Although Callinex Mines (CNX.V) appeared to have been in hibernation for an extended period of time, the company recently raised C$1.01M in a flow-through financing round priced at C$0.50 per unit to fire up the drill rigs in the Bathurst mining camp once again. Each unit consisted of a share in Callinex Mines as well as ½ warrant with a strike price of C$1.00 expiring 2 years after closing.
The main focus will be on the Nash Creek project where Callinex aims to complete 3-4,000 meters of drilling in 15-20 holes where after the drill rig will be directed to the Superjack project for two deep holes for a total of 500-1000 meters. These two holes at Superjack are designed to follow up on a previous discovery of higher grade mineralization including almost 2 meters of 8% ZnEq and 2.7 meters containing 6.2% ZnEq.
On the Nash Creek project, Callinex will be drill-testing some of the 14 target areas that popped up on the IP survey that was recently completed over the project. The targets were anomalous for their low resistivity levels with increased chargeability and as these zones are located along the contact between the mafic and felsic rocks, Callinex seems to be upbeat about the exploration potential of (some) of these target areas and there’s only one way to find out what might be lying underneath the surface: by drilling.
Disclosure: The author has a long position in Callinex Mines.