mining and exploration overview 2019, q1 2020 southwest and … · 2020. 5. 21. · bonanza ledge...
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Mining and Exploration Overview 2019, Q1 2020Southwest and South Central Regions
for *Cancelled* KEG Conference April 2020
[email protected](604) 660-2713
Bruce Northcote, P. Geo.Staff and Regional Geologist,Mineral Development Office
Outline
• Mineral potential in brief• Exploration statistics• Major mines• Proposed mines• Exploration• Impacts of COVID-19 so far
South Central and Southwest Regions
• 2 regional offices• 2 Regional Geos
normally• Current vacancy
in Kamloops
Geologically Diverse
Parts of:
• Crescent• Pacific Rim• Wrangellia• Coast Plutonic Complex• Harrison• Chilliwack• Bridge River• Cadwallader• Cache Creek• Quesnellia• Slide Mountain• Kootenay• Cariboo• Overlap
All contain potentially economic deposits, but …
Quesnel terrane
• Hosts most producing Cu porphyries
• (Late Triassic-Early Jurassic)
• Hosts Cu-Au and Cu-Mo types, alkalic and calc-alkalic
Distribution of 2019 projects
• Selected projects covered in 2019 reporting
• A few projects popping up on NVI
Exploration statistics2019 exploration spending $millions 2019 exploration drilling m x 1000
Spending by exploration stage
Exploration expenditures – 4 year trend
0 200 400Km
Atlin
Masset
Nelson
Kelowna
Nanaimo
Smithers
Kamloops
Victoria
Cranbrook
Vancouver
Revelstoke
Fort Nelson
Fort St. John
Prince George
Williams Lake
Prince Rupert
Stewart
Kitimat
Copper Mountain (Cu. Au, Ag)Myra Falls
(Zn, Cu, Pb, Au, Ag)
Campbell River
Rail
Major Roads
New Afton (Cu, Au, Ag)
Rail
Major Roads
Gibraltar (Cu, Mo)
Highland Valley Copper(Cu, Mo)
Mount Polley* (Cu, Au, Ag)
Bonanza Ledge* (Au)
Major mines: 5 porphyry copper (Mt Polly suspended May 2019)1 VMS Zn-Cu-Pb-Ag-Au1 gold vein (not producing 2019)1 thermal coal (Quinsam suspended June 2019)
Quinsam
New Afton Cu-Au-Ag porphyryNew Gold Inc.
Miocene volcanic
Kamloops Group
Kamloops Group Tranquille Fm
Battle Bluff Plutonic Complex
Ashcroft Fm
LTrJ ultramafic
Iron Mask Batholith
Guichon Batholith
Nicola Group
Miocene volcanic
Kamloops Group
Kamloops Group Tranquille Fm
Battle Bluff Plutonic Complex
Ashcroft Fm
LTrJ ultramafic
Iron Mask Batholith
Guichon Batholith
Nicola Group
• 2019 production FY 79.4 Mlb Cu, 68,785 oz Au• Q1 2020 production 18.5 Mlb Cu, 16,409 oz Au• Suspending 2020 guidance, COVID-19 safety
protocols developed
• 2019 exploration underground and surrounding area (Geochem and geophysics on Cherry Creek trend to west)
• Q1 2020 underground delineation drilling and refinement of targets for planned Cherry Creek drilling)
Highland Valley Copper – Cu-Mo porphyryTeck Resources Limited
Miocene volcanic
Kamloops Group
Kamloops Group Tranquille Fm
Battle Bluff Plutonic Complex
Ashcroft Fm
LTrJ ultramafic
Iron Mask Batholith
Guichon Batholith
Nicola Group
Miocene volcanic
Kamloops Group
Kamloops Group Tranquille Fm
Battle Bluff Plutonic Complex
Ashcroft Fm
LTrJ ultramafic
Iron Mask Batholith
Guichon Batholith
Nicola Group
• 2019 FY production 121,300 t Cu, 6.6 Mlb Mo• Q1 2020 production 27,100 t Cu, 1.2 Mlb Mo• However, Teck anticipates lower 2020 production,
suspends 2020 guidance• Crew reduction to result in reduction to 80-85% of full
output
• Possible mine life extension to 2040 (current mine plan to 2027)
• HVC 2040 feasibility, enters environmental assessment (pre-EA, project description)
• Permitted Bethlehem extension
Princeton Group seds
Princeton Group andesitic volcanic
Spences Bridge Group
K granite
LTrJ ultramafic
Copper Mountain intrusive suite
Nicola Group
Princeton Group seds
Princeton Group andesitic volcanic
Spences Bridge Group
K granite
LTrJ ultramafic
Copper Mountain intrusive suite
Nicola Group
Copper Mountain Cu-Au-Ag porphyryCopper Mountain Mining Corporation + Mitsubishi Materials Corporation
• 2019 FY production 72 Mlb Cu 26,747 oz Au, 271,835 oz Ag
• 2020 deferring ball mill installation which would have increased production from 40,000 tpd to 45,000 tpd
• For remainder of 2020: new mine plan preserving higher grade for anticipated higher prices
• Reduced mining rate by about 25% in Q2• New guidance 70-75 Mlb Cu in 2020
• Near-mine exploration (mainly New Ingerbelle) resulted in a new mine plan – now a projected 31 years or more (50 years if resources converted to reserves
Copper Mountain pits
New Ingerbelle
Gibraltar – Cu-Mo porphyryTaseko Mines Limited, Sojitz Corp., Dowa Holdings Co. Ltd., Furukawa Co. Ltd.
Chilcotin Group
K seds
Ste Marie Plutonic Suite
Ashcroft Formation
Dragon Mountain Succession
Mount Polley intrusive complex
Granite Mountain Batholith
Nicola Group
Cache Creek Complex
Snowshoe Group
Chilcotin Group
K seds
Ste Marie Plutonic Suite
Ashcroft Formation
Dragon Mountain Succession
Mount Polley intrusive complex
Granite Mountain Batholith
Nicola Group
Cache Creek Complex
Snowshoe Group
• 2019 FY production 125.9 Mlb Cu, 2.7 Mlb Mo
• Q1 2020 32.4 Mlb Cu, 412,000 lb Mo
• 2020 guidance of approx. 130 MlbCu +/-5%
• Discretionary spending suspended as part of revised mine plan for 2020
• About 18 years mine life
Chilcotin Group
K seds
Ste Marie Plutonic Suite
Ashcroft Formation
Dragon Mountain Succession
Mount Polley intrusive complex
Granite Mountain Batholith
Nicola Group
Cache Creek Complex
Snowshoe Group
Chilcotin Group
K seds
Ste Marie Plutonic Suite
Ashcroft Formation
Dragon Mountain Succession
Mount Polley intrusive complex
Granite Mountain Batholith
Nicola Group
Cache Creek Complex
Snowshoe Group
Mount Polley Cu-Au-Ag porphyryImperial Metals Corporation
• Care and maintenance• Production suspended May 2019• Imperial has option to acquire Commander’s
adjacent ground to north and east• Exploration proceeded in 2019 – mag,
mapping, soil geochem, deep IP survey
Bonanza Ledge – orogenic Au veinsOsisko Gold Royalties Ltd.
Chilcotin Group
K seds
Ste Marie Plutonic Suite
Ashcroft Formation
Dragon Mountain Succession
Mount Polley intrusive complex
Granite Mountain Batholith
Nicola Group
Cache Creek Complex
Snowshoe Group
Chilcotin Group
K seds
Ste Marie Plutonic Suite
Ashcroft Formation
Dragon Mountain Succession
Mount Polley intrusive complex
Granite Mountain Batholith
Nicola Group
Cache Creek Complex
Snowshoe Group
• Part of Cariboo Gold project• Barkerville Gold Mines acquired by
Osisko Gold Royalties• Not currently producing• Permitting for a phase 2• Underground development
Myra Falls – Zn-Cu-Pb-Ag-Au VMSNyrstar N.V.
Nanaimo Group
Island Plutonic Suite
Vancouver Gp ls, seds
Karmusen volcanic
Buttle Lake ls, calc seds
Mount Hall Gabbro
Sicker Group volcanic
Nanaimo Group
Island Plutonic Suite
Vancouver Gp ls, seds
Karmusen volcanic
Buttle Lake ls, calc seds
Mount Hall Gabbro
Sicker Group volcanic
• Operating again in April 2019• Ongoing exploration drilling 2019• Trafigura Group Pte. now majority
owner of Nyrstar, their release of production stats, etc. is voluntary
KT granite
Kqm
Fennell Assemblage
Eagle Bay Assemblage
Eagle Bay orthogneiss
Snowshoe Group
KT granite
Kqm
Fennell Assemblage
Eagle Bay Assemblage
Eagle Bay orthogneiss
Snowshoe Group
Yellowhead Cu-Ag-Au VMSTaseko Mines Limited
EA process terminated in 2018, but:• Taseko bought the company• Updated feasibility• Estimated $1.3 B capex• 90,000 tpd open pit with 25 year life, %1.3 B NPV (8%)• Discussions with potential JV partners• Unusually large, low grade remobilized VMS amenable to
bulk mining
Chilcotin Group (Miocene-Pleistocene)
Eocene granodiorite
Late K quartz phyric intrusive
Anvil Mountain Suite (late K quartz diorite)
Powell Creek Fm
Jackass Mountain Group
Relay Mountain Group
Spences Bridge Group
Taylor Creek Group
Ladner Group
Cadwallader Group
Bridge River complex
Chilcotin Group (Miocene-Pleistocene)
Eocene granodiorite
Late K quartz phyric intrusive
Anvil Mountain Suite (late K quartz diorite)
Powell Creek Fm
Jackass Mountain Group
Relay Mountain Group
Spences Bridge Group
Taylor Creek Group
Ladner Group
Cadwallader Group
Bridge River complex
New Prosperity Cu-Au• Planned 2019 work was halted
(new injunction)• Province granted12 month
extension of environmental certification
“The Tŝilhqot’in Nation and Taseko Mines are working with the B.C. government to reach a resolution to the long-standing conflict over the proposed New Prosperity gold-copper mine project southwest of Williams Lake.The Nation and the company have agreed to pause certain litigation and regulatory matters related to the project while discussions are underway to reach a long-term solution”
Horsethief Creek GroupLimestone, marble, calcareous sedsUndivided metamorphicCoarse clasticMudstone, siltstone, fine seds
Horsethief Creek GroupLimestone, marble, calcareous sedsUndivided metamorphicCoarse clasticMudstone, siltstone, fine seds
Ruddock Creek – SEDEX Zn-Pb-AgImperial Metals Corporation, Mitsui Mining and Smelting Co. Ltd., Itochu
Corporation, Japan Oil, Gas and Metals National Corporation
• Multi-year deep drilling program continued with JOGMEC funding
• Approx 7000 m in 11 holes• Highlight 40.9 metres 16.83% zinc, 3.46% lead
and 4.74 g/t silver. • Followed high grade deep V zone results in 2018
Ruddock Creekresource area
V zone drilling
Drilling outside resource area
Kamloops Group
Mz sedments
Ashcroft Formation
Tr-J syenite
Nicola Group
Crooked Ampibolite
Quesnel Lake Gneiss
Snowshoe Group
Kamloops Group
Mz sedments
Ashcroft Formation
Tr-J syenite
Nicola Group
Crooked Ampibolite
Quesnel Lake Gneiss
Snowshoe Group
Spanish Mountain – sediment-hosted Au veinsSpanish Mountain Gold Ltd.
• PEA updated• 11 year life • Open pit• average 104,000 oz/y• Capex C$346M• Average grade 1.0 g/t
Quiet in the field but:
Cariboo – orogenic Au veinsBarkerville Gold Mines Ltd. (Osisko Gold Royalties
Ltd)
Slide Mountain Group
Snowshoe GroupBlack Stuart Group
Cariboo Group
Island Mountain
Cow MountainBarkerville Mountain
• Entered BC environmental assessment
• Proposed underground mine up to 4000 tpd, 11 year life. Would use QR mill, pre conc at site.
• Indicated 12.5 Mt 5.6 g/t Au • Osisko Gold Royalties Ltd acquired
Barkerville Gold Mines • About $12 M exploration spending
planned for 2020 (April 17 MD&A)
Bendor Suite
K granodiorite
Taylor Creek Group
Cayoosh Assemblage
Cadwallader Group Hurley Fm
Cadwallader Group volcanic
Chism Creek Schist
Bralorne-East Liza Complex
Bendor Suite
K granodiorite
Taylor Creek Group
Cayoosh Assemblage
Cadwallader Group Hurley Fm
Cadwallader Group volcanic
Chism Creek Schist
Bralorne-East Liza Complex
Bralorne – orogenic Au veinsTalisker Resources Ltd.
• Talisker acquired Bralorne from Avino Silver & Gold Mines in 2019, started a new 11,000 m drill program, currently suspended
• 27.3 g/t Au over 0.6 m in first hole• acquired Royalle property to
southeast and Congress to north
Congress
Royalle
Bralorne
Princeton Group volcanic
Princeton Group sediments
Eocene granodiorite
Spences Bridge Group
K sediments
Tr-J granodiorite
Nicola Group
P-J diorite
Princeton Group volcanic
Princeton Group sediments
Eocene granodiorite
Spences Bridge Group
K sediments
Tr-J granodiorite
Nicola Group
P-J diorite
• Over 20,000 m in 2019• Up to 30,000 m planned 2020• Now 3 parallel zones in South zone• Approx 1300 m strike length• New targets developed• Drilling started, suspended• Covid 19 protocols developed • re-start planned
Shovelnose – Epithermal AuWesthaven Ventures Inc.
Alert Bay volcanic unit
Klashkish plutonic suite
Queen Chalotte Group
Holberg volcanic unit felsic
Holberg volcanic unit mafic
Bonanza Group
Island Plutonic Suite
Vancouver Group Quatsine Fm
Vancouver Group Karmutsen Fm
Alert Bay volcanic unit
Klashkish plutonic suite
Queen Chalotte Group
Holberg volcanic unit felsic
Holberg volcanic unit mafic
Bonanza Group
Island Plutonic Suite
Vancouver Group Quatsine Fm
Vancouver Group Karmutsen Fm
Pemberton Hills – porphyry Cu-Mo-Au targetFreeport McMoRan Mineral Properties Canada Inc. and Northisle
Copper and Gold Inc.
• Exploration continued in the Pemberton Hills area with an IP survey, mapping, geochem, clay studies
• Identifying targets for further drilling
Surespan Gold (Zeballos) – Au veinsPrivateer Gold Ltd.
Eocene intrusive
Island Plutonic Suite
Island Plutonic Suite granodiorite
Bonanza Group
Vancouver Group Quatsino Fm
Vancouver Group Quatsino Fm limestone
Vancouver Group karmutsen volcanic
Eocene intrusive
Island Plutonic Suite
Island Plutonic Suite granodiorite
Bonanza Group
Vancouver Group Quatsino Fm
Vancouver Group Quatsino Fm limestone
Vancouver Group karmutsen volcanic
Past producersZeballos Camp • Drilling continued in 2019
• Approx 4400 m, 18 holes• Private co. consolidated formerly
fragmented Crown grant ownership in historic Zeballos camp
• Eocene magmatism (like Catface, Mt Washington)
Privateer Mine 1938
Teeta Creek Cu-Mo porphyryArcWest Exploration Inc.
Alert Bay volcanic unit
Klashkish plutonic suite
Queen Chalotte Group
Holberg volcanic unit felsic
Holberg volcanic unit mafic
Bonanza Group
Island Plutonic Suite
Vancouver Group Quatsine Fm
Vancouver Group Karmutsen Fm
Alert Bay volcanic unit
Klashkish plutonic suite
Queen Chalotte Group
Holberg volcanic unit felsic
Holberg volcanic unit mafic
Bonanza Group
Island Plutonic Suite
Vancouver Group Quatsine Fm
Vancouver Group Karmutsen Fm
• Recently-recognized NE-SW trending Miocene magmatism, Cu-Mo mineralization is more extensive than first recognized
• 21 g/t Au in grab sample• Earn-in agreement with Teck
Ladner Gold Project– Au veins (orogenic)New Carolin Gold Corp.
Eocene granodiorite
Custer gneiss
Ladner Group
Spider Peak Fm volc
Hozameen Complex
Paleozoic-Mesozoic ultramafic
Eocene granodiorite
Custer gneiss
Ladner Group
Spider Peak Fm volc
Hozameen Complex
Paleozoic-Mesozoic ultramafic
• Approx 850 m underground drilling in two step out holes within mine footprint
• Surface mapping and sampling
Elizabeth-Blackdome - orogenic and epithermal AuTempus Resources Ltd.
Chilcotin Group
Eocene volcanic
Cretaceous-Eocene diorite
Jackass Mountain Group
Shulaps Ultramafic Complex serp melange
Shulaps Ultramafic Complex harzberg
Bridge River Complex
Chilcotin Group
Eocene volcanic
Cretaceous-Eocene diorite
Jackass Mountain Group
Shulaps Ultramafic Complex serp melange
Shulaps Ultramafic Complex harzberg
Bridge River Complex
• Tempus acquired Sona Resources from Skeena Resources in 2019
• Due diligence and preliminary work (geochem) in 2019
• 2020 exploration is planned (incl. drilling)
• Review of Blackdome tailings project historical PEA
Blackdome
Elizabeth
BC Cobalt – Co-AuBlackstone Minerals Limited
Lake K granodiorite
Taylor Creek Group
Cayoosh assemblage
Cadwallader Gp - Hurley Fm
Bridge River Complex
Bralorne-East Liza Complex
Bralorne-East Liza Complex
Bralorne-East Liza Complex
Lake K granodiorite
Taylor Creek Group
Cayoosh assemblage
Cadwallader Gp - Hurley Fm
Bridge River Complex
Bralorne-East Liza Complex
Bralorne-East Liza Complex
Bralorne-East Liza Complex
• Stream sediment, soil sampling and mapping in 2019, following 2018 drilling
• Seeking JV partner
Copper King - Cu-Au porphyryCopper King Explorations Ltd.
Miocene volcanic
Kamloops Group Tranquille Fm
Kamloops Group
Battle Bluff Plutonic Complex
LTrJ ultramafic
Iron mask Batholih
Nicola Group
Miocene volcanic
Kamloops Group Tranquille Fm
Kamloops Group
Battle Bluff Plutonic Complex
LTrJ ultramafic
Iron mask Batholih
Nicola Group
• Drilling early 2020 10 holes +• Small past producer of high grade
Cu-Au-Ag in 1930s• Private co. operating on Crown
grants, not releasing results (yet)
New Craigmont– Cu-Fe SkarnNicola Mining Inc.
Kamloops Group
Eocene feldspar porphyry
Spences Bridge Group
Ashcroft Fm
Guichon Batholith
LTrJ granodiorite
Nicola Group
Kamloops Group
Eocene feldspar porphyry
Spences Bridge Group
Ashcroft Fm
Guichon Batholith
LTrJ granodiorite
Nicola Group
• Past Cu-magnetite producer 1961-1982• 5 holes in 2019 testing southwest edge of
Craigmont pit• Both skarn and porphyry style mineralization• Highlights include 19.25 m 0.7% Cu, 9 m
0.31% Cu, 34 m 0.38% Cu, 14 m 0.51% Cu• Testing sorted historic waste for copper and
magnetite feed for concentration
Lac La Hache – Cu-Fe-Au Skarn, porphyry Cu-Au-Ag , Au vein Engold Mines Ltd.
Quaternary volcanic
Chilcotin Group volcanic
Kamloops Group
Takomkane Batholith
Copper Mountain Suite
Nicola Group
Quaternary volcanic
Chilcotin Group volcanic
Kamloops Group
Takomkane Batholith
Copper Mountain Suite
Nicola Group
• 2019 drilling at Aurizon zone, highlight 4.55 m 6.18 g/t Au, 0.80% Cu, 2.63 g/t Ag
• Aurizon west soil geochem survey• 2020 drilling at porphyry target Ann North
604 m, short of target depth.• Mineralization and alteration intersected• Drilling to resume when safe• Extended land package
Spout CuG1 Cu
Ann North porphryry
Aurizon Au
Rateria-West Valley – Cu-Mo porphryryHappy Creek Minerals Ltd.
Kamloops Group
Spences Bridge Group
Guichon Batholith
LTrJ granodiorite
Nicola Group
Kamloops Group
Spences Bridge Group
Guichon Batholith
LTrJ granodiorite
Nicola Group
• Linked properties south of Highland Valley Copper
• 3D IP at West Valley – 2 locations• New West Valley prospects,
Pimainus and Abbot
RateriaWest Valley
Fox – W skarnHappy Creek Minerals Ltd.Wells Gray volcanic
Bayonne Suite
Nicola Group
Slocan Group sediments
Quesnel Lake Gneiss
Black Riders Mafic-Ultramafic Complex
Crooked Amphibolite serpentinite
Crooked Amphibolite greenschist
Snowshoe Group
Wells Gray volcanic
Bayonne Suite
Nicola Group
Slocan Group sediments
Quesnel Lake Gneiss
Black Riders Mafic-Ultramafic Complex
Crooked Amphibolite serpentinite
Crooked Amphibolite greenschist
Snowshoe Group
• 2 holes, 372.5 m at Nightcrawler zone• Highlight 6.3 m 0.43 WO3• Drilling is outside resource area(582,400 t 0.826% WO3 Indicated and 565,400 t 1.231% WO3 Inferred)
Nightcrawler
Resource areas (Ridley etc)
MPD – Cu-Au porphyryKodiak Copper Corp.
• Consolidation of properties (Man, Prime Dill)
• Name change from Dunnedin Ventures• Trenching returned 0.89% Cu over 46 m• 2019 drilling 1766 m in 3 holes• Highlight intersection 102 m 0.53% Cu,
0.16 g/t Au• Airborne survey planned so far in 2020
Big Kidd – Cu-Au porphyryJiulian Resources Inc.
Quaternary
K sediments
LTrJ diorite-granodiorite
Nicola Group
Quaternary
K sediments
LTrJ diorite-granodiorite
Nicola Group
• 3D IP survey• 4191.5 m in 9 holes• Porphyry style mineralization
intersected• Potassic alteration at depth suggests
possible deeper target
Spius Creek - Cu-Mo porphyryPacific Ridge Exploration Ltd.
Paleogene intrusive
mid K granite
Jackass Mountain Group
Pasayten Group
Eagle Plutonic Complex
Ladner Group
Mount Lytton Complex
Dioritic intrusive
Limestone, marble
Paleogene intrusive
mid K granite
Jackass Mountain Group
Pasayten Group
Eagle Plutonic Complex
Ladner Group
Mount Lytton Complex
Dioritic intrusive
Limestone, marble
• 1087 m drilling in 4 holes• Targeting soil geochem +IP
anomalies• Intersected increasing Cu
mineralization at depth
Amarillo – Cu porphyryTroubadour Resources Inc.
Penticton Group
Eocene granodiorite
Okanagan Batholith
Okanagan Batholith granite
Pennask Batholith
Nicola Group
Penticton Group
Eocene granodiorite
Okanagan Batholith
Okanagan Batholith granite
Pennask Batholith
Nicola Group
• Mapping, prospecting• 1075 m drilling in 4 holes• Additional drilling and geophysics
proposed for 2020
Elk – Au veinsBayshore Minerals Inc.
• Bayshore acquired property in 2019• Airborne survey• Environmental baseline studies• Seeking Mines Act and EMA permits• Open pit and underground resource
M+I 2.6 Mt 6.28 g/t Au
Kamloops Group
Eocene granodiorite
Osprey Lake batholith
Pennask Batholith
Nicola Group
Kamloops Group
Eocene granodiorite
Osprey Lake batholith
Pennask Batholith
Nicola Group
Companies conserving cash amid uncertainty
Work practically limited by physical distancing, avoiding sharing equipment, vehicles
Logistics of travel, shift changes, core handling, meals and accommodation can be worked out in some cases…
Suspended drilling at:Shovelnose (may re-start soon), Bralorne,Lac La HacheNot all programs halted - some exploration work going ahead, including drillingMines are taking precautionary measures and retracting 2020 production guidance, deferring development spending
A few breaks for the explorer
• Extension of time to file work• Extension of time to make lease payments• See Chief Gold Commissioner’s order at Mineral Titles website• Extension of work permits will be considered as needed: contact
inspectors• Effort to process permits continues• Incentives are under consideration (will maybe a bit late in
coming to support work this summer…)