Deposit Remains Open and Exploration Planning Underway for 2022
Highlights include:
- Indicated resources increased by 70% to 39.1 million tonnes ("Mt") from 23.0Mt (see Table 1):
- Indicated resources now grade 1.20% copper ("Cu"), 2.16% zinc ("Zn"), 0.41 g/t gold ("Au") and 14 g/t silver ("Ag") or 2.04% copper equivalent ("CuEq")
- Indicated resources contain 1.03 billion pounds ("Blbs") Cu, 1.9Blbs Zn, 510 thousand ounces ("koz") Au and 18.1 million ounces ("Moz")
Ag - Inferred resources total 5.0Mt at 0.94% Cu, 2.56% Zn, 0.17% Pb, 0.27 g/t Au and 16 g/t Ag (1.77% CuEq)
- Inferred resources contain 105 million pounds ("Mlbs") Cu, 284Mlbs Zn, 40koz Au and 2.6Moz Ag
- Significant Increase in Indicated Contained Metal
- 74% increase in contained Cu, 21% increased in contained Zn, 58% increase in contained Au and 47% increase in contained Ag relative to the 2019 Resource estimate
- Mineralization Starts Near Surface and Remains Open at Depth
- Mineralization begins ~25m below surface and extends down-plunge approximately 2km, where it remains open in all directions
- Feasibility Study Remains on Track and 2022 Regional Exploration Campaign Planning Underway
- The updated resource estimate and increased indicated resources will underpin the coming feasibility study and could support potential mine life extensions
Additional Details
The mineral resource estimate was completed by
Table 1.
Zone | Tonnage (Mt) | NSR ($US) | Cu (%) | Zn (%) | Pb (%) | Au (g/t) | Ag (g/t) | CuEq (%) |
INDICATED | ||||||||
Main Lens Massive Sulphide | 10.8 | 199 | 1.01 | 6.17 | 0.41 | 0.53 | 27 | 3.13 |
Lens 3 | 2.6 | 113 | 0.82 | 3.07 | 0.14 | 0.25 | 15 | 1.80 |
1.2 | 119 | 1.26 | 0.52 | 0.07 | 0.31 | 13 | 1.53 | |
22.7 | 127 | 1.31 | 0.38 | 0.02 | 0.37 | 9 | 1.60 | |
Copper Stockwork | 1.8 | 141 | 1.42 | 0.59 | 0.04 | 0.45 | 9 | 1.79 |
TOTAL INDICATED | 39.1 | 146 | 1.20 | 2.16 | 0.14 | 0.41 | 14 | 2.04 |
INFERRED | ||||||||
Main Lens Massive Sulphide | 1.6 | 163 | 0.65 | 6.51 | 0.46 | 0.29 | 28 | 2.66 |
3.5 | 106 | 1.08 | 0.79 | 0.03 | 0.25 | 11 | 1.37 | |
TOTAL INFERRED | 5.0 | 123 | 0.94 | 2.56 | 0.17 | 0.27 | 16 | 1.77 |
1 Effective date |
2 The base case mineral resource is estimated based on 240 diamond drill holes and a NSR cut-off value of |
3 Mr. |
4Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, marketing or other issues. Due to the uncertainty which may attach to inferred mineral resources, it cannot be assumed that all or any part of an inferred mineral resource will be upgraded to an indicated or measured mineral resource as a result of continued exploration. |
5CuEq values were calculated from the NSR values for each zone using both concentrate and recovery curves that were developed during Pre-Feasibility level metallurgical studies. |
6A sensitivity table is provided in Figure 2 below which demonstrates the variation in tonnage and grade for the main zones MS and CSZ at different NSR cut-offs. |
Figure 1. Change in Indicated Resource Tonnage (2021 Estimate vs 2019 Estimate)
(
The 2021 Resource Estimate builds on and supersedes the previous comprehensive National Instrument 43-101 ("NI 43-101") mineral resource estimate for the Deposit which was announced by the Company on
Figure 2. Main Lens (MS) and CSZ Tonnage & NSR Curve using Indicated and Inferred Resources
(
Figure 3. Undeveloped Primary Copper VHMS Deposits in Top-Tier Jurisdictions
1Undeveloped primary-copper VHMS projects located in | |
Mineralization
The 2021 Resource Estimate includes several zones and two distinct styles of mineralization, typical of volcanic-hosted massive sulphide ("VHMS") deposits:
- massive to semi-massive sulphide mineralization in the Main Lens and Lens 3
- stockwork-style sulphide mineralization in the
Copper Stockwork Zone ("CSZ") that directly underlies the Main Lens; - two other small lenses of stockwork-style mineralization occur in the Deposit:
- the
Stringer Zone , which is located between the Main Lens and Lens 3 - the
Copper Stockwork Footwall Zone ("CSFWZ") which occurs as a separate lens underneath the CSZ for approximately 150m of strike length which could represent a fault offset and repetition of the Main Lens and CSZ.
The Main Lens at
The CSZ is a zone of stockwork style copper-rich mineralization that directly underlies and is in contact with the massive sulphide and is interpreted to represent the feeder zone to the massive sulphide system. The CSZ varies from 0.3 to 26m in true thickness with an average thickness of 12.0m. The Main Lens massive sulphide and the underlying CSZ are generally in contact with one another throughout the Deposit, giving the bulk of the Deposit an average thickness of 15.5m overall. The Deposit plunges at approximately 45 degrees from surface for a down plunge length of approximately 2,000m (Figure 6).
Lens 3 sits approximately 10 to 30m in the hanging wall above the Main Lens and demonstrates the presence of stacked sulphide lenses in the Deposit. This lens has been traced intermittently along a strike length of 1,600m and plunges parallel to the underlying Main Lens and CSZ. The lens ranges in thickness from 0.1 to 8.0m and averages 2.0m in true thickness.
The CSFWZ is a separate lens that underlies the CSZ and has been intersected in nine drill holes over approximately 150m of strike length in the up-dip, central part of the Deposit. The lens varies in thickness from 0.3 to 38m with an average thickness of 30m. The CSFWZ dominantly consists of stockwork style copper-rich mineralization similar to the CSZ, although in several holes, narrow massive sulphide was also intersected at the top of the interval. It is possible that the CSFWZ represents a fault offset and repetition of the Main Lens and CSZ, but further drilling is required to prove the relationship of this lens to the rest of the Deposit.
Contained Metal
There has been substantial growth in the
Table 2. 2021 Resource Estimate - Contained Metal (
2021 | ||||||
Zone | Resource Classification | Cu Mlbs | Zn Mlbs | Ag Moz | Au Moz | Pb3 Mlbs |
Main Lens Massive Sulphide | Indicated | 238 | 1,462 | 9.2 | 0.18 | 98 |
Inferred | 22 | 224 | 1.4 | 0.01 | 16 | |
Lens 3 | Indicated | 47 | 174 | 1.2 | 0.02 | 8 |
Indicated | 33 | 14 | 0.5 | 0.01 | 2 | |
Indicated | 659 | 190 | 6.7 | 0.27 | 10 | |
Inferred | 83 | 60 | 1.2 | 0.03 | 3 | |
Copper Stockwork | Indicated | 56 | 23 | 0.5 | 0.03 | 2 |
TOTAL CONTAINED METAL | Indicated | 1,033 | 1,863 | 18.1 | 0.51 | 119 |
Inferred | 105 | 284 | 2.6 | 0.04 | 19 |
1 Totals may not add due to rounding |
2 See footnotes 1-5 for Table 1 |
3 Pb is not recoverable, is listed for informative purposes only |
Figure 4. Plan Map
Figure 5. Long Section – Massive Sulphide Mineral Resources
Figure 6. Long Section – Copper Stockwork Mineral Resources
Sensitivity Analysis
A sensitivity analysis is provided in Table 3 below for the indicated and inferred resources for the 2021 Resource Estimate, which demonstrates the variation in grade and tonnage in the deposit as a result of employing different NSR cut-offs.
Table 3. Mineral Resource Estimate Sensitivity Analysis1
Zone | Tonnage (MT) | NSR ($US) | Cu (%) | Zn (%) | Pb (%) | Au (g/t) | Ag (g/t) | CuEq (%) |
Total Indicated | 35.7 | 154 | 1.24 | 2.31 | 0.15 | 0.43 | 15 | 2.14 |
Total Inferred | 4.3 | 133 | 0.98 | 2.86 | 0.18 | 0.29 | 17 | 1.91 |
Total Indicated | 39.1 | 146 | 1.20 | 2.16 | 0.14 | 0.41 | 14 | 2.04 |
Total Inferred | 5.0 | 123 | 0.94 | 2.56 | 0.17 | 0.27 | 16 | 1.77 |
Total Indicated | 40.9 | 142 | 1.17 | 2.09 | 0.13 | 0.40 | 14 | 1.98 |
Total Inferred | 5.3 | 119 | 0.93 | 2.44 | 0.16 | 0.26 | 15 | 1.71 |
1 See footnotes 1-5 for Table 1 |
The base case presented in this release is estimated using a
Qualified Persons
The 2021 Resource Estimate meets the guidelines as set out in NI43-101 and was completed and verified by Micon, a global geological and mining consultancy. The 2021 Resource Estimate was verified by Mr.
Mr.
Estimation Methodology and Parameters
The 2021 Resource Estimate update included a re-interpretation of the mineralized envelopes in the Deposit following the incorporation of over 25,000m of diamond drilling completed since the 2019 Resource. The 2021 Resource Estimate was carried out using a block model constrained by 3D wireframes of the mineralized zones. Values for Cu, Zn, Au, Ag, and Pb were interpolated into the blocks using Ordinary Kriging, with validation estimates using ID2 and nearest-neighbour performed to confirm results. Block size was 10m wide (east-west) x 2m across (north-south) x 10m high. The models were constructed using Leapfrog Edge software. The 2021 Resource Estimate has an effective date of
The 2021 Resource Estimate is based entirely on diamond drilling data. The database contained records for 285 diamond drillholes (including nine short geotech holes) of which 240 intersect the deposit, with a total of 5,652 assay intervals. Top cuts were applied to composites as required. A 1.0m composite length was used for all domains at
Implicit modelling was used to dynamically generate wireframes using the mineralized intercepts as defined by the interpretation for each domain on 25m cross sections. In constructing these models, a 0.5% Cu cut-off was used for compositing the intercepts in the interpretation of the CSZ, while the logged geological intervals were used to constrain the intercept lengths for the massive and semi-massive sulphide zones. The
- Resources were classified as indicated in the core of the Deposit, where the nominal drill hole spacing is 100m within the CSZ and 120m in the massive sulphide lens. The classification reflects not only the drill spacing, but the confidence level in the continuity of the grade and the geometry of the Deposit.
- Resources classified as inferred were defined by blocks which were estimated with less stringent requirements within search ellipses defined for each domain to a maximum distance of 250 m in both the massive and semi-massive sulphide and stockwork bodies.
In Micon's opinion, the Mineral Resources are classified in a manner that is consistent the
Quality Assurance and Quality Control
For drilling conducted by Foran and its consultants since 2011, an independent QA/QC protocol, consisting of blanks, standards, and duplicates introduced into the sample stream for each batch of samples processed by the laboratory and the results of the assaying of the QA/QC material included in each batch are tracked to ensure the integrity of the assay data. Sample analysis was performed by
Micon reviewed the QA/QC reports from these programs and noted that there were no issues that arose which would affect confidence with the assay data. Micon considers the sampling method appropriate for the deposit type, adequate security measures were maintained, and samples should be representative of the mineralization.
About
Our goal is to build the first mine in
William J Lewis,
Foran trades on the TSX.V under the symbol "FOM" and on the OTCQX under the symbol "FMCXF".
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CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS
This news release contains "forward-looking information" (also referred to as "forward looking statements"), which relate to future events or future performance and reflect management's current expectations and assumptions. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "hopes", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. All statements, other than statements of historical fact, are forward-looking statements or information. Forward-looking statements or information in this news release relate to, among other things: complete the feasibility study in a timely manner, and the anticipated capital and operating costs, sustaining costs, net present value, internal rate of return, payback period, process capacity, average annual metal production, average process recoveries, anticipated mining and processing methods, proposed PFS production schedule and metal production profile, anticipated construction period, anticipated mine life, expected recoveries and grades, anticipated production rates, infrastructure, social and environmental impact studies, future financial or operating performance of the Company, subsidiaries and its projects, estimation of mineral resources, exploration results, opportunities for exploration, development and expansion of the
These forward-looking statements and information reflect the Company's current views with respect to future events and are necessarily based upon a number of assumptions that, while considered reasonable by the Company, are inherently subject to significant operational, business, economic and regulatory uncertainties and contingencies. These assumptions include: our mineral reserve and resource estimates and the assumptions upon which they are based, including geotechnical and metallurgical characteristics of rock confirming to sampled results and metallurgical performance; tonnage of ore to be mined and processed; ore grades and recoveries; assumptions and discount rates being appropriately applied to the technical studies; success of the Company's projects, including the
The Company cautions the reader that forward-looking statements and information include known and unknown risks, uncertainties and other factors that may cause actual results and developments to differ materially from those expressed or implied by such forward-looking statements or information contained in this news release and the Company has made assumptions and estimates based on or related to many of these factors. Such factors include, without limitation: the projected and actual effects of the COVID-19 coronavirus on the factors relevant to the business of the Corporation, including the effect on supply chains, labour market, currency and commodity prices and global and Canadian capital markets, fluctuations in zinc, copper, gold and silver prices; fluctuations in prices for energy inputs, labour, materials, supplies and services (including transportation); fluctuations in currency markets (such as the Canadian dollar versus the
These forward-looking statements are made as of the date hereof and, except as required by applicable securities regulations, the Company does not intend, and does not assume any obligation, to update the forward-looking information.
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