi Greenstone Belt, Quebec, and Implications for Base Metal Exploration: Economic Geology, v. 109, no. 1, p. 27–59, doi: 10.2113/econgeo.109.1.27.

Mercier-Langevin, P., Goutier, J., Ross, P.-S., McNicoll, V., Monecke, T., Dion, C., Dubé, B., Thurston, P., Bécu, V., Gibson, H., Hannington, M., and Galley, A., 2011, The Blake River Group of the Abitibi Greenstone Belt and its unique VMS and gold-rich VMS endowment: Geological Survey of Canada, Open File 6869, 61 p.

6. References

graded? graded? graded? 0.06 0.5 2 8 32 mm Geology (m) 1803 1810 1820 1830 1840 1850 1860 1870 1880 1890 1900 1910 1920 1930 1940 1 6 25 100 Pyrite (%) tr Cp tr Cp 10% Sp 1-2% Cp 5-7% Cp 3-4% Sp tr Cp 2% Cp tr Sp 2% Cp tr Sp tr Cp tr Cp 1% Sp tr Cp 0.5-1% Cp tr Cp 1% Cp 1% Sp 1% Cp tr Cp 5% Sp 3-5% Sp tr Cp 2-3% Cp 3-4% Cp 1-2% Sp 1% Sp tr Cp 5% Sp tr Sp tr Cp 1% Cp 1% Sp 1% Cp tr Cp 0 1 2 3 4 Chlorite Index tr garnet 0 1 2 3 4 Sericite Index 0 1 2 3 4 5 Deformation Index 0 5 10 15 20 25 Au (ppm)

Falco Resources Assays

0 20 40 60 80 100 Ag (ppm) 0.00 0.25 0.50 0.75 1.00 Cu (%) 0 2 4 6 8 Zn (%)

7. Acknowledgements

Falco Resources Ltd. and its staff are thanked for the chance to study the No. 5 zone of the Horne deposit, to grant us access to their drill cores and database, and for numerous constructive discussions. We also thank InnovExplo for sharing several figures and their compilation of historical data. This study is funded by Natural Resources Canada and the Geological Survey of Canada (GSC) through the Targeted Geoscience Initiative 5 program (TGI-5) and by Falco Resources Ltd.

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