The mining newspaper for Alaska and Canada's North
The mining newspaper for Alaska and Canada's North
TSX/NYSE-MKT: TMQ
Chairman: Gerald McConnell
President and CEO: Rick Van Nieuwenhuyse
Exploration Business Manager: Frank Gish
While its name has changed, Trilogy Metals Inc.'s goal remains the same - unlock the potential of the world-class base and precious metals deposits at its Upper Kobuk Mineral Projects in Northwest Alaska.
The company's former name, NovaCopper, spoke to the some 8.5 billion pounds of copper identified so far at UKMP, but it did not describe the natural diversity provided by the zinc, silver, gold, lead and cobalt that also report to the resources at Arctic and Bornite, two high-grade deposits found along the length of the roughly 353,000-acre UKMP land package that blankets the Ambler Mining District.
Arctic, the most advanced of the UKMP deposits, hosts 23.85 million metric tons of indicated resource averaging 3.26 percent (1.71 billion lbs.) copper, 4.45 percent (2.34 billion lbs.) zinc, 0.76 percent (400 million lbs.) lead, 0.71 grams per metric ton (550,000 oz.) gold, and 53.2 g/t (40.8 million oz.) silver.
Additionally, this volcanogenic massive sulfide deposit encompasses 3.63 million metric tons of inferred resource averaging 3.22 percent (239 million lbs.) copper, 3.84 percent (285 million lbs.) zinc, 0.58 percent (43.2 million lbs.) lead and 0.59 g/t (60,000 oz.) gold.
A roughly 3,000-meter drill program at Arctic was the biggest ticket item of a US$5.5 million exploration program carried out at UKMP this year.
It included the last bit of infill drilling needed to upgrade the resource prior to completing a pre-feasibility study for developing an open-pit mine at this copper- and zinc-rich VMS deposit.
The drilling also collected data needed to finalize the in-pit geotechnical (pit slope stability), hydrology and metallurgical studies for the PFS. Trilogy plans to collect the final data for the PFS - primarily geotechnical work needed to refine locations for a power plant, mill, waste-rock pile, stockpiles and tailings facilities - during the 2017 program.
Though Trilogy has not drilled Bornite since 2013, the company has been able to efficiently expand the resource of this large copper deposit by re-logging and re-sampling core drilled by Kennecott more than four decades ago.
This work has been so effective that in April 2016, Trilogy reported a 173 percent increase to the in-pit indicated resource at Bornite.
Using a 0.50 percent copper cutoff grade, Bornite now encompasses 40.5 million metric tons of in-pit indicated resources averaging 1.02 percent (913 million pounds) copper; and 84.1 million metric tons of inferred resources averaging 0.95 percent (1.8 billion lbs.) copper.
Additionally, at a 1.50 percent copper cutoff grade, Bornite is estimated to contain 57.8 million metric tons of below-pit inferred resources averaging 2.89 percent (3.7 billion lbs.) copper.
While already world-class in terms of size and grade, the various zones of Bornite are open to expansion in several directions.
The most compelling area is a 1,000-meter-wide stretch of continuing high grades along the northern front.
Hole RC13-0220, the most northeasterly hole drilled at Bornite, cut three very high-grade intervals from 877: 5.9 meters of 6.66 percent copper; 9.9 meters of 2.48 percent copper; and 19.7 meters of 2.24 percent copper.
Hole RC13-0224, drilled about 800 meters west of hole 220, cut five high-grade intercepts from 579 meters: 19.5 meters of 3.02 percent copper; 16.8 meters of 2.36 percent copper; 39.5 meters of 2.37 percent copper; 8.6 meters of 3.26 percent copper; and 6.5 meters of 7.7 percent copper.
Trilogy is considering a drill program for Bornite in 2017.
Cash and short-term deposits: US$9.2 million (Aug. 31, 2016)
Working capital: US$12.5 million (Aug. 31, 2016)
Market capitalization: US$78.9 million (Sept. 28, 2016)
1950 - 777 Dunsmuir St.
Vancouver, BC V7Y 1K4
Tel: 604-638-8088
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